The Association of Equipment Manufacturers has released its monthly flash report for Canada and the United States.
The Canadian numbers shown below indicate that year-to-date sales for equipment are down in comparison to a year ago. Combines sales year-to-date are down 6.3% and 4WD tractors are down 9.0%. In 2018, 2WD tractors are up 3.5%, as of the end of October.
The month of October numbers are even more weaker in comparison to a year ago. 4WD tractor sales in October were down 40.7% in October, while combine sales dipped 14.1% in the month compared to a year ago.
Some analysts look to the strength of sales in 2017 being reflected in an average 2018, but others will point directly at steel and aluminum tariffs as a factor in slowing sales.
In the United States flash report below, the comparison to last year is much better. 2WD tractors are up 7.4%, 4WD tractors are up 13.5% and combine sales are up 17.1% as of the end of October.
Looking at the gross numbers does provide more clarity on the health of the Canadian market. Year-to-date there have been 1,728 combine sales while in the U.S. only 4,020 units which is clearly disproportionate for the difference in the size of the markets.
The 2017 sales year was much weaker in the U.S., and that should be considered in the year-over-year comparisons.