Future of New Holland Utility and Compact tractor line.

[fieldman12]

I've watched Kubota from day one and I can say that while I believe they have worked hard to be where they are, the business they got was literally given away by the other makers. When other makers screwed up, Kubota filled the vacuum.

Early on I owned Fords and IH. An 8N, 9N an IH "H" and when ready to buy an IH 45 HP is when the company started to fail and couldn't deliver the product. I wanted to buy but they had none to sell. OK, so I went with Ford and a Japanese 1900 and then 2110. Just wonderful tractors and really did the job with zero issues.
When I went to buy another Ford there were issues of Ford selling the ag division plus talk of outsourcing the axles to some Eastern Bloc nation or whatever. I have no interest in a Yugoslavian, or whatever axle, so I moved on. I know how to build a business and they were going the wrong way.

Enter Kubota and I started with 90 HP. Then another, another, another and another. I picked up a couple Deeres along the way, and I love my 5520 but some of the conversations on this board deal with problems like melting fuel tanks in that series and things I don't need to deal with. So, again by default, I'll probably wind up with Kubota. Kubota has quietly become the CUT leader and is on a path to own a chunk of the utility line as well.

just my personal opinion here.

I was thinking exactly the same thing your saying. We will take my 5055E for example. Deere does not even make a more fancy M series in the 55hp size. It seems like all the American manufactures are more interested in big Ag sales and care little about Utility and Compact size in my opinion. I must say though I think in most cases the buyer of big ag machines versus small are completely different. Those buying small these days are most generally very small farms or hobby farms. Kubota,Yanmar,Mahindra,LS are focusing on what the big boys don't want. I have seen rumors where Kubota is wanting in the big Ag market through a possible purchase down the road.

 

[daugen]

I have seen rumors where Kubota is wanting in the big Ag market through a possible purchase down the road.

Big open areas need large high hp tractors pulling giant plows and seeders.
Not too much of that in Japan or Korea.
But Russia? Europe? Canada? Australia? You bet.

Is JD the last big American tractor builder standing?
When are the Chinese going to buy JD? Or some Russian oligarch.
:shocked:

 

[fieldman12]

There is Agco Corp that owns Massey Ferguson,Gleaner,Challenger and many other tractor and equipment lines.

 

[bigbull338]

talking about compacts NH JD caseih kubota all make big money in the compact tractor sales.because the people that want compacts have .5ac lots an bigger in the berbs an out in the country.an they will pay high for a small tractor with all the bells an whistles.if i was going to pay $35,000 for a fully loaded compact tractor i might as well put another $20,000 with it a get a pretty good size farm tractor.

 

[Gary Fowler]

]if i was going to pay $35,000 for a fully loaded compact tractor i might as well put another $20,000 with it a get a pretty good size farm tractor.


Well, bigger is not always better or what is needed. I have a 70HP utility tractor that I rarely use now. It was bought to bushhog heavy brush and move lots of dirt and rock which is now very seldom. All the heavy hogging is done and mowing is maybe once a year. Most of my work is now with my Kubota B26 with the backhoe. I have about 90 hours on my 2010 model 7010 LS and almost 300 on my Kubota B26 that I bought used last year with 68 hours on it. The small tractor gets more use because it is more maneuverable and more versatile with the back hoe.

 

[sixdogs]

For Kubota I think they make some money but I bet for the other the financing arm of the business makes is where the money is.

talking about compacts NH JD caseih kubota all make big money in the compact tractor sales.because the people that want compacts have .5ac lots an bigger in the berbs an out in the country.an they will pay high for a small tractor with all the bells an whistles.if i was going to pay $35,000 for a fully loaded compact tractor i might as well put another $20,000 with it a get a pretty good size farm tractor.

 

[daugen]

For Kubota I think they make some money but I bet for the other the financing arm of the business makes is where the money is.

well normally I'd agree with you, but for some time they've been giving out zero percent financing for five years on larger stuff. Don't know how you can make money at zero percent unless the marketing chargeback guarantees profit.
Of course once the APR's start climbing in the 3 to 6 range, the kachinging starts . I always wonder who pays 24% to Northern Tools to buy their tractors on time...???

 

[Jackfr]

Well, bigger is not always better or what is needed.

I agree with you Gary. That is why were replacing our TC45DA (Boomer) with the 3050 Boomer and not replacing one of our larger tractors at this time. We find with it's maneuverability/versatility/clearance it is our daily use tractor. The others have their place here but are not used anywhere near as much as the boomer is.

 

[sixdogs]

well normally I'd agree with you, but for some time they've been giving out zero percent financing for five years on larger stuff. Don't know how you can make money at zero percent unless the marketing chargeback guarantees profit.
Of course once the APR's start climbing in the 3 to 6 range, the kachinging starts . I always wonder who pays 24% to Northern Tools to buy their tractors on time...???

Good point.
I'd bet if you figured out the present value of a cash deal with it's included cash discount and compared that with the present value of a 0% financed deal, that the financed deal at 0% is more expensive. Just a hunch.

 

[groundbreaker]

After owning Ford/New Holland tractors for over 20 years, In 2009 I switched to green.
If it wasn't for nh teaming up with ls tractors, I would be still running blue. They were some **** good tractors.
cnh lost me as a customer in their boomer line.
Say what you want about the new line, BUt I know for a fact they will never compare to the old shib models.
My old dealer doesn't even stock them and hasn't since the change.
THat should tell you something