The global agricultural tractor market is estimated to account for US$ 67020 Mn in terms of value by the end of 2021. Most modern tractors are powered by internal combustion engines that range from about 12 horsepower to more than five hundred horsepower. Their power is transmitted through a gearbox and to large rear-drive wheels via a propeller shaft. Agricultural tractors can also run on liquefied petroleum gas or propane, however, these fuels require special equipment and produce less power.
Global Agricultural Tractor Market: Drivers
Growing cost of farm labor is expected to boost growth of the global agricultural tractor market during the forecast period. The farm labor cost is directly linked to the over population of a nation employed in farming. In emerging countries the population depending on agriculture is high, however, it is declining over the time. Countries such as China and India, which are originally agrarian nations are also facing a decline in the number of population depending on agriculture. Moreover, due to increased cost of labor, the demand for agriculture tractor is increasing around the globe, which is driving the market growth.
Global Agricultural Tractor Market: Opportunities
Major market players in the global agricultural tractor market are focusing on promotion of tractors by offering various offers to customers, and this in turn is expected to create growth opportunities in the market. For instance, in October 2020, New Holland Agriculture, a well-known brand in agriculture announced that the company is offering a 6-year Transferable warranty on all of its tractors sold in India from October 2, 2020.
To know the latest trends and insights prevalent in the Global Agricultural Tractor Market, click the link below:
Global Agricultural Tractor Market: Restraints
Factors such as stringent regulations implemented by governments all over the world for emission control is anticipated to impede growth of the global agricultural tractor market over the forecast period. For instance, in October 2021, the ICAR (Indian Council of Agricultural Research) revised the norms for construction equipment which will be implicated on > 50 HP tractor from April 2022 in the country.
The global agricultural tractor market was valued at US$ 67020 Mn in 2021 and is forecast to reach a value of US$ 111400 Mn by 2030 at a CAGR of 6.5% between 2022 and 2030.
Greater than 100 HP segment held dominant position in the global Agricultural Tractor market in 2021, accounting for 6.0% share in terms of value, increasing approval and launch of new products is expected to propel growth of the segment during the forecast period.
Global Agricultural Tractor Market Trends:
Pedestrian tractors among type is gaining traction in the global agricultural tractor market over the forecast period. Pedestrian tractors offer several advantages, including low cost, and low expenses of maintenance as well as limited consolidation of farm in agricultural economies. Thus, demand for pedestrian tractors is high in agriculture. These tractors are ideal for small extensions and mountainous terrain where the use of the tractor becomes costly. Due to the size of pedestrian tractors they are considered to be used in greenhouses, farms and orchards with size of less than 10 hectares.
Furthermore, Europe is expected to witness strong growth in the global agricultural tractor market over the forecast period. The growth can be attributed to rise in demand for large farm tractors in countries such as Lithuania, Greece, and Italy. Moreover, high demand for autonomous tractors in the region is also driving the market growth in the region.
Global Agricultural Tractor Market: Competitive Landscape
CLAAS Group, Deere & Company, Mahindra & Mahindra Limited, CNH Industrial, Kubota Corporation, Massey Ferguson Limited, TAFE, Iseki & Co. Ltd., JCB, and Yanmar Co.