The global Autonomous Tractor Market is estimated to be valued at US$ 1248.24 Mn in 2023 and is expected to exhibit a CAGR of 23% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Autonomous tractors are advanced farming equipment that utilizes technologies such as GPS, IoT, sensors, and AI to perform agricultural tasks autonomously. They can complete operations such as plowing, seeding, spraying, and harvesting on farms with minimal or zero human intervention. Using autonomous tractors allows farmers to increase productivity by operating equipment continuously throughout the day. It also helps improve safety by removing the need for operators to drive tractors for extended hours. The autonomous feature is gaining popularity among farmers as it helps reduce labor costs and improves efficiency.
Market key trends:
One of the major trends in the autonomous tractor market is the growing adoption of digitization and connectivity in the agriculture industry. Most modern autonomous tractors come equipped with features such as GPS, computer vision, sensors, and satellite navigation that make them capable of performing complex field operations autonomously. The digitization trend is enabling farmers to access real-time insights about field conditions, weather, and equipment health through mobile applications and web portals. Connected tractors also facilitate remote monitoring and operation to improve productivity. The availability of wireless connectivity technologies such as 4G and 5G is supporting the development of advanced digitized autonomous tractors with improved functionality.
Porter’s Analysis
Threat of new entrants: Low investments required for startups to enter the market given growing adoption of advanced technologies. However, the established players have significant technological expertise, capital resources and economies of scale which pose entry barriers.
Bargaining power of buyers: Growing demand for autonomous tractors coupled with presence of multiple manufacturers provides buyers with higher bargaining power to negotiate on prices.
Bargaining power of suppliers: Major suppliers for components include electronics, software and mechanical parts companies. Supplier base is fragmented without dominance of few major suppliers.
Threat of new substitutes: Emerging technologies in agricultural machineries such as drones, robotics etc. pose limited threat currently as autonomous tractors provide significant benefits over manual operations.
Competitive rivalry: Intense competition exists among key manufacturers to gain higher market share through new product launches, partnerships and technological innovation in autonomy.
Key Takeaways
The Global Autonomous Tractor Market Size is expected to witness high growth, exhibiting CAGR of 23% over the forecast period, due to increasing demand for automation and advanced technologies in farming operations. North America currently dominates the market owing to significant adoption of autonomous tractors by large scale farms in the region.
The Asia Pacific region is expected to be the fastest growing market for autonomous tractors during the forecast period. Countries such as India, China are witnessing rapid mechanization of agricultural activities to boost productivity which is promoting the adoption of automated tractors.
Key players operating in the autonomous tractor market are AGCO Corporation, Deere & Company, Mahindra and Mahindra Ltd, Autonomous Tractor Corporation, CNH Industrial, Kubota Corporation, Dutch Power Company (Alamo Group), Yanmar Co. Ltd, Zimeno Inc DBA Monarch Tractor, AutoNext Automation. These players are focusing on new product launches integrated with advanced technologies and partnerships to strengthen their market presence.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
