Tractor and machinery sales continued to trend lower in the second quarter of 2025, extending the cautious outlook observed earlier in the year. From April to June, farmers and landowners remained conservative in their purchasing decisions, especially in higher horsepower categories and non-essential equipment segments.
This report offers a detailed breakdown of tractor and machinery sales for Q2 2025, drawing on monthly data provided by the Tractor and Machinery Association (TMA) and compiled by Kynetec.
Quarterly Overview and Market Trends
Total tractor sales for Q2 2025 reached 3,646 units, down 7.6% compared to 3,947 units sold during the same quarter in 2024. While this decline is less steep than the 15.4% drop recorded in Q4 2024, it signals continued hesitancy among buyers, particularly for high-investment equipment.
Encouragingly, the quarter ended with a relatively strong June, and the 0–40 Hp and 200+ Hp categories both posted monthly year-on-year gains, hinting at pockets of resilience within an otherwise cautious market.
Tractor Sales Breakdown by Horsepower
0–40 Hp Tractors
Compact tractors continued to perform steadily in Q2, with 783 units sold, nearly matching Q2 2024 levels (784 units). After a modest dip in April, this category recorded stronger results in May and June, suggesting ongoing demand from hobby farmers, lifestyle properties, and smaller acreages.
40–100 Hp Tractors
This mid-range segment recorded 1,168 units in Q2, down 5.7% from 1,239 in Q2 2024. A small lift in June helped offset declines earlier in the quarter, but overall demand remains tepid. Shifting investment priorities and tighter cash flows will likely continue impacting this category.
100–200 Hp Tractors
Sales in this key segment totalled 1,116 units for the quarter, falling 13.5% from 1,290 units in Q2 2024. All three months recorded year-on-year declines, with April showing the steepest drop. This segment, typically popular among medium-sized commercial farms, continues to show the impact of economic caution.
200+ Hp Tractors
High-horsepower tractor sales reached 579 units in Q2 2025, a slight decline of 2.9% from the 596 units recorded in Q2 2024. Positive results in May and June helped stabilise this segment, which had seen more dramatic drops in previous quarters. These figures suggest that while broadacre investment remains limited, it has not collapsed.
Performance Across Other Key Machinery Categories
Combine Harvesters
Combine sales continued their upward trajectory, with 91 units sold in Q2, up 14.5% from 79 units in Q2 2024. June accounted for over half of the quarterly volume, suggesting seasonal timing and harvest planning may be accelerating purchases.
Balers
Balers saw another quarterly decline, with just 45 units sold, down 23.7% from 59 units in Q2 2024. The downturn reflects a continuation of trends seen in Q1, likely tied to fluctuating seasonal demand and limited investment in non-essential equipment.
Out Front Mowers
Sales in this category stabilised somewhat in Q2, with 1,358 units sold, down 7.4% from 1,466 units in Q2 2024. Strong monthly sales in June helped cushion the blow of steeper declines seen earlier in the year. This segment appears to be returning to more typical seasonal patterns after a subdued Q1.
Seasonal and Economic Considerations
The Q2 2025 data indicates a market that is adjusting, rather than collapsing. The easing of declines in total tractor sales — from a 15.4% fall in Q4 2024 to 7.6% in Q2 2025 — suggests the worst of the downturn may be behind the industry. However, sustained caution in the 100–200 Hp and baler segments points to ongoing capital restraint.
Meanwhile, the consistency of compact tractor sales and the rebound in high-horsepower and combine harvester figures offer reasons for guarded optimism. These pockets of growth suggest that where purchases are necessary — or closely aligned to productivity — buyers are still willing to commit.
As always, seasonal factors and the timing of harvests play a key role in sales fluctuations, so care should be taken when comparing monthly figures year-on-year.
Trust Retain Media for Industry Insights
Q2 2025 delivered a mixed result for Australia’s agricultural machinery market, with sales improving slightly over Q1 but still tracking below 2024 levels. With continued softness in mid-range tractors and balers, and tentative rebounds in key productivity categories, the market remains cautious but far from stagnant.
We’ll continue to monitor these shifts and provide timely updates throughout the year. For more insights, be sure to read our latest reports, including the FCAI Mid-Year 2025 Motorcycle Sales Summary, TIC T-Mark Q2 2025 Sales Summary, and our upcoming brand consideration findings across major sectors.
Retain Media provides this data “as is” for informational purposes only and accepts no liability for decisions made based on this reporting. Users are encouraged to use this data as one of multiple data points in their market analysis.
