Sandhills Global’s September 2024 U.S. agriculture equipment report revealed that inventory levels for most agriculture equipment is trending upward, with the exception of used combines and used compact and utility tractors.
U.S. Used Tractors 100 Horsepower and Greater
- Inventory levels in this market have been climbing for several months. In September, inventory increased by 1.35% M/M and 34% Y/Y. High-horsepower (300 HP and greater) tractors constitute the leading growth category, with inventory 56.11% higher than year-ago levels and 32.23% higher than in September 2019 (pre-COVID).
- Asking values decreased slightly M/M at 0.67% following months of decreases. Asking values were down 3.29% Y/Y.
- Auction values in this market have decreased more rapidly than asking values, creating a noteworthy gap. This EVI spread, which measures the percentage difference between asking and auction values, reached 48% in September, exceeding historic highs set in 2015. Auction values were down 1.39% M/M and 14.32% Y/Y and are trending downward. The used 175-to-299-HP tractor category showed the steepest Y/Y auction value decrease with a 15.56% drop; the used high-HP tractor category was next in line with a 15.3% Y/Y drop.
U.S. Used Combines
- Inventory levels of used combine harvesters decreased 2.14% M/M in September and are trending down, but were 8.53% higher than last year.
- Following months of decreases, asking values were down 2.67% M/M in September but were up slightly, by 0.77%, Y/Y.
- Similarly, auction values have decreased over several months and were down by 2.15% M/M and 6.74% Y/Y in September. EVI spread in this market fell, but at 56%, it still far exceeds historical values.
U.S. Used Self-Propelled Sprayers
- Inventory levels of used sprayers have been rising for months. This continued in September, as the market posted gains of 6.23% M/M and 36.99% Y/Y.
- Asking values increased 2.04% M/M, decreased 3.45% Y/Y, and are trending sideways.
- Auction values, on the other hand, decreased by 4.6% M/M, continuing a trend of consecutive monthly declines, and were 21.12% lower Y/Y. EVI spread continues to exceed historical values, jumping to 62% in September.
U.S. Used Planters
- Inventory levels in Sandhills’ U.S. used planting equipment market are still trending upward. Inventory was up 1.09% M/M and 5.4% Y/Y.
- Asking values decreased by 2.69% M/M and 9% Y/Y and are trending downward.
- Auction values also decreased, by 1.68% M/M and 23.24% Y/Y, but are trending sideways. The EVI spread for used planters has dropped in recent months, resting at 66% in September, which is lower than the 72% high observed in 2015.
U.S. Used Compact and Utility Tractors
- Inventory and values are trending downward in Sandhills’ U.S. used compact and utility tractor market. Inventory levels rose slightly, at 0.54%, M/M in September, but were 11.52% lower Y/Y. Inventory levels in the less-than-40-HP tractor category were down 15.68% Y/Y.
- Asking values decreased by 0.94% M/M and 4.37% Y/Y.
- Auction values decreased by 1.17% M/M and 6.01% Y/Y.
Sandhills Global also released its September 2024 agriculture report for Canada.
