Brazil Sees Sharp Drop in Tractor Sales

The U.S. is not the only country seeing a slowdown in ag equipment purchases. Brazil posted a double-digit percentage decline in tractor sales in November, according to the Association of Equipment Manufacturers. Total tractor shipments were down 5 percent year over year, with sales of both high-horsepower and low-horsepower tractors down 15 percent compared to last year, following another 10 percent decline in October. High-horsepower tractor sales in Brazil fell 28 percent in November and are down 15 percent year to date, according to Truist Securities. Deere expects year-over-year tractor and combine sales in South America to be flat, AGCO is projecting modest growth in 2026, and CNH expects industry volumes to remain flat. Truist says demand remains uncertain, citing the U.S.-China trade agreement, high interest rates, and strong crop yields as contributing factors.