Comparison of agricultural machinery production volumes in 2023 and 2024

In 2023 and 2024, the agricultural machinery industry faced significant challenges, which affected production volumes and general market trends. Changes in the economic situation and demand for machinery in the world have forced manufacturers to adapt to new realities.

2023: The beginning of the recession

2023 was a turning point for many agricultural machinery manufacturers. After some recovery in 2022, the market began to show a downward trend.

Similar trends were observed in large market players such as Agco and CNH Industrial. High inflation, rising energy costs, and problems with the supply of materials have led many farmers and agricultural enterprises to postpone the renewal of their agricultural machinery, which in turn has negatively affected production volumes. You can always contact the online store Bas. ua online store, which supplies spare parts for agricultural machinery of the following brands: Lemken, Gregoire Besson tillage equipment; Case, Claas, CNH, Dominoni, Fantini, Franco Fabril, Geringhoff, JOHN GREAVES, Olimac, OptiSun, Oros, Zafrani, Ziegler headers; Claas combines, CNH (New Holland, Case) combines, John Deere combines; fertilizer spreaders Bergmann, Bogballe, Gaspardo, Kuhn, Kverneland, Sola, UNIA; seeders Gaspardo, Great Plains, Horsch, John Deere, Kuhn, Kverneland, Monosem.

2024: Further decline

The year 2024 confirmed the negative forecasts made earlier. John Deere, like its competitors, expects a further decline in production. Annual turnover in the segment of agricultural machinery and precision farming equipment is expected to fall by 20-25%. This decline is due to market saturation, declining demand and economic uncertainty in different regions of the world.

John Deere's turnover for the first half of the year (October-April) amounted to $27.4 billion, which is 9% less than in the same period of 2023. Revenues from the sale of agricultural machinery and precision farming equipment amounted to $11.4 billion, which is 12% less than in the same period of 2023.

At the same time, the construction and forestry machinery segment is also facing difficulties, with turnover expected to decline by 5-10%. In general, agricultural machinery manufacturers continue to face challenges, which threatens the stability of the industry in the short term.

Comparison and conclusions

If we compare 2023 and 2024, we can note the strengthening of negative trends in the production of agricultural machinery. The decline began in 2023 and continued in 2024, deepening the crisis in the market. Manufacturers such as John Deere, Agco, and CNH Industrial are forced to look for new solutions and adapt their strategies to changing conditions.

Despite the difficulties, the industry continues to develop in the direction of innovation, particularly in precision agriculture and automation, robotics. These areas may be key to overcoming the current crisis and restoring production in the future.

Thus, 2023 and 2024 will be the years of challenges and changes for the agricultural machinery market, which requires producers to respond quickly and adapt to new economic realities.