The tractor industry has always been a key sector in the agricultural equipment industry and holds a significant position in the agricultural machinery system. According to the prediction of the German Agricultural Association, by 2025, the global annual output value of major agricultural machinery categories is expected to reach approximately 1.6 trillion yuan. Among them, the output value of the two major product categories of tractors and combine harvesters is estimated to be about 1.2 trillion yuan, accounting for 73%, with tractors accounting for approximately 45%.
China's tractor industry has developed rapidly. Currently, the annual output value of domestic tractors exceeds 50 billion yuan, with an indirect output value of approximately 80 billion yuan, accounting for about 20% of the total output value of the agricultural machinery industry. Additionally, most tractor enterprises engage in diversified operations. Combine harvesters, transplanters, silage machines, balers and the like have all been established relying on the production capacity drive, technology spillover and management radiation of tractors. Tractors are the engines of agricultural machinery, which is well-deserved.
Looking at the changes in the domestic tractor market sales, the national agricultural machinery purchase subsidy policy that began in 2004 has played a significant role. For many consecutive years, tractors have always been the key subsidized products. Under the dual influence of policy pull and rigid demand, the social ownership has been increasing year by year, and the horsepower range has been extending year by year. In recent years, with the increase in the number of tractors in use, each province has adjusted the subsidy amount according to actual needs.
