Electric Tractor Market Innovation & Investment Trends

Electric Tractor Market Benchmarking, Consumer Insights & Growth Strategies

The electric tractor market is forecast to grow from USD 3.08 billion in 2025 to USD 10.25 billion by 2034, driven by a CAGR of 14.3% from 2025 to 2034. 

Introduction

The electric tractor market is a crucial branch of the electric vehicle industry. This industry deals in manufacturing and distribution of electric tractors across the world. There are several products developed in this sector consisting of battery electric tractors, hybrid electric tractors and plug-in-hybrid electric tractors. These tractors are available in different horsepower including less than 50 HP, 50-100 HP, 100-150 HP, more than 150 HP. It finds applications in various end-user sectors including construction, agriculture, logistics, mining and some others. The rising development in the agricultural sector has boosted the market growth. This market is projected to grow exponentially with the rise of the automotive sector in different parts of the globe.

• According to India Brand Equity Foundation, the Indian agricultural export size was valued at US$ 50.21 billion in 2022 that increased to US$ 53.12 billion in 2023.

Highlights of the Electric Tractor Market

• North America held the dominant share of the electric tractor market due to the rising development in the electric vehicle industry in this region.
• Europe is expected to grow with a significant CAGR due to numerous government initiatives aimed at reducing emission in the environment.
• The battery electric segment dominated the market due to the growing investment by tractor companies for developing advanced electric tractors.
• The agricultural segment led the market due to the increasing demand for food crops in different parts of the world.

Electric Tractor: Stats and Figures

• According to the Food and Agriculture Organization, the global production of primary crops reached 9.9 billion tons during 2023.
• According to the Ministry of Coal, around 832.430 MT of coal was mined in India during FY 2022-23.
• According to the World Economic Forum, the global logistics industry is expected to reach US$ 18 trillion by 2030.
• According to the U.S. Department of Commerce, the value of private construction in U.S. was valued at US$ 1661.7 billion in 2024.

Industry Leader Announcement

In January 2025, Anoop Srikantaswamy, the CEO of Moonrider made an announcement stating that, “The company’s goal is to improve farm profitability by providing cost-effective and efficient mechanization solutions, The electric tractors are designed to address diverse farming needs, improve farmer income, and promote sustainable farming practices. Moonrider has also formed partnerships with leading agricultural players and fleet operators in India and abroad to enhance productivity and develop scalable solutions.

Competitive Landscape

The electric tractor market is a highly fragmented industry with the presence of several dominating players. Some of the prominent companies in this industry comprises of Sonalika International, Mahindra and Mahindra, Kärcher, Zetor, Branson Tractors, CNH Industrial, Raven Industries, Sonalika Group and some others. These market players are constantly engaged in developing advanced electric tractors and adopting several strategies such as product launches and partnerships to maintain their dominance in this industry.

• According to the annual report of CNH Industrial, the revenue of the company in 2022 was US$ 23473 million that increased to US$ 24504 million in 2023.

Electric Tractor Market Segmentation Insights

By Power Source

• Battery Electric
• Hybrid Electric
• Plug-in Hybrid Electric

By Application

• Agricultural
• Construction
• Logistics
• Mining

By End Use

• Farm Use
• Rental Services
• Commercial

By Horsepower

• Less than 50 HP
• 50-100 HP
• 100-150 HP
• More than 150 HP

By Region

• North America
• Europe
• South America
• Asia Pacific
• Middle East and Africa