China Agricultural Tractors Market Size

China Agricultural Tractors Machinery Market Analysis

The Chinese agricultural tractor machinery market is projected to register a CAGR of 1.5% during the forecast period.

• The growing preference for farm mechanization and an increase in the number of government-funded policies are promoting the market's growth. China has introduced the 'Made in China 2025' scheme, which aims at focusing on producing 90% of its own agricultural equipment with high-end machines, like agricultural tractors, holding a one-third share of their segments by 2020. This, in turn, boosts indigenously produced tractors leading to the growth of the agricultural tractor market in the country.
• According to Food and Agriculture Organization (FAO), rice, maize, wheat, sugarcane, potato, tea, and many others are the major crops produced in the country. In 2021, farmers in China produced around 212.84 million metric tons of rice. At the same time, the production volume of wheat amounted to approximately 136.95 million metric tons in China. The production volume of rice, wheat, and corn in China increased continuously until 2015, remained flat thereafter, but grew again in 2021.
• China's total demand for agricultural products, including food, feed, biofuel, or other use, is projected to increase substantially by mid-century. This is reflected in a 13% increase in per capita calorie demand in the 2050 BAU scenario relative to 2010 and a 6% increase relative to 2020.
• The increase in the demand for crop products (34%) is projected to be driven mainly by the country's additional usage of farm types of machinery requirements. In particular, the demand for cereals is projected to increase from 420 metric tons in 2010 to 530 metric tons in 2050, driven mainly by the increase in cereal feed demand (84%).