Sandhills Global: Used Tractor and Combine Inventory Declines in July Amid Shifting Price Trends

U.S. Used Tractors 100 Horsepower and Greater

Inventory levels in this market fell 1.42% M/M and 4.17% Y/Y in July, continuing a downward trend. The used 100- to 174-HP tractor category had the largest inventory level decreases, down 4.13% M/M and 13.07% Y/Y.
Asking values in this market continued a six-month-long downward trend, dropping 1.37% M/M and 6.28% Y/Y in July. Used 100- to 174-HP tractors led other categories in M/M asking price decreases with a 2.36% drop, while the used 300-plus-HP tractor category led in Y/Y decreases, falling 6.03%.
Auction values continued to trend downward, with decreases of 1.35% M/M and 2.83% Y/Y in July. The used 175- to 299-HP tractor category exhibited the largest auction value decreases, down 2% M/M and 4.55% Y/Y.
The EVI spread, which measures the percentage difference between asking and auction values, maintained the same value as the previous month, 39%, which is close to the peak values observed in 2015.

U.S. Used Combines

Used combine harvester inventory levels dropped 2.29% M/M and 7.21% Y/Y in July and are trending down.
Asking prices in this market rose 0.93% M/M and 1.98% Y/Y in July. Both asking and auction values are trending up but depreciating Y/Y for individual assets. Roughly half of the used combines on Sandhills platforms were zero to five years old in July, and approximately 60% comprised Class 8 or greater models. These data points, combined with rising MSRP values for recently added John Deere and Case IH combines, have caused asking and auction values to appear inflated compared to previous years. For example, a 2022 John Deere S780 posted Y/Y asking and auction value decreases of 13.9% and 11.7%, respectively.
Auction values were up 1.53% M/M and 9.64% Y/Y, continuing a seven-month-long upward trend.
The EVI spread decreased one point from June to 43%, which is lower than the peak values observed in 2015.

U.S. Used Sprayers

Inventory levels of used sprayers have been trending downward for five consecutive months. In July, inventory decreased by 1.59% M/M and 7.97% Y/Y.
Asking values decreased by 0.97% M/M and 4.98% Y/Y and continued a downward trend.
Auction values decreased by 0.95% M/M but ticked up by 0.07% Y/Y and are trending downward.
The EVI spread for this market remained at 43%, only slightly lower than the peak values of 2015.

U.S. Used Planters

Inventory levels in this market increased by 4.67% M/M but fell 18.19% Y/Y, continuing a downward trend for the seventh consecutive month.
Asking values were up 1.41% M/M, down 0.75% Y/Y, and are trending sideways.
Auction values increased by 2.53% M/M and 10.73% Y/Y and are also trending sideways.
The EVI spread for used planters dropped one point to 51% in July, lower than the peak values seen in 2015.

U.S. Used Compact and Utility Tractors

Inventory levels in this market fell 3.48% M/M and 23.77% Y/Y, continuing a nine-month-long downward trend. Used 40- to 99-HP tractors led other categories in M/M inventory level changes, falling 3.66%, while used tractors less than 40 HP led in Y/Y decreases, down 25.64%.
Asking values showed modest changes in July, down 0.08% M/M and up 0.63% Y/Y, and are trending sideways. The used sub-40-HP tractor category led in Y/Y asking value changes with a 1.37% increase.
Auction values were up 0.3% M/M and 2.24% Y/Y and are trending upward. Used 40- to 99-HP tractors led other categories in auction value changes in July, up 0.47% M/M and 0.58% Y/Y.