Latin America and the Caribbean: Tractor Market 2024

Tractor Market Size in Latin America and the Caribbean

The Latin American tractor market declined to $X in 2022, shrinking by -14.5% against the previous year. The total consumption indicated buoyant growth from 2012 to 2022: its value increased at an average annual rate of +6.1% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, consumption increased by +32.1% against 2020 indices. As a result, consumption attained the peak level of $X, and then contracted in the following year.

Tractor Production in Latin America and the Caribbean

In value terms, tractor production reduced modestly to $X in 2022 estimated in export price. Over the period under review, production, however, posted a remarkable increase. The growth pace was the most rapid in 2018 when the production volume increased by 72% against the previous year. As a result, production attained the peak level of $X. From 2019 to 2022, production growth remained at a lower figure.

Tractor Exports

Exports in Latin America and the Caribbean

In 2022, shipments abroad of tractors increased by 33% to X units for the first time since 2018, thus ending a three-year declining trend. In general, exports saw a relatively flat trend pattern. The growth pace was the most rapid in 2018 when exports increased by 109%. As a result, the exports attained the peak of X units. From 2019 to 2022, the growth of the exports remained at a lower figure.

In value terms, tractor exports surged to $X in 2022. Total exports indicated temperate growth from 2012 to 2022: its value increased at an average annual rate of +3.8% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +62.7% against 2020 indices. The pace of growth appeared the most rapid in 2018 with an increase of 31%. Over the period under review, the exports hit record highs in 2022 and are expected to retain growth in the near future.

Exports by Country

Mexico was the largest exporter of tractors in Latin America and the Caribbean, with the volume of exports recording X units, which was near 62% of total exports in 2022. Brazil (X units) held a 25% share (based on physical terms) of total exports, which put it in second place, followed by Bolivia (12%).

Mexico experienced a relatively flat trend pattern with regard to volume of exports of tractors. At the same time, Bolivia (+176.9%) displayed positive paces of growth. Moreover, Bolivia emerged as the fastest-growing exporter exported in Latin America and the Caribbean, with a CAGR of +176.9% from 2012-2022. By contrast, Brazil (-2.8%) illustrated a downward trend over the same period. Bolivia (+12 p.p.) significantly strengthened its position in terms of the total exports, while Brazil saw its share reduced by -10% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Mexico ($X) remains the largest tractor supplier in Latin America and the Caribbean, comprising 80% of total exports. The second position in the ranking was taken by Brazil ($X), with a 20% share of total exports.

In Mexico, tractor exports expanded at an average annual rate of +5.2% over the period from 2012-2022. The remaining exporting countries recorded the following average annual rates of exports growth: Brazil (+0.1% per year) and Bolivia (+49.2% per year).

Export Prices by Country

The export price in Latin America and the Caribbean stood at $X per unit in 2022, declining by -6.5% against the previous year. In general, the export price, however, recorded tangible growth. The pace of growth appeared the most rapid in 2021 an increase of 170%. As a result, the export price reached the peak level of $X per unit, and then contracted in the following year.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Mexico ($X per unit), while Bolivia ($X per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Mexico (+4.6%), while the other leaders experienced mixed trends in the export price figures.

Tractor Imports

Imports in Latin America and the Caribbean

In 2022, tractor imports in Latin America and the Caribbean shrank to X units, reducing by -14.6% against 2021 figures. In general, imports continue to indicate a pronounced curtailment. The pace of growth appeared the most rapid in 2021 with an increase of 64%. The volume of import peaked at X units in 2012; however, from 2013 to 2022, imports stood at a somewhat lower figure.

In value terms, tractor imports expanded remarkably to $X in 2022. Overall, imports recorded a pronounced shrinkage. The pace of growth was the most pronounced in 2021 with an increase of 59%. Over the period under review, imports hit record highs at $X in 2012; however, from 2013 to 2022, imports remained at a lower figure.

Imports by Country

The purchases of the twelve major importers of tractors, namely Chile, Brazil, Mexico, Argentina, Uruguay, Peru, Colombia, Guyana, Paraguay, Belize, Ecuador and Bolivia, represented more than two-thirds of total import.

From 2012 to 2022, the most notable rate of growth in terms of purchases, amongst the key importing countries, was attained by Brazil (with a CAGR of +5.7%), while imports for the other leaders experienced more modest paces of growth.

In value terms, Chile ($X), Brazil ($X) and Argentina ($X) were the countries with the highest levels of imports in 2022, together comprising 47% of total imports. Peru, Colombia, Paraguay, Mexico, Uruguay, Ecuador, Bolivia, Guyana and Belize lagged somewhat behind, together accounting for a further 42%.

Paraguay, with a CAGR of +8.3%, saw the highest growth rate of the value of imports, in terms of the main importing countries over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The import price in Latin America and the Caribbean stood at $X per unit in 2022, growing by 24% against the previous year. Over the period under review, the import price saw a relatively flat trend pattern. Over the period under review, import prices hit record highs at $X per unit in 2015; however, from 2016 to 2022, import prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Paraguay ($X per unit), while Belize ($X per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Mexico (+13.0%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform

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