Tractors Market, By Power Output (Below 40 HP, 40 HP to 100 HP, and Above 100 HP), By Drive Type (Two-Wheel Drive (2WD) and Four-Wheel Drive (4WD)), By Application (Agriculture, Construction, Forestry, and Others), By Geography (North America, Latin America, Asia Pacific, Europe, Middle East, and Africa)

Published In : Mar 2025

Code : CMI7753

Pages :135

Formats :

Excel and PDF

Industry : Automotive and Transportation

Market Concentration and Competitive Landscape

Tractors Market Concentration By Players

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Key Developments:

In August 2023, VST Tillers Tractors, an India-based manufacturer specializing in tractors and tillers, declared its intention to invest USD 11.5 Mn (INR 100 crore) in establishing a dedicated research and development center
In August 2023, Mahindra and Mahindra, in a collaborative effort with Mitsubishi Mahindra Agriculture Machinery, a farm equipment provider, launched a new line of tractors under the OJA platform in Cape Town, South Africa

Top Strategies Followed by Global Tractors Market Players

Established Players: Established players heavily invest in research and development to develop innovative products. Deere and Company, for example, spends over US$ 1.7 billion annually on R&D to manufacture cutting-edge tractors and farming equipment. Other leaders like CNH Industrial and AGCO also allocate over 5% of their annual revenues to R&D.
Strategic partnerships are another key strategy. Companies partner with local dealers, cooperatives, and equipment retailers to strengthen distribution and service networks globally. For instance, Mahindra & Mahindra has tied up with over 200 dealers in North America to boost sales of its tractors. Global expansion is a priority as well. Firms expand into new markets through acquisitions, joint ventures and overseas production facilities. For example, Kubota opened a new US$ 100 million plant in Georgia, U.S. to cater to the growing North America market.

Mid-level Players: Mid-level players stay competitive by providing cost-effective solutions. Companies like Escorts and SDF focus on value-engineering to offer tractors at 10-15% lower costs than premium brands. They also collaborate with agriculture universities and research bodies to gain access to innovative technologies at relatively low investments. For example, TAFE partners with over 50 institutes globally for technology transfers.
Small-scale Players: Small players thrive by specializing in niche segments. For instance, Staubill focuses only on orchards and vineyards. Farmtrac targets customized solutions for smallholder farmers. Many adopt Industry 4.0 technologies like AI, IoT, and predictive maintenance solutions to match capabilities of larger rivals. Some leverage local dealerships to gain faster market access in developing regions.

Emerging Startups – Tractors Industry Ecosystem

Innovative Technologies: In the tech space, companies like Tartan Global are developing intelligent tractor control systems using computer vision, GPS, and multi-sensor fusion. Fleetsheet uses AI and cloud to monitor equipment health and performance.
Sustainable Solutions: Startups also focus on sustainability. Kinze Manufacturing produces tractors that run on renewable fuels and AGre uses artificial intelligence to optimize seed and fertilizer usage for higher yields while minimizing waste.
Market Contribution: Some startups meet unique market demands. For example, Gold’N’Acres builds specialized equipment for vineyards and orchards while Autogrow focuses on greenhouse automation solutions.

Key Players Insights