Compact Tractor July Sales Down 27%!

[HayDR]

July Tractor Sales

The sky is not falling. If you look closer the market is back to 2003 sales level. The compact tractor marker is still strong. Inventories are high for this time of year. Look for incentives and good deals to be available all fall.

The Utility Tractor segment is still red hot. The sales figures show almost a 10% increase over last year. 2004 sales were up 40% over 2003 sales. This is driven by the good prices cow/calf farmers have received in the last 18 months.

Low interest rates have kept the Large Tractors selling at about the same rate as last year.

 

[SkyPup]

Our local Kubota dealer is going like gangbusters, hardly a unit in on the lot for a week until it disappears.... /forums/images/graemlins/shocked.gif

 

[DrRod]

I did my part -- bought a new JD 4110 in July.

 

[HayDR]

SkyPup,
Dealer inventory is usually based on their decisions of inventory level ordered 3-6 months in advance. Dealers do have maximums on their floor plan inventory based on their financial ability to pay based on market conditions.

 

[JohnSinVA]

I would bet this curve somewhat follows the curve of home sales. Fewer folks buying new homesteads equals fewer folks who need a new tractor.

 

[rockyridgefarm]

Thanks again, CCI - I really like seeing this info!

It would be interesting to see if the marketshare breaks evenly on these lines, or if someone is getting a bigger bite, or bitten..!

 

[TractorTom]

Our July Sales were down too. Soon as August rolled around, the sales broke loose and we moved four new tractors in the first week. I have to wonder what the difference was????

Glad to hear that we weren't the only ones with a slow July.

 

[SkyPup]

John Deere's stock just dropped 11% last week when the announced the poor results of their third quarter.

Deere said farm equipment sales have stalled amid a drought stretching from the Great Lakes to Texas that the U.S. Agriculture Department estimates could trim corn and soybean production by 15 percent this fall.

Deere said agricultural equipment sales rose 9 percent for the quarter, down sharply from a 34 percent increase during the same period last year, when a global economic upturn fueled a buying surge. The company predicted farm equipment sales would be up 8 percent for the year, down from earlier estimates of 9 to 11 percent.

 

[rockyridgefarm]

</font><font color="blue" class="small">( John Deere's stock just dropped 11% last week when the announced the poor results of their third quarter. )</font>

Well. time to buy Green Stock, they have been doing very well...

 

[SkyPup]

They are cutting their factory production 28% to better bring their inventory in line with decreased demand. Probably also to clear out their inventory for the release of their new 2006 models as well.