India Tractor Sales December 2025: Records Massive 37% Growth as Mahindra

The Indian market of domestic tractors finished the year at an uplifting point with a phenomenal 37.08 year-on-year (YOY) growth in December 2025. The total domestic wholesale volumes were 69,890 units, which is considerably higher in comparison with the volume of 50,986 units sold in December 2024.

This spurt has been blamed on strong rural liquidity in the wake of the Kharif harvest season, in addition to rising Rabi acreage in major agricultural belts.

Brand-Wise Tractor Sales Analysis: December 2025

The tractor sales data of December 2025 is an indication of a high-growth environment in the Indian agricultural machinery industry. The following is a breakdown of the performance of each of the brands:

• Mahindra & Mahindra: Maintains its position as the clear market leader with 30,210 units sold. The brand achieved a solid 37.20% YoY growth and commands a massive 43.23% of the total market.
• TAFE Group: Secured the second spot with 11,033 units, growing by 33.75% compared to last year. It currently holds a 15.79% market share.
• Sonalika Tractors: Reported sales of 9,378 units, reflecting a 22.88% growth. Its market share stands at 13.42%, facing pressure from faster-growing competitors.
• John Deere: The biggest "mover" of the month, recording a phenomenal 69.26% YoY growth with 8,788 units. This performance significantly boosted its market share to 12.57%.
• Escorts Kubota: Showed strong momentum with 6,828 units sold, marking a 36.12% increase and maintaining a nearly double-digit market share of 9.77%.
• New Holland: Sold 2,015 units, achieving a healthy 28.59% growth and contributing 2.88% to the total industry volume.
• VST Tillers: A standout performer in the compact segment, growing by 59.15% with 374 units sold, capturing a 0.54% market share.
• ACE Tractors: The only brand in the list to witness a decline, with sales dropping 18.26% to 188 units, resulting in a market share of 0.27%.

Mahindra & Mahindra: The Undisputed Market Leader

Mahindra and Mahindra Group cemented its position selling 30, 210 units, which is a 37.20% growth. The brand managed to retain a market share of 43.23% which shows that its strong rural network and portfolio still have an appeal to the Indian farmers.

John Deere: The "Growth Star" of December

The best player in the month was John Deere, who posted a scintillating 69.26% growth year-on-year. This is because by selling 8,788 units, the company had increased its market share by 2.39%, the largest increase in the industry, indicating that the company would be shifting to the high-HP, premium segment.

TAFE and Sonalika: Volume Growth Amid Competitive Pressure

TAFE Group saw sales climb to 11,033 units (up 33.75%), though its market share dipped slightly to 15.79%.

Sonalika Tractors posted 9,378 units (up 22.88%), but faced significant market share pressure, sliding from 14.97% to 13.42%.

Niche Performers: VST and Captain Tractors

Compact tractor specialists performed exceptionally well. VST Tillers Tractors grew by 59.15%, while Captain Tractors saw a 46.88% rise, highlighting the growing demand for small-scale mechanisation in orchards and fragmented landholdings.

Why did Tractor Sales Surge in December 2025?

Experts point to four primary drivers for this 37% industry-wide spike:

• Favourable Rabi Sowing: Increased moisture levels and healthy reservoir capacities have led to higher acreage under cultivation.
• Kharif Income: Farmers experienced better-than-expected cash flows from the recent Kharif harvest.
• Government Policy: Continued support through schemes like PM-Kisan and subsidies for farm mechanisation.
• Infrastructure Demand: Higher utilisation of tractors in non-agricultural sectors like construction and rural logistics.

Future Industry Outlook

The industry has a good momentum into 2026. Whereas brands such as ACE Tractors declined (−18.26%), the overall mood is still positive. 

Due to the shift of the industry towards TREM-V emission norms in the next year, the manufacturers are likely to pay more attention to technologically developed and fuel-efficient models.