The tractor market 2032 is paying the price of the current global health emergency (COVID-19), reports Market Research Future. In this condition, the study finds that the global tractor market might see a bright future and expand at a substantial CAGR during the forecast period 2023-2032.
Top Impacting Factors
The long term impact of COVID-19 globally calls for redefining business strategies of various industries, including an tractor. Similarly, the global tractor market is also affected by the worldwide pandemic, which is provided under COVID-19 impact Analysis with the report. The tractor market is a power-driven vehicle based on engineering functions depends on its tractive power, and it is mainly designed for several agricultural tasks such as pulling or pushing agricultural machinery or trailers, for plowing, disking, tilling, planting, harrowing, and Spraying/Pesticide application. The tractors help in rising agriculture productivity, save time, and improve efficiency. These factors have been influential for the upstream growth of the global tractors market.
MRFR analysis states that the tractors market is concentrated, and the degree of concentration will accelerate during the assessment period. Alamo Group Inc., AGCO Corp., CNH Industrial NV, CLAAS KGaA mbH, J.C. Bamford Excavators Ltd., Deere & Co., Mahindra & Mahindra Ltd., Kubota Corp., Yanmar Co. Ltd. are some of the foremost market participants contributing to the market’s growth. In fact, the introduction of driverless tractors will offer immense growth opportunities.
The agriculture tractor market is more studied and stated that it is affected by various macro factors such as the whole level of economic development, land utilization, migration of rural labor, food demand, agricultural production, trade, agricultural machinery industry, and manufacturing capacity. All these factors have produced a favorable market scenario for the agriculture tractor market, mainly in India. Besides, both the central and local governments are continuously allocating funds to subsidize farmers’ procure agricultural machinery.
Top Players
The outstanding players in the global tractors market are listed as Mahindra & Mahindra Limited (India), Deere & Company (USA), CNH Industrial America LLC. (USA), Hattat Traktör (Turkey), Deutz AG (Germany), Massey Ferguson Limited (U.S.), CLAAS KGaA mbH (Germany), New Holland Agriculture (U.S.), and Escorts Limited (India).
The structural change of the agriculture sector and changing priorities from traditional grain production to agricultural industrialization is yet another demand driving factor for the agriculture tractor market.
On the contrary, factors such as diverse machinery types and facilities, fragmented lands, higher fuel consumption, reduced utilization rate, and lack of knowledge are posing as restraining factors of the market.
Segmentation of Market
The global tractors market is segmented over the segments of engine power, application, drive type, and operation.
In terms of engine power segment, the market has included under 40 H.P., 40-120 HP, 121-180 HP, 181-250 HP, as well as above 250 HP.
In terms of the application segment, the market has included seed sowing, harvesting, irrigation, and others.
In terms of the drive type segment, the market has included 2WD and 4WD drive.
In terms of the operation segment, the market has included manual and autonomous tractor vehicles.
Regional Front
Geographically, the worldwide tractors market has been studied for the four major regions, namely Asia-Pacific, Europe, North America, and the entire World.
The Asia-Pacific region is rough and ready to acquire the largest market share during the projected period owing to budding automotive infrastructure and increasing government efforts and incentives for farm mechanization across the region. Also, the notable sales of tractors in India and China owing to recuperating the agricultural sector is likely to advance the demand for tractors market in this region. In the current, China has started focusing on the adoption of automated farming machinery through the introduction of driverless tractors.
In the case of point, YTO Group Corporation launched its first driverless tractor in 2017 and is now scheduling to conduct mass production as per the market demand. China’s agricultural machinery had been facing quite a few challenges, such as overcapacity and low profit-margins, after the prerequisite of a year-long subsidy scheme for promoting mechanization in the farming, which led to the mass production of low-quality tractors.
Europe is vague to observe considerable growth in terms of volume during the assessment period. This growth is endorsed to large farm sizes in various European countries, such as Denmark, U.K., Netherlands, Hungary, and Spain. The farms in Europe managed around 38% of the total land area.
Also, as per the European Agricultural Machinery Industry Association, all the tractors got in action on 1st January 2018 were mandated to be equipped with lighting and braking features. Such mandates about technical requirements are expected to stimulate market growth. Additionally, the incidence of foremost companies such as CLAAS KGaA mbH and CNH Industrial N.V. in this region is likely to impact the market growth positively.
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