The Europe Agricultural Equipment Market was valued at USD 46.86 billion in 2024 and is expected to grow to USD 67.68 billion by 2033 at a CAGR of 4.17% during the period from 2025 to 2033. The market is fueled by the increasing mechanization of farming operations, rising labor costs, and the expanding use of precision agriculture technologies.
In Europe, farm equipment is critical to satisfying the continent's high standards of food production and maintaining large-scale agricultural operations. Germany, France, and Italy are among the nations with advanced farming equipment and robust manufacturing industries. The demand for farm equipment is increasing throughout the continent as a result of increasing labor costs, aging farm populations, and government subsidies that promote mechanization. Also, the emphasis on sustainable and precision agriculture farming has ensured greater use of smart equipment that minimizes waste and maximizes productivity. Consequently, Europe is still a dominant market for agricultural machinery innovation and adoption.
Europe Agricultural Equipment Market Outlook
Farm equipment is the extensive variety of machinery and implements employed by farmers to enhance efficiency, productivity, and sustainability. These include tractors, harvesters, plows, seeders, irrigation systems, and advanced technologies such as GPS- guided machines and autonomous devices. These devices facilitate farmers to conduct vital operations such as planting, tilling, harvesting, spraying, and moving produce faster and more precisely than by humans.In Europe, farm equipment is critical to satisfying the continent's high standards of food production and maintaining large-scale agricultural operations. Germany, France, and Italy are among the nations with advanced farming equipment and robust manufacturing industries. The demand for farm equipment is increasing throughout the continent as a result of increasing labor costs, aging farm populations, and government subsidies that promote mechanization. Also, the emphasis on sustainable and precision agriculture farming has ensured greater use of smart equipment that minimizes waste and maximizes productivity. Consequently, Europe is still a dominant market for agricultural machinery innovation and adoption.
Growth Drivers of the Europe Agricultural Equipment Market
Increased Mechanization in Agriculture Practices
The transition from conventional farming to mechanized farming is a prominent growth driver in Europe. Farmers are increasingly using tractors, harvesters, and tilling equipment to enhance productivity and minimize labor dependence. This is driven by the aging population of farmers, labor scarcity, and the need for effective farming solutions. Mechanization increases speed and accuracy in farm operations, making it a necessity for commercial and large-scale farming. Governments and EU institutions also provide subsidies and incentives to promote the use of sophisticated farm machinery, further stimulating demand in Western and Eastern European nations. CAP 2023 to 2027 in the EU, which constitutes nearly one-third of the budget of the EU (EUR 386.6 billion), is the most influential public policy affecting the agricultural sector of the EU. Supporting the stopping and reversal of biodiversity decline, promoting ecosystem services and maintaining habitats and landscapes is one of the CAP's main aims.Integration of Precision Agriculture Technologies
The implementation of intelligent technologies like GPS, IoT, sensors, and data analytics in agricultural machinery is revolutionizing farming throughout Europe. Precision farming equipment aids in maximizing the use of resources, reducing wastage, and increasing crop production. Latest machinery fitted with these technologies enables farmers to see the health of soil, water, and crops in real-time. Germany, France, and the Netherlands are leaders in implementing precision agriculture, which makes Europe the high-tech hub for farming. This revolution is playing a huge role in increasing the need for smart farm machinery and equipment. In July 2023, CLAAS introduced two range of compact tractors, the AXOS 230 and the AXOS 240, as dedicated machinery for mixed and special crop farms that have superior technical features in terms of performance, power transmission, and comfort. This trend toward specialized equipment follows the industry response to the complexity of farming operations and different agro-climates in European areas.Supportive Government Policies and Subsidies
EU policies under the Common Agricultural Policy (CAP) give substantial support to farmers for investing in new machines. Schemes such as the European Agricultural Fund for Rural Development (EAFRD) support the easing of the cost burden of buying new machinery. Environmental standards promoting environmentally friendly farming also lead the transition towards low-emission, fuel-saving, and environmentally friendly machinery. These policy measures not only hasten the modernization of agriculture in Europe but also provide for easier market access to small and medium-sized farms. In 2022, the UK government launched a major 25 million pound grant scheme for Agri-Tech companies as part of DEFRA's farming investment fund to increase productivity through mechanization. The scheme provides big grants between USD 43,760 and USD 625,145, allowing growers and farmers to invest in cutting-edge agriculture equipment and robots. Likewise, the government of France has come strong with the initiative of providing a grant of USD 10 billion (Euro 9 billion) to the farming industry so it can make investment in mechanization equipment in the place of laborers.Barriers to Entry in Europe Agriculture Equipment Industry
High Capital Requisite for Machinery Purchase and Repairs
Farm machinery may be costly, particularly advanced machinery with GPS and automation. For small farmers, the expense of buying, keeping, and replacing machines is a financial strain. Moreover, spare parts and repair costs can be high. These financial constraints are obstacles to adoption, especially in areas where there is limited access to government subsidies or credit. This is an impediment to the general mechanization of agriculture and can restrain growth in poorer rural areas.Environmental and Regulatory Pressures
The high emphasis in Europe on sustainability and protecting the environment puts pressure on farm equipment makers to meet tight emission regulations and environmentally friendly rules. Producing machines that conform to them drives up production costs and restricts the variety of options that are affordable for farmers. In addition, regulations concerning soil conservation and sound pollution can inhibit the application of specific heavy machinery. These regulatory constraints can slow innovation and create complexity for manufacturers entering or expanding within the European market.Europe Agricultural Tractor 100-120 HP Market
The 100-120 horsepower (HP) category is one of the most sought after in Europe because of its adaptability for medium-sized farming operations. The tractors are optimally between power and energy efficiency, which makes them suitable for plowing, seeding, harvesting, and transportation on varied terrains. With both Western and Eastern Europe experiencing growth in mechanization, this segment is expanding at a fast pace. Farmers are opting for these mid-range tractors because they are more affordable than higher HP models and can handle a variety of agricultural implements. In countries such as France and Poland, this segment is popular and is likely to grow steadily. In November 2023, CNH Industrial launched the CR11 New Holland combine, with a robust 775-horsepower C16 engine, 2x24-inch rotors, and a large 567-bushel grain tank capacity, showcasing the industry's focus on technological innovation. These technologies are revolutionizing conventional farming practices, allowing farmers to attain greater productivity while maximizing resource efficiency.Europe Agricultural Ploughs Equipment Market
Ploughs continue to be an essential piece of equipment in European agriculture, employed for tillage and land preparation. The demand for agricultural ploughs is fueled by conventional farming practices and the requirement for soil aeration and weed control prior to seeding. Demand is high in cereal and grain farming regions like Central and Eastern Europe. Farmers are looking for more robust and efficient ploughs with adjustable blades and simple attachment systems. Technological advancements, including hydraulic systems and sensor-ploughs, are becoming increasingly popular for enhancing the precision of tilling and minimizing disruption of the soil.Europe Agricultural Combine Harvesters Equipment Market
Combine harvesters play a crucial role in high-capacity harvesting of grains in Europe, where wheat, barley, and maize are key produce. The market is expanding with heightened demands for efficiency, labor shortages, and time pressures during harvesting seasons. Contemporary combines include precision farming functions such as GPS-steered steering, yield mapping, and automatic adjustment. Such functions enhance harvesting speeds and reduce crop loss. Western European nations such as Germany and France are major adopters, with the Eastern European countries catching up through government-sponsored modernization initiatives. Rental services also facilitate short-term access for small-scale farms.Europe Agricultural Lawnmowers Equipment Market
Lawnmower business in Europe is not just confined to landscaping but also contributes to small-scale and urban agriculture. Small-sized agricultural lawnmowers are utilized to clear tracks, upkeep green belts, and prepare land in vineyards and orchards. The business is boosted by growing interest in gardening, organic agriculture, and eco-friendly land care. Technological innovations such as electric and robotic mowers are increasingly popular, particularly in nations that are committed to lowering emissions. Germany, the UK, and the Netherlands are key markets because of their urban-agricultural integration and need for aesthetic land management solutions.Europe Feed Preparation Machines Equipment Market
Feed preparation equipment is essential for livestock farming throughout Europe. These machines assist in mixing, grinding, and distributing animal feed, providing balanced nutrition and enhancing livestock health. With increasing concern for animal welfare and productivity, European farmers are adopting automated feed mixers and precision feeding systems. The growth of dairy and poultry farming, particularly in nations such as the Netherlands and Denmark, drives this segment. Integration with digital systems for feed monitoring and inventory management is a trend that is on the rise, rendering the equipment more efficient and desirable for medium to large-scale farms.Europe Mounted or Trailed Equipment Market
Mounted and trailed implements such as sprayers, spreaders, and seeders are common on European farms for their adaptability to tractors and operational convenience. These equipment increase productivity by enabling multi-tasking using a single source of power. The demand is increasing because of the need for low-cost and easily mounted machinery that facilitates a range of farming operations. Farmers demand equipment with low fuel needs and accurate seed, fertilizer, and pesticide application. This segment is strongest in row-crop agricultural areas, and innovation in hydraulic systems and precision application is further improving its market attractiveness.United Kingdom Agricultural Equipment Market
The United Kingdom agricultural equipment market is evolving quickly towards precision and sustainable agriculture. Post-Brexit policy changes have reformed subsidy regimes, compelling farmers to invest in effective machinery. Climate-smart agriculture focus in the country has encouraged demand for low-emission tractors, automatic sprayers, and battery-powered attachments. With a well-established agricultural sector, the UK experiences high demand for domestic and imported machinery. Nevertheless, labor shortages and shifting land use trends are encouraging additional mechanization. Leasing of equipment and government subsidies under the Environmental Land Management Scheme (ELMS) are also primary drivers of market expansion. For instance, in 2022, Case IH launched the LB 424 XLD model of large square baler that enhances bale quality, handling, and rotor cutter performance through the production of extra-dense 120 cm*70 cm bales by up to 10% of density.France Agricultural Equipment Market
France possesses one of the strongest agricultural sectors in Europe and is thus one of the big markets for agriculture machinery. The nation focuses on sustainable farming, promoting the utilization of effective and environmentally friendly equipment. French agriculture receives active state assistance, such as subsidies for smart tools and new machinery in EU agricultural development programs. France's vast cereal and vineyard production necessitates high-performance tractors, harvesters, and mounted machinery. The nation's equipment makers also do lots of innovation with smart technology and exportation. Despite high demand, market challenges include rising equipment costs and regulatory compliance. According to the Food and Agriculture Organization, the wheat harvested area increased to 5.00 million hectares in 2023 from 4.94 million hectares in 2022.Germany Agricultural Equipment Market
Germany is a technological leader in agricultural machinery manufacturing and usage. The country’s advanced infrastructure and focus on innovation make it a key hub for precision agriculture. German farms often employ GPS-guided tractors, autonomous equipment, and IoT-connected machinery. Government incentives for sustainable and organic agriculture also increase investment in advanced equipment. With a robust domestic machinery sector, Germany is also a leading exporter of farm equipment. The market is witnessing growing demand for automated harvesters, low-emission tractors, and robotic equipment. For instance, in 2022, Case IH launched the LB 424 XLD large square baler model, adding bale quality, handling, and rotor cutter performance by making extra dense 120 cm*70 cm bales with up to an extra 10% density.Europe Agricultural Equipment Market Segment
Horsepower - Market breakup in 5 viewpoints:
- Agricultural tractors > 120 hp
- Agricultural tractors 100-120 hp
- Agricultural tractors 80-99 hp
- Agricultural tractors 50-79 hp
- Agricultural tractors < = 49 hp
Soil working, sowing and fertilizing equipment Market
- Soil working equipment (ploughs, harrows, cultivators, etc.)
- Sowing equipment
- Mineral or chemical fertilizer spreaders
- Manure spreaders
- Other soil working or cultivation machines, equipment, machinery
Harvesting Equipment
- Combine harvesters
- Self-propelled forage harvesters
- Other Harvesting equipment
Garden and forestry machinery
- Lawnmowers
- Forestry equipment
- Chainsaws H
- Hedge trimmers, lawn shears, electric lawn edging shears
Livestock Equipment:
- Livestock watering, feeding and rearing equipment
- Feed preparation machines and equipment
- Milking machines
- Other livestock equipment
Haymaking Equipment
- Mounted or Trailed
- Others haymaking
Irrigation and Crop Protection Equipment
- Sprayers, mounted or trailed
- Portable sprayers, with or without motor
- Mechanical irrigation systems
- Other crop protection sprayers
Agricultural trailers and semi-trailers Market
Machines for cleaning and sorting agricultural products Market
Europe Country - Market breakup in 20 viewpoints:
- France
- Germany
- Italy
- United Kingdom
- Poland
- Austria
- Netherlands
- Finland
- Romania
- Denmark
- Hungary
- Portugal
- Ireland
- Lithuania
- Greece
- Croatia
- Estonia
- Latvia
- Luxembourg
- Rest of Europe
European Hay-Making Machine Market
- France
- Germany
- Italy
- United Kingdom
- Poland
- Austria
- Netherlands
- Finland
- Romania
- Denmark
- Hungary
- Portugal
- Ireland
- Lithuania
- Greece
- Croatia
- Estonia
- Latvia
- Luxembourg
- Rest of Europe
The key players have been analyzed by:
- Overviews
- Key Persons
- Recent Developments
- Product Portfolio
- Revenue
Key Players Analysis
- John Deere
- AGCO
- CLAAS KGaA
- First Tractor Company Limited
- Kubota Corporation
Table of Contents
1. Introduction2. Research Methodology3. Executive Summary5. Europe Agricultural Equipment Market7. Europe Agriculture Equipment by Machine Parts14. Balers and pick-up balers16. Agricultural trailers and semi-trailers Market17. Machines for cleaning and sorting agricultural products Market
4. Market Dynamics
6. Europe Agriculture Equipment Market share Analysis
8. European Agricultural Tractors Market by Horsepower
9. Soil working, sowing and fertilizing equipment Market
10. European Market of Harvesting Equipment
11. Garden and forestry machinery Market
12. Livestock Equipment Market
13. Haymaking Equipment Market
15. Irrigation and Crop Protection Equipment Market
18. By Country - Europe Agriculture Equipment Market
19. Market and Volume - European Hay-Making Machine
20. Porter’s Five Forces
21. SWOT Analysis
22. Key Players Analysis
Companies Mentioned
- John Deere
- AGCO
- CLAAS KGaA
- First Tractor Company Limited
- Kubota Corporation
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 200 |
| Published | May 2025 |
| Forecast Period | 2024 - 2033 |
| Estimated Market Value ( USD | $ 46.86 Billion |
| Forecasted Market Value ( USD | $ 67.68 Billion |
| Compound Annual Growth Rate | 4.1% |
| Regions Covered | Europe |
| No. of Companies Mentioned | 5 |
