AEM says June equipment sales is a mixed bag but shows strength in economy
The Association of Equipment Manufacturers says their recent report suggests some optimism in the farm economy.
Senior Vice President of Agriculture Curt Blades tells Brownfield combine sales increased 25 percent in June compared to May. “They have to feel pretty good about long term prospects. When we see strength in sales in the 100-plus (horsepower) market is 10 percent year-to-date over where we were last year. That indicates that farmers are feeling pretty good about their long-term viability of their farming operation.”
AEM’s Flash Report that collected data from its member manufacturers says tractors with 100-plus horsepower are up 10 percent, while machines with less than 40 horsepower are down 10 percent from last month.
Total sales of tractors are down 8 percent this year compared to 2021, which he says is likely caused by supply chain disruptions. “We’ve been hearing from our members for some time that they’d love to produce more and to deliver more tractors to meet demand, specifically in those smaller horsepower ranges.
Blades says wait times are still above average for new equipment.
“Who knows how much higher these numbers might be if we were able to meet that demand exactly where it is.”