Market Research Report

Philippines Tractor Market Research Report Forecast: (2025-2030)

Philippines Tractor Market - By Type (Light Duty Carriers, Medium Duty Carriers, Heavy Duty Carriers), By Drive Type (2-Wheel Drive, 4-Wheel Drive), By Power Output (Below 40 HP, 4...0 HP- 100 HP, Above 100 HP), By End User (Construction, Mining & Excavation, Logistics, Agriculture) and others Read more

  • Automotive
  • Jan 2025
  • 120
  • PDF, Excel, PPT

Market Insights & Analysis: Philippines Tractor Market (2025-2030):

The Philippines Tractor Market size was valued at around USD 248.11 million in 2024 and is projected to reach USD 319.209 million by 2030. Along with this, the market is estimated to grow at a CAGR of around 4.49% during the forecast period, i.e., 2025-30. Various factors are attributed to the growth of the market. Multiple government initiatives, schemes, and policies have been implemented in the Philippines for the sectoral growth of agriculture which is further driving the market demand for tractors in the industry.

Report Coverage Details
  Historical Years   2020-23
  Base Years
  2024
  Forecast Years
  2025-30
  Market Value in 2024   USD USD 248.11 Million
  Market Value in 2030   USD 319.209 Million
  CAGR (2025-30)   4.49%
  Top Key Players Ford Tractor Philippines, Kubota Philippines, Inc., Yanmar, Massey Ferguson, CNH (Case IH & New Holland), John Deere, McCormick, Landini, YTO International, Ltd., PREET Group, and others
  Key Report Highlights
  • Market Dimensions & Projections
  • Pricing Evaluation,
  • Recent Strategic Moves by Companies,
  • Primary Stakeholders,
  • Analysis of Import and Export Trends,
  • Competitive Landscape Assessment,
  • Emerging Opportunities,
  • Market Trends and Indicators

 

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The Farm Mechanization Program from the Department of Agriculture helps in the procurement of tractors making it more accessible to the farmers and competitive at the same time. Distribution of 1200 to 1600 farm machinery including tractors will be conducted under this program. It has also outlined many strategies for the modernization of Philippine agriculture through mechanization with infrastructural improvements & adoption of science-based strategies. Additionally, there are multiple provisions of subsidies and affordable credit provided by the government to support farmers in attaining the required farm machinery through The Comprehensive Agricultural Loan Fund.

Since the Pandemic the Philippines market is facing labor shortages which has led to the mechanization of farming operations to improve efficiency and productivity that requires intensive use of machinery like tractors. Around 511,000 workers were lost in 2022 in the agriculture and forestry industry due to factors like seasonality. Seeing the reduction from 9.73 million to 9.22 million. Even in the first three quarters of 2024, the number of employed people in the agriculture sector decreased by 697,000 in January, 1.32 million in February, and 1.33 million in March. This in turn boosted the demand for the tractor market as they can easily replace manual labor with advanced machinery. The shortage in labor coupled with increasing mechanization will further strengthen the market growth during the forecast period.


Philippines Tractor Market Research Report Forecast: (2025-2030)

Philippines Tractor Market Driver:

Agriculture Sector Driving Market Demand – Agriculture plays a vital role in the Philippine economy. The sector has employed around 25% of the total workforce available in the country. The adoption of tractors in agriculture is a crucial step in modernizing the Philippines market. The systematic training & education of this workforce regarding the use of new farm machinery including tractors, by the government, further enhances productivity. The use of tractors has been intensively increased in the sector due to labor shortages, modernization of farm machinery, and other economic benefits. For better crop yield the tractors are highly being used in plowing, planting, and harvesting. Their use case is also found in precession farming ensuring optimal use of resources like seeds, fertilizers, and water, thereby maximizing productivity. With government support to strengthen the agricultural sector in the country, the tractor market will grow simultaneously.

Philippines Tractor Market Opportunity:

Growing Demand in the Construction Industry – The growing construction projects in the country are creating a high demand for tractors due to their extensive use in land clearance, lifting, drilling, landscaping, and others. Projects like; Negros Occidental solar plant, Azure North, AGAIA office building, and others are in the development phase, creating multiple opportunities for market players. Also, there are around 134 projects in the physical connectivity sector and 29 projects in water resources that are to be developed under the Government’s Build Better More program. The government’s focus on developing social infrastructure and affordable housing under the "Build, Build, Build" program also requires transporting materials via trucks and tractors, creating extensive demand for tractors in the industry. The opportunities for the tractor market will grow further as construction activities continue to rise.

Philippines Tractor Market Challenge:

High Initial Cost of Investment – The high initial cost of attaining the tractors poses a significant challenge for the market. For Instance; the cost of 1 tractor can range from USD 8.6 thousand to USD 51.6 thousand in the country depending entirely upon the specification and the model. This limits access to advanced machinery that is crucial for productivity enhancement and farming efficiency. Even with government schemes, many small-scale farmers struggle to afford the heavy initial cost of these tractors. Addressing this challenge is crucial for the market players for the widespread adoption of mechanization and the continued growth of the tractor market in the Philippines.

Philippines Tractor Market Trend:

Development of Futuristic Tractors – The development of futuristic tractors is a notable trend in the Philippines Tractor Market. Innovations like the enhanced Oggun tractor, developed in collaboration with SEARCA and RU Foundry, are one of the best examples of this trend. This tractor features an open-systems design for easier maintenance, improved maneuverability, and a sturdier frame for diverse soil conditions. Additionally, it boasts a locally produced hydraulic cylinder and an upgraded engine for efficient fuel consumption. Such advancements are crucial for modernizing Philippine agriculture, making farming more efficient and cost-effective. The introduction of these futuristic tractors is expected to significantly reduce the labor and time required for land preparation, benefiting local farmers. For instance; Kubota unveiled the New Actually Concept, fully electric and autonomous tractors, at CES 2024.

Philippines Tractor Market (2025-2030): Segmentation Analysis

The Philippines Tractor Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2025–2030 at the national level. Based on the analysis, the market has been further classified as:

Based on Power Output:

  • Below 40 HP
  • 40 HP- 100 HP
  • Above 100 HP

Based on power output, below 40 HP leads the Philippian Tractor Market and holds approximately 60% market share. A major portion of the economy contributes to agricultural activities, where these kinds of tractors are extensively used by small-scale farmers. Due to its affordability, it is highly used in assisting the transportation of goods, harvesting, plowing, planting, and harrowing. They are well suited for small fields with tight spaces common in the fragmented agricultural lands of the Philippines, which further helps to eliminate costs associated with large tractors. Their ease of use and maintenance further add to their appeal, providing farmers with a practical and efficient solution to enhance productivity.

By End User:

  • Construction
  • Mining & Excavation
  • Logistics
  • Agriculture
  • Others

The agriculture sector leads the Philippines Tractor Market and holds approx. 70% market share. The high demand for agricultural machinery including tractors in the country is boosting the market growth. The usage of tractors in modern farming techniques further derives the market demand. Moreover, the Philippine government is actively supporting agricultural mechanisms through various schemes and policies that contribute to market growth. The sector’s leadership is also established by the high availability of tractors made for small-scale farmers to fulfill their needs. The agricultural sector will continue to dominate the Philippines Tractor Market during the forecast period.

Philippines Tractor Industry Recent Development:

  • November 2024: Kubota Philippines, Inc. introduced the newest members of its legendary L Series family -the L3228 and L4028 which are designed with rugged durability & next-level innovation.
  • August 2024: Ford Tractor Philippines displayed its new YTO NLX954 and YTO NLX1404 Tractors, which are both suited for sugarcane farming due to their high horsepower and low fuel consumption. This display was at the 70th PHILSUTECH National Convention.

Gain a Competitive Edge with Our Philippines Tractor Market Report

  1. The Philippines Tractor Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size, growth rate, competitive landscape, and key players. This comprehensive analysis helps business organizations to gain a holistic understanding of market dynamics & make informed decisions.
  2. This report also highlights current market trends & future projections, allowing business organizations to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
  3. The Philippines Tractor Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, business organizations can develop strategies to minimize risks & optimize their operations.

*Reports Delivery Format - Market research studies from MarkNtel Advisors are offered in PDF, Excel and PowerPoint formats. Within 24 hours of the payment being successfully received, the report will be sent to your email address.

Frequently Asked Questions

   A. The Philippines Tractor Market is expected to grow at a compound annual growth rate (CAGR) of around 4.49% over the forecast period.

   A. The Philippines Tractor Market size was valued at around USD 248.11 million in 2024 and is projected to reach USD 319.209 million by 2030.

   A. The agricultural sector is expected to drive the Philippines Tractor Market during 2025-30.

   A. Ford Tractor Philippines, Kubota Philippines, Inc., Yanmar, Massey Ferguson, CNH (Case IH & New Holland), John Deere, McCormick, Landini, YTO International, Ltd., PREET Group, and others are the top companies in the Philippines Tractor Market.

   A. The below 40 HP segment held the largest share of the Philippines Tractor Market.

   A. The development of futuristic tractors is one of the key trends shaping the growth of the Philippines Tractor Market.

   A. The growing demand in the construction industry is one of the growth opportunities driving the Philippines Tractor Market.

   A. The high initial cost of investment is one of the possible restraints affecting the growth of the Philippines Tractor Market.

  1. Market Segmentation
  2. Introduction
    1. Product Definition
    2. Research Process
    3. Assumptions
  3. Executive Summary
  4. Philippines Tractor Market Trends & Deployments
  5. Philippines Tractor Market Dynamics
    1. Growth Drivers
    2. Challenges
  6. Philippines Tractor Market Opportunities & Hotspots
  7. Philippines Tractor Market Value Chain Analysis
  8. Philippines Tractor Market Regulations and Policy
  9. Philippines Tractor Market Outlook, 2020-2030F
    1. Market Size & Analysis
      1. By Revenues (USD Million)
    2. Market Share & Analysis
      1. By Type
        1. Light Duty Carriers- Market Size & Forecast 2020-2030, USD Million
        2. Medium Duty Carriers- Market Size & Forecast 2020-2030, USD Million
        3. Heavy Duty Carriers- Market Size & Forecast 2020-2030, USD Million
      2. By Drive Type
        1. 2-Wheel Drive- Market Size & Forecast 2020-2030, USD Million
        2. 4-Wheel Drive- Market Size & Forecast 2020-2030, USD Million
      3. By Power Output
        1. Below 40 HP- Market Size & Forecast 2020-2030, USD Million
        2. 40 HP- 100 HP- Market Size & Forecast 2020-2030, USD Million
        3. Above 100 HP- Market Size & Forecast 2020-2030, USD Million
      4. By End User
        1. Construction- Market Size & Forecast 2020-2030, USD Million
        2. Mining & Excavation- Market Size & Forecast 2020-2030, USD Million
        3. Logistics- Market Size & Forecast 2020-2030, USD Million
        4. Agriculture- Market Size & Forecast 2020-2030, USD Million
        5. Others
      5. By Region
        1. Luzon
        2. Visayas
        3. Mindanao
      6. By Company
        1. Competition Characteristics
        2. Market Share and Analysis
  10. Light Duty Carriers Tractor Market Outlook, 2020-2030F
    1. Market Size & Analysis
      1. By Revenues (USD Million)
    2. Market Share & Analysis
      1. By Drive Type-Market Size & Forecast 2020-2030, USD Million
      2. By Power Output- Market Size & Forecast 2020-2030, USD Million
      3. By End User-Market Size & Forecast 2020-2030, USD Million
      4. By Region- Market Size & Forecast 2020-2030, USD Million
  11. Medium Duty Carriers Tractor Market Outlook, 2020-2030F
    1. Market Size & Analysis
      1. By Revenues (USD Million)
    2. Market Share & Analysis
      1. By Drive Type-Market Size & Forecast 2020-2030, USD Million
      2. By Power Output- Market Size & Forecast 2020-2030, USD Million
      3. By End User-Market Size & Forecast 2020-2030, USD Million
      4. By Region- Market Size & Forecast 2020-2030, USD Million
  12. Heavy Duty Carries Tractor Market Outlook, 2020-2030F
    1. Market Size & Analysis
      1. By Revenues (USD Million)
    2. Market Share & Analysis
      1. By Drive Type-Market Size & Forecast 2020-2030, USD Million
      2. By Power Output- Market Size & Forecast 2020-2030, USD Million
      3. By End User-Market Size & Forecast 2020-2030, USD Million
      4. By Region- Market Size & Forecast 2020-2030, USD Million
  13. Philippines Tractor Market Strategic Imperatives for Growth & Success
  14. Competition Outlook
    1. Company Profiles
      1. Ford Tractor Philippines
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      2. Kubota Philippines, Inc.
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      3. Yanmar
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      4. Massey Ferguson
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      5. CNH (Case IH & New Holland)
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      6. John Deere
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      7. McCormick
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      8. Landini
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      9. YTO International, Ltd.
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      10. PREET Group
        1. Business Description
        2. Product Portfolio
        3. Strategic Alliances or Partnerships
        4. Recent Deployments
        5. Financial Details
        6. Others
      11. Others
  15. Disclaimer


Philippines Tractor Market Segmentation