Used tractor inventory levels in Sandhills Global marketplaces rose again in February, continuing a long-term inventory rebound that began in Q2 2022 as various pandemic-related farm equipment production and supply chain constraints began to ease. Inventory levels increased across all used tractor categories, from under-100-horsepower compact and utility tractors to 300-and-greater-HP tractors, when comparing February 2022 to February 2023.
“We typically see tractor inventory levels increase in January and February, but the year-over-year gains in recent months indicate that current inventory trends are outpacing seasonal effects,” says Sales Manager Mitch Helman. “Inventory of compact and utility tractors have increased faster than higher-horsepower farm tractors, so farm equipment sellers should monitor changing trends as buyers come in this spring.”
The key metric used in all of Sandhills’ market reports is the Sandhills Equipment Value Index (EVI). Buyers and sellers can use the information in the Sandhills EVI to monitor equipment markets and maximize returns on acquisition, liquidation, and related business decisions. The Sandhills EVI data include equipment available in auction and retail markets, as well as model year equipment actively in use. Effective with the January 2023 EVI, Sandhills introduced version enhancements and weighted adjustments. All historic EVI metrics were amended and recalculated back to 2005, and all calendar year 2023 EVI releases will include these enhancements.
U.S. Used Farm Equipment
- Used farm equipment inventory, which includes 100 HP or greater tractors and combines, has climbed steadily since the middle of 2022. In February, farm equipment inventory levels were up 2.78% month over month and 15.99% year-over-year.
- Asking values have remained strong for used farm equipment during the extended inventory rebound. Asking values increased 0.82% month-over-month and were up 11.11% year-over-year..
- Auction values for used farm equipment dropped 0.42% month-over-month but increased 8.96% year-over-year. in February.
- Increases in year-over-year. asking and auction values were driven by late-model combines and high-HP (300-and-greater-HP) tractors.
U.S. Used Compact and Utility Tractors
- Inventory levels for used compact and utility tractors increased 1.58% from January to February and were 80.58% higher year-over-year. in February.
- As used inventory for compact and utility tractors has continued to grow, asking value increases have slowed and auction values remained on par with last year.
- Asking values decreased 0.23% month-over-month but increased 6.33% year-over-year. and are currently trending up.
- Auction values increased 1.5% month-over-month and were nearly even (0.07%) year-over-year. and are currently trending sideways.
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