Sales of 2WD vs. 4WD Tractors -- Do the AEM Data Seem Wacky to You?

[MFRED]

2wd is considered to be front wheel assist as well as actual two wheel drive tractors. Like compacts, utility and ag tractors. front tires smaller than the back. 4wd is large articulated tractors front and rear tires the same size.

 

[fieldman12]

In Ohio most big Row Crop tractors around here sold since I would say 1995 are either MFWD or articulated 4wd tractors. Only 2wd row crop tractors around here are for the most part older than that. I would say 95% of the compacts around here are MFWD and about 85% of the Utility tractors are MFWD. I see the need for MFWD and Four Wheel drive articulated tractors for heavy tillage but in my opinion for a Utility size tractor with out a loader I think people would get along just find with 2wd in most cases.

 

[buickanddeere]

In Ohio most big Row Crop tractors around here sold since I would say 1995 are either MFWD or articulated 4wd tractors. Only 2wd row crop tractors around here are for the most part older than that. I would say 95% of the compacts around here are MFWD and about 85% of the Utility tractors are MFWD. I see the need for MFWD and Four Wheel drive articulated tractors for heavy tillage but in my opinion for a Utility size tractor with out a loader I think people would get along just find with 2wd in most cases.

We could get along with hauling pails of water form the well, chopping and burning firewood to cook meals and using outhouses. Who would want to ?

 

[smstonypoint]

I was curious about the average days in inventory for tractor dealerships. Using the AEM data for October, 2013, the results are as follows:

Item ----------------------------------------Days in Inventory
2WD Tractors (including MFWD/MFWA)
< 40 HP --------------------------------------------------261
40 < 100 HP ----------------------------------------------153
100+ HP ---------------------------------------------------77
4WD Tractors----------------------------------------------63
Self-propelled Combines---------------------------------- 62

I suspect that most of the large 2WD/4WD tractors and combines are ordered by customers rather than sold from inventory.

It looks like tractor dealers have big bucks tied up in their inventories.

For comparison purposes, auto dealers had 57 days of inventory on average for October, 2013 according to October 2013 TrueTrends: Shortest and Longest Days in Vehicle Inventory.



Steve

 

[powerpace]

When I was growing up and still on the farm we had twelve tractors the two largest were 4WD. They did the heavy pulling in ground prep. Very seldom did we actually engage the 4WD. The other tractors were used in row crop cultivation, orchard crop hauling, loader, harvesters and general purpose use. Most had specific uses and were reserved for that. Some were only used for harvesting, Corn and green beans.

My brother whom is a agricultural equipment mechanic maintains about two dozen machines. The harvestors are 4WD. The three largest are dedicated 4WD groundworking units. Everything else is 2WD. The theory is. If the ground is too wet to work don't bother with 4WD to prep the seed bed. The harvesters are 4WD drive because you can't stop because the field is wet. The three 4WD are hardly ever in 4WD but when pulling big equipment in soft ground extra traction is needed. They have one FEL for road maintenance.

 

[MHarryE]

I was curious about the average days in inventory for tractor dealerships. Using the AEM data for October, 2013, the results are as follows: Item ----------------------------------------Days in Inventory 2WD Tractors (including MFWD/MFWA) < 40 HP --------------------------------------------------261 40 < 100 HP ----------------------------------------------153 100+ HP ---------------------------------------------------77 4WD Tractors----------------------------------------------63 Self-propelled Combines---------------------------------- 62 I suspect that most of the large 2WD/4WD tractors and combines are ordered by customers rather than sold from inventory. It looks like tractor dealers have big bucks tied up in their inventories. For comparison purposes, auto dealers had 57 days of inventory on average for October, 2013 according to October 2013 TrueTrends: Shortest and Longest Days in Vehicle Inventory. Steve

It would be nice if combines and articulated tractors were only made to order but they are seasonal, especially the combines. The companies need to keep a constant production rate. Fortunately interest rates are low. Dealer floor plans, marketing programs, anything to get machinery out of the factory and at least to the dealer's lot. Customers, except custom cutters, wait to see how the crops look before committing. Remember October is nearing the end of the harvest and will be one of the lowest months for combine inventory. December is often low because of year end purchases for tax purposes. January - May see inventory climb.

 

[Poopdeck Pappy]

We could get along with hauling pails of water form the well, chopping and burning firewood to cook meals and using outhouses. Who would want to ?

You're not considering the use of row crop tractors. First of all, row crop tractors are typically not used when the ground is wet. You only bed, plant, cultivate, etc. when the ground is dry enough to properly perform the task.

Secondly, row crop tractors are not pushing or pulling enormous implements that require the traction provided by 4wd. Planters, cultivators, etc. don't require that much power.

Finally, a lot of row crop farmers have several tractors. On our farm, we had row crop tractors (2) and tillage tractors (usually 3 or 4). Of course, we never had a 4wd tractor. But I think a lot of them today have 2wd for row crop and at least one or two 4wd tractors for tillage and other uses.

 

[RickB]

I chanced upon a report by the Association of Equipment Manufacturers (AEM) that shows the YTD unit sales of farm tractors: http://www.aem.org/AllDocuments/AEM/MI/Reports/13_10_USAG.pdf. "These data represent the machines in each product category being sold at retail in the fifty states and District of Columbia by most, but not all, of the manufacturers" according to AEM.


The report breaks down 2WD sales by HP (<40, 40<100, 100+), but lumps all 4WD sales into one category. It is not clear whether CUTs are included in the data.

The reported YTD (though October) 2WD sales totaled 167,347 units as compared to only 5,551 4WD units. The ratio of 2WD to 4WD tractors in inventory on October 1 was 50+:1. I don't spend much time looking over dealers' new inventories (in order to avoid temptation), but I have not noticed 2WD units outnumbering 4WD units by 50 to 1 in my neck of the woods.

What gives?

Steve

Depends on how you define 2WD and 4WD tractors. Before the world got overrun with CUT's, a 4WD tractor had two powered axles and equal sized tires on all 4 corners. 2WD tractors had one powered axle and the few MFWD tractors in the marketplace were still included in the broad category of 2WD units.
I believe the data shown in the linked document reflects that thinking.

 

[RickB]

First of all, row crop tractors are typically not used when the ground is wet. You only bed, plant, cultivate, etc. when the ground is dry enough to properly perform the task.

Secondly, row crop tractors are not pushing or pulling enormous implements that require the traction provided by 4wd. Planters, cultivators, etc. don't require that much power.

You need to get out more. When the calendar says it's planting time, optimum soil conditions easily take a backseat to the timing of the event. If rowcrop tractors were not used in high draft situations, horsepower ratings would not be above 300 hp at the top of the range.
And even in my decidedly non-farming part of the country, I have a neighbor that pulls 2 16 row Kinze planters with Case IH 335's, which are articulated 4wd tractors.

 

[WilliamBos]

You need to get out more. When the calendar says it's planting time, optimum soil conditions easily take a backseat to the timing of the event. If rowcrop tractors were not used in high draft situations, horsepower ratings would not be above 300 hp at the top of the range. And even in my decidedly non-farming part of the country, I have a neighbor that pulls 2 16 row Kinze planters with Case IH 335's, which are articulated 4wd tractors.

I am amazed at how many do not know the difference between FWA front wheel assist, and 4 wheel drive.