Autonomous Tractors Market

Global Autonomous Tractors Market Size (2024 to 2032)

The global autonomous tractors market was valued at USD 2.71 billion in 2023 and is anticipated to reach USD 3.34 billion in 2024 from USD 18.11 billion by 2032, growing at a CAGR of 23.5 % from 2024 to 2032.

Market Drivers

The easy access and availability of IoT and navigation technologies are driving the autonomous tractor market by lowering the cost of automation in the manufacturing of tractors. The IoT devices incorporated in the farm management software help the farmers analyze the data on the various external and internal factors affecting the crop, such as the weather, temperature, moisture, pH, and many others. The insights provided by the sensors help optimize the yield, properly plan the resources, and make strategic decisions in the activities to harvest maximum yield. The information collected from the sensors is provided to the farmers so they can take necessary action. Sensors and software provide real-time data to the farmers. The GPS real-time kinematics navigation used in agriculture has become the standard for the auto-steering system in the tractor. There could be a streamlining of the operations in the autonomous tractors with the integration of IoT and navigation technologies. It also reduces costs and provides improved efficiency in the agriculture sector.

Market Restraints

One of the most challenging factors for the autonomous tractors market is the high involvement of investment. This is acting as a barrier to the adoption of the product among the users, thereby decreasing the growth of the market. In most of the agriculture-priority countries like India and China, the farmers are mostly small and marginal. This acts as a drawback for the adoption of autonomous tractors due to the high cost associated with the various parts used in them, such as sensors, software, and infrastructure. The financial hurdles may restrict the easy entry of new players into the market. By better utilizing the technology and economies of scale, the company can provide autonomous tractors to users at a reasonable rate and simultaneously make profits for the company.

The requirement of a proper understanding of the advanced technologies used in autonomous tractors by the farmers is another restraint to the autonomous tractors market. There is a requirement for proper understanding, application, and troubleshooting of the integrated complex technologies such as GPS, machine learning algorithms, and others by farmers. Without adequate knowledge about their operationality, farmers could face trouble using them, which would result in a low adoption rate of autonomous tractors.

Impact Of COVID-19 On The Autonomous Tractors Market

The pandemic has shown a combined effect on the autonomous tractors market. The increased health and safety measures caused a decrease in the operational activity timings, resulting in the lower availability of raw materials and other essential parts to the manufacturers. It is coupled with the disruption in the supply chain and labor shortage in the market. The effect was strengthened with the implementation of lockdowns and travel restrictions across the globe. However, the essential requirement of food made the farmers take part in agricultural practices, and the government also supported the investment in automation, helping in the accelerated adoption of autonomous tractors by farmers.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Autonomous Tractors Market By Crop Type

The fruits and vegetables segment, such as oranges, vineyard, and others, hold a large market share in the autonomous tractors market during the forecast period. There is a rapid increase in the demand for fruits and vegetables with the rising population in the world. To have sustainable farming practices, farmers started using automated tractors in their fields. The specialized programs scheduled in these tractors prevent unnecessary crop damage and protect the soil. The eco-friendly approaches combined with sustainable practices make it more pleasing to the consumers and regulatory authorities. By considering these factors in the future, there is an anticipated increase in market growth.

Global Autonomous Tractors Market By Form Application

The tillage segment is predicted to have a large market value in the autonomous tractors market. Traditionally, tillage requires manual and skilled laborers to operate the tractor, but the adoption of autonomous tractors reduces the cost and reduces the dependency on the labor of the operation, thereby increasing efficiency. The sensors in the tractors collect data, such as moisture level, compaction, and other soil characteristics, during the tillage process. Market players are emphasizing the adoption of autonomous tractors by increasing awareness. It helps address the challenges posed by labor and unforeseen uncertainties in the availability of labor, such as during the COVID-19 period.

Global Autonomous Tractors Market By Power Output

The power output of a range above 100 HP is anticipated to have a large share in the autonomous tractors market. In developed countries like America and Europe, farmers have large farm sizes demanding high-engine power tractors. To complete the farm activities effectively, efficiently, and on time requires such high-power tractors. Handling large field operations, including tilling, planting, and harvesting, requires the use of high-powered tractors. The rise in the adoption of modern farming techniques, precision agriculture, and the requirement of high food production propels the engine power tractors.

Global Autonomous Tractors Market By Component

Camera vision systems are expected to have a big share in the autonomous tractors market during the forecast period. These systems enable the capture and monitoring of real-time data of the surroundings and enable navigation through complex pathways and making decisions. The information provided by the tractor helps improve the efficiency, productivity, and accuracy of field-level operations such as planting, tilling, spraying, and harvesting, thereby reducing the working capital. As there is an increase in the adoption of the camera’s vision system in autonomous tractors, it fuels the market growth.

 REGIONAL ANALYSIS

North America is anticipated to have the largest share in the autonomous tractors market during the forecast timeline. The presence of technological advancement and rise in the adoption rate in such regions owes to the rapid expansion of the market in the North American region. The region is also known for the ecosystem of innovation, with various institutions and tech companies involved in supporting and investing in autonomous technologies to drive market growth. Further, favorable government and regulatory bodies aim to promote and encourage farmers to adopt and utilize autonomous tractors. One of the major factors for the adoption of autonomous tractors by the farmers in this region is farmers own large farms that require the adoption of advanced technology to perform farming activities efficiently and accurately. This accelerated adoption by the farmers positioned North America at the front in the market share and expansion.

KEY MARKET PLAYERS

AGCO Corporation; Deere & Company (John Deere); SDF Group; TYM Corporation; CNH Industrial N.V.; Kubota Corporation; Yanmar Holdings Co., Ltd; Autonomous Tractors Corporation; Iseki & CO., LTD; Mahindra & Mahindra Ltd; Monarch Tractor; New Holland Agriculture Pvt ltd; Navistar, Inc; Hino Carss. Some of the major key players are involved in the global autonomous tractor market.

RECENT HAPPENINGS IN THE GLOBAL MARKET

• In 2023, the LX20 Series was launched by Kubota Corporation, with the LX3520 and LX4020 as the first two models. These models will offer numerous enhancements. L2502 and L4802 are introduced from their popular L02 Series. With the launch of new tractors in the LX series and L02 Series, Kubota is expanding its tractors series.
• In 2023, T4 Electric Power, which can be used as an all-electric utility tractor with an autonomous feature, was launched by New Holland Agriculture. This tractor combines powerful, emission-free, clean energy with cutting-edge autonomous technology. Utility Electric is the new category in the market created with this launch. This tractor is designed in such a way as to provide more efficient solutions for the various field operations.
• In 2023, a specialized New York startup in human-in-the-loop technology called SparkAI has been acquired by John Deere. This acquisition helps in the use of technology-aided robots for real-time decision-making for handling complex situations.

DETAILED SEGMENTATION OF THE GLOBAL AUTONOMOUS TRACTORS MARKET INCLUDED IN THIS REPORT

This research report on the global autonomous tractors market has been segmented & sub-segmented based on the crop type, form application, power output, and region.

By Crop Type

• Cereals & grains
• Oilseeds & Pulses
• Fruits and Vegetables

By Form application

• Tillage (Primary & secondary)
• Seed Sowing
• Harvesting
• Others

By Power Output

• Up to 30 Hp
• 30 Hp to 100 Hp
• Above 100 Hp

By Component

• Lidar
• Radar
• GPS Systems
• Camera Vision Systems
• Ultrasonic sensors
• Hand-held Devices

By Region

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East and Africa