Sales of agricultural machinery in the United States saw significant drops in January 2025, with tractor sales decreasing by 16% and combine sales plummeting by 79% compared to the same month in 2024. The data, provided by the Association of Equipment Manufacturers (AEM), reflects a continuation of the challenging market conditions faced by the industry in recent months.
Curt Blades, Senior Vice President at AEM, pointed to ongoing uncertainties in the agricultural sector as a key factor behind the decline. “As we enter 2025, we’re seeing a continuation of the slow sales we observed in 2024,” Blades explained. “The agricultural industry is grappling with challenges such as global trade concerns, tariffs, and a lack of clarity regarding the future of the farm bill. These factors are contributing to the overall softness in the ag equipment market.”
The downturn in machinery sales in January 2025 affected all segments of the agricultural equipment market, with figures falling below both last year’s sales and the five-year average from 2020 to 2024.
Tractor Sales
Total sales of farm tractors in January 2025 reached 9,143 units, a 15.8% decrease from the 10,860 units sold in January 2024. Beginning inventory for tractors stood at 114,552 units.
Sales by horsepower range revealed further declines:
2WD sub-40-hp tractors: Sales dropped 11.3%, with 5,308 units sold in January 2025 compared to 5,987 in 2024. Inventory for this category began at 72,369 units.
2WD 40–100-hp tractors: A 16.3% decline was recorded, with 2,631 units sold in January 2025, down from 3,145 in 2024. Inventory for these tractors began at 31,525 units.
2WD 100-plus-hp tractors: Sales for high-horsepower two-wheel-drive tractors fell by 26.8%, from 1,506 units in January 2024 to 1,103 units this year. Inventory began at 9,994 units.
4WD tractors: A significant drop of 54.5% was seen in 4WD tractor sales, with only 101 units sold in January 2025, compared to 222 units the previous year. Inventory for 4WD tractors started at 664 units.
Combine Sales
Sales of self-propelled combines were particularly affected, with January 2025 sales falling by a staggering 78.9%. Only 97 units were sold in January, down from 460 units in January 2024. Inventory for self-propelled combines stood at 735 units at the start of the year.
The overall trends highlight a challenging start to 2025 for the U.S. agricultural machinery market, as manufacturers and farmers alike continue to navigate economic uncertainties and evolving industry conditions.