By Justin Walker
Communications Specialist

The latest U.S. Ag Tractor and Combine Sales Report showed mixed sales for farm equipment.

The report, released by the Association of Equipment Manufacturers (AEM), showed a nine percent increase in 4-wheel drive tractor sales, but a 10 percent decline in 2-wheel drive sales. Self-propelled combines sold in February increased by 34 percent from the same time in 2017.

“We’ve been cautiously optimistic for some growth in 2018, following a somewhat bumpy 2017 and positive overall numbers in January,” Curt Blades, AEM senior vice president for AG Services, said. “However, it’s too soon in the year to predict where we’re headed.”

Tractor sales this year in the United States have been similar to previous year’s numbers through two months. From 2015 to 2018, sales dropped from January to February each year except for 2017, which saw a slight, but not significant, rise in sales. Each of the previous years, including the five-year average from 2013 to 2017, saw massive rises in sales during March and peaking in April.

Blades hopes for similar trends to occur but has concerns as NAFTA talks continue.

“A major issue is pending U.S. steel tariffs and their implications on agriculture beyond the equipment sector,” Blades said. “Past trade wars resulting from U.S. tariffs have targeted commodities, so this is a real concern. AEM and our manufacturers will be carefully monitoring their impact on tractor and combine sales in the coming months.”

According to a recent survey conducted by Bloomberg News, about two-thirds of 35 economists believed the tariffs would cause a small drop in economic growth in the United States. None of the polled economists felt as if the tariffs would cause a major shift in either direction, unless the situation escalates.