Coming in at a year-end total at 3088 units, a rise of around 10% over the 2806 total for 2024, the signs are that the New Zealand farm machinery industry is turning the corner after a difficult couple of years.
Undoubtedly driven by rising confidence in the beef, sheep and dairy sectors, with the latter expecting a large paycheck from the sale of Fonterra’s retail brands to Lactalis – the result is a welcome gain for the key support industry.
December deliveries of 329 units were a 5.8% lift over December 2024, with increased sales in the 200hp-plus sector – up 26.1% or 6 units over 2024. Looking at the year-end numbers, three key segments – 100- 150hp, 150-200hp and 200hp-plus – finish the year up 17.8%, 37.1% and 9.7% respectively.
Delivery across both islands was broadly similar with North Island deliveries up 9.2% (1937 total units) and the South Island up 11.4% (1151 total units). A slight negative was the 0-40hp segment that remained static and 40-100hp that fell 6.4%.
Tractor and Machinery Association (TAMA) president Jaiden Drought said it’s great to see signs of a significant strengthening in the market after what has been a difficult couple of years.
“My take is there is a general trend of cautious optimism, so it will be interesting to see what the feel is at the upcoming regional field day events. Overall, 2026 is likely to be a year of steady growth, likely ending up at the current five-year average for tractor registrations.”
In the Northern Hemisphere, UK agricultural tractor registrations fell to their lowest level on record in 2025 and are the lowest since before the Second World War, the Agricultural Engineers Association (AEA) has confirmed. December saw only 541 machines registered, the lowest number since December 2016.
The AEA explained that the tractor market remains at a low ebb due to a lack of confidence in the farming sector, prompted by factors including: uncertainty about future agricultural and tax policy, challenging weather conditions, increased costs and weak prices for some commodities, notably arable crops.
While all power bands saw a decline in registrations, the biggest falls were for 240hp plus tractors, down a third compared with 2024, reflecting the challenging financial position of arable farmers. The rest of the market saw an overall fall of around 11%. The overall decline saw the average power of tractors fall to 173hp (2024 was 180hp), with the total horsepower of tractors registered falling to a 24-year low of 1.52 million hp.