Photo: depositphotos
Russia has seen a sharp decline in sales and production of agricultural machinery. In the first quarter of 2025, the market shrank by almost 33%.
This was reported by the Foreign Intelligence Service of Ukraine.
Minus one third for the quarter
According to the National Union of Industrialists and Entrepreneurs, sales of agricultural machinery in Russia in January-March 2025 totalled $473.3 million, down 32.9% compared to the same period in 2024.
Production and sales of grain and fodder harvesters, tractors, ploughs and cultivators fell the most.
Official statistics from the Russian Federation confirm that in just two months of 2025, the volume of manufactured equipment fell by more than 11%.
The reasons are sanctions and isolation
The Foreign Intelligence Service emphasises that
Western sanctions have limited the access of Russian plants to imported technologies, components and software;
This has resulted in a decline in quality and rapidly rising prices, forcing farmers to refuse to upgrade their machinery.
No loans – and fees are rising
Another factor is the record high key rate in Russia (21%), which restricts lending and makes preferential programmes unavailable to farmers. At the same time, the country is experiencing
– inflation is rising,
– the profitability of the agricultural sector is declining,
– there is a shortage of qualified personnel.
The situation in 2025 was further aggravated by the increase in the recycling fee for agricultural machinery, which will continue to grow by 15% annually until 2030.
No improvement to the horizon
The NWRU emphasises that all these factors, together with geopolitical pressure and economic isolation, have led to a deep stagnation of the agricultural machinery market in Russia.
“There are currently no preconditions for stabilisation or growth,” the Ukrainian intelligence service stressed.
