Dealers have been reporting their used equipment inventories as too high for over a year, but the latest market report from TractorHouse suggests some improvement. 

U.S. Used Combine Inventory Down 6% Year-Over-Year.jpg

TractorHouse reports that while used combine inventories in the U.S. were up 1.6% month-over-month in February, they were down 5.82% year-over-year and maintaining a steady trend. However, in AEI’s latest Dealer Sentiments & Business Conditions Update, a net 67% of dealers reported used combine inventories were too high in February vs. a net 30% who said their inventories were too high in January. 

U.S. Used Combine Inventory Down 6% Year-Over-Year2.jpg

In March, there was $2,212.9M worth of used combines for sale in the U.S., according to TractorHouse data. Of that, John Deere and Case IH branded combines accounted for $2,067.2M, up from $2,057.3M in February. From a regional standpoint, the North Central region — which includes the Corn Belt and Great Plains — accounted for $1,697.3M of the used combine market. 

U.S. Used Combine Inventory Down 6% Year-Over-Year3.jpg

One of TractorHouse’s key metrics is the Sandhills Equipment Value Index (EVI). This data includes equipment available in auction and retail markets and model-year equipment actively in use. EVI spread measures the percentage difference between asking and auction values. The EVI spread for used combines fell from 48% in January to 46% in February, still close to peak values seen in 2015. TractorHouse reports that older combine inventory has steadily decreased and recently, newer combine inventory has increased and is driving values up (see Asking vs. Auction EVI). In addition, Class 8 or larger combines are taking a larger share of the combine market, and have been since first surpassing Class 4-7 combines in January 2023. 

Watch the full version of this episode of On The Record