According to the latest sales figures from the Assn. of Equipment Manufacturers, U.S. unit retail sales of under 40 horsepower 2WD tractors in August were up 1.6% year-over-year and up 9.9% year to-date. That compares with July unit sales of up 2.5% year-over-year and up 11% year-to-date. 

U.S. unit sales of 40-100 horsepower 2WD tractors were not as strong. Unit sales in the U.S. were up 1.5% year-over-year and down 0.1% year-to-date. That compares with year-over-year sales in July of up 3.5% and down -0.4% year-to-date.

Unit sales of under 40 horsepower 2WD tractors in Canada were much stronger in August than U.S. figures and stronger than July sales reports. Sales of under 40 horsepower 2WD tractors in August were up 27.3% year-over-year and up 26% year to-date. That compares with July unit sales of up 14.8% year-over-year and up 25.9% year-to-date. 

August unit sales of 40-100 horsepower 2WD tractors in Canada were up 37.2% year-over-year and up 12.7% year-to-date. That compares with July unit sales of down 19.8% year-over-year and up 9.9% year-to-date. 

Here's a summary of sales activity for larger tractors:

Large ag equipment sales grew year-over-year in August on significant growth from Canada and narrower declines in the U.S. “Row-crop tractor sales declines improved from the down 20% range from May to July to down 7% in August; 4WD tractors also turned back to growth and combines accelerated,” Mircea (Mig) Dobre, analyst for RW Baird, said it a note. “Deere early orders and commentary from OEMs at the Farm Progress Show suggest potential turn to growth in large ag next year, though farm economics remain tight and corn and soybean prices have dropped since July.”

U.S. and Canada large tractor and combine retail sales increased 5% year-over-year in August after decreasing 16% in July and decreasing 14% in June. z U.S. sales decreased 6% year-over-year (row crop down 13%, 4WD up 66%, combines down 2%).

Canadian sales were up 52% (row crop up more than 30%, 4WD and combines up about 70%). z Combine sales increased 20.8% in August following 6.1% growth in July. Last 3 months (L3M) sales increased 10.6% on a year-over-year basis after a 7.1% L3M increase last month. August typically an above-average month for combine sales, accounting for 9.9% of annual sales the last 5 years.

Row-crop tractor sales declined 7% year-over-year, compared with the 23% decrease in July; L3M sales decreased 17.5% (July L3M –20.2%). August is typically a below-average month for row-crop tractor sales, accounting for 6.6% of annual sales over the last 5 years.

4WD tractor sales increased 66.7% year-over-year in August following a 10.5% decrease in July. L3M sales decreased 0.8% year-over-year, improved from the 8.2% decrease in the July L3M period. August typically a below-average month for 4WD tractor sales, accounting for 6% of annual sales the last 5 years. 

Refer to the charts below for additional details. 

— Assn. of Equipment Manufacturers