Tractor Sales Down, Canada and Mexico Buckle

Rollins advanced to a Senate vote for secretary of agriculture - After a unanimous vote from the U.S. Senate Committee on Agriculture, Nutrition and Forestry on Feb. 3, Brooke Rollins is on her way to a Senate confirmation vote for U.S. Secretary of Agriculture. President Donald Trump nominated Rollins, a native Texan, to lead the U.S. Department of Agriculture.

She underwent a nearly four-hour hearing with the Senate Ag Committee on Jan. 23. Although an exact date for the Senate vote is not known, it could be within days of her Senate Ag Committee confirmation. HPJ

• Trump’s pick for Secretary of Agriculture looks to be on the way to confirmation. If confirmed, she will be only the second woman ever to be secretary of agriculture.

Both Canada and Mexico tariffs postponed for a month - In separate negotiations, Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum have agreed with U.S. President Donald Trump to pause planned tariffs for at least a month. Trump’s tariffs against China are still slated to go into effect on Tuesday. AP

• The China tariff scheme is still going into effect as of yesterday. There have been significant concerns in the Ag industry over how the tariffs will affect them. Most I have seen are pretty bearish about them especially in the short term. We won’t really find out for now after Trump forced the action he wanted out of both the Mexican and Canadian governments. It’s safe to say this will be an ongoing issue for a while. Considering how directly moves like this can affect ag producers it will be a topic to watch closely.

Some Pessimism in the Equipment arena - CNH Industrial is forecasting another tough year for 2025, the agricultural and construction equipment manufacturer reported Tuesday morning.

CNH is projecting agricultural equipment sales will be down between 13% and 18% this year compared to 2024 -- and that follows sharp sales declines in 2024. Net sales of construction equipment are expected to be down 5% to 10% from last year.

CNH expects these challenging market conditions will continue at least through the first half of 2025. And it's not a condition expected only by CNH. The 2024 sales year was dismal for the entire ag manufacturing industry and is expected to be so again this year. DTN

• Case/New Holland is bracing for a rough year. 2025 is expected to be decline from 2024, which was already a decline from the year before that. Drastic drops in sales almost across the board for tractor manufacturers is a concern. Mainly because of what that tells you about the state of the ground level producers that use this equipment. It also makes me think of another thing that always gives me some aggravation. That is the continual increase in complexity and technological “advancements” seen in much of agriculture equipment that drastically increase the price to unworkable levels. I almost get some satisfaction finding out that sales are down dramatically. Because our operation cannot hardly justify just a used tractor purchase, much less a brand new one. Sometimes misery loves company. Even used inventory is climbing over the past year or so.

Commodities

Ever heard of Multifunctional Farming? Multifunctional agriculture goes beyond the traditional concept of farming solely for food production. It encompasses a holistic approach that integrates environmental, social, and economic objectives, recognizing the diverse functions and values of agricultural landscapes. From conserving biodiversity and enhancing ecosystem services to supporting rural livelihoods and fostering community resilience. Agrinext

I can’t say I’ve ever this term before. I think it may be a Euro thing. Anything I can find on it has some tree-hugger type language in it. As far as I deduced it just means using the benefits of agriculture for something beyond commerce. I’m not sure what the looks like but I guess it sounds good.

That’s it for the mid-week update. Hope to be back Friday with more!