Hydrogen Powered Tractor Market Expected to Reach $4.54 Billion by 2035—Allied Market Research

According to a new report published by Allied Market Research, titled, “Hydrogen Powered Tractor Market," The hydrogen powered tractor market was valued at $1.57 billion in 2025, and is estimated to reach $4.54 billion by 2035, growing at a CAGR of 12.1% from 2026 to 2035.

Asia-Pacific is expected to dominate the market in terms of revenue, followed by Europe, North America, and LAMEA. Increase in agricultural and industrial activities and government support for the agriculture industry in Asia-Pacific propels growth of the hydrogen powered tractor market in the region.

There are prominent key factors that drive growth of the hydrogen powered tractor market, such as growing mechanization in agriculture activities, high suitability of hydrogen as fuel, and reduced greenhouse gas emissions. The market economy is also responsible for growth of the market. Countries such as China, India, Brazil, and South Africa are growing economies. Thus, the manufacturing and agriculture sector witnesses prominent growth in these countries, which is expected to provide lucrative opportunities for growth of the market. In addition, in some under developed countries, there is an increase in demand for tractors for industrial and mining applications, which is expected to boost growth of the hydrogen powered tractor market.

The hydrogen powered tractor market is segmented on the basis of installation, product, application, capacity, and region. By installation, it is divided into OEM and retrofit. By product, it is segmented into proton exchange, membrane fuel cell, phosphoric acid fuel cell, solid oxide fuel cell, and others. By application, it is divided into agriculture, industries, mining, and others. By capacity, the market is divided into less than 25 tons and more than 25 tons. By region, the market is analyzed across North America, Europe, Asia-Pacific and LAMEA.

COVID-19 Impact Analysis

• The COVID-19 impact on the agriculture and automotive industry is unpredictable, and is expected to remain in force for a few years.
• The COVID-19 outbreak forced governments across the globe to implement stringent lockdown and ban import–export of essential raw material items for most of 2020, and few months in 2021. This led to sudden decline in availability of important raw materials for vehicle components.
• The COVID-19 pandemic not only affected operations of the automotive and agriculture industry, but the economic crisis also led to reduction in expenditure on next-generation technologies, for instance, hydrogen-powered tractors.
• Many governments trimmed their spending on other sectors and poured a hefty amount of investment in improving healthcare facilities to lessen dangers pertaining to the pandemic.
• Before COVID-19, the agriculture industry witnessed continuous growth. Governments all around the globe were focusing on investing huge amount for hydrogen-based vehicles and related technologies.
• However, adverse impacts of the COVID-19 pandemic have resulted in interruption in activities and initiatives regarding development of hydrogen powered tractors.

KEY FINDINGS OF THE STUDY

• By installation, the retrofit segment is expected to register a significant growth during the forecast period.
• By product, the proton exchange membrane fuel cell segment is projected to lead the global hydrogen powered tractor market
• By application, the agriculture segment is projected to lead the global hydrogen powered tractor market
• By capacity, the more than 25 tons segment is projected to lead the global hydrogen powered tractor market
• Region wise, Europe is anticipated to register the highest CAGR during the forecast period.

The key players that operate in this hydrogen powered tractor market are Allis-Chalmers, Amogy, Inc., Ballard Power Systems, Blue Fuel Solutions (CMB.TECH), BMW, CNH Industrial N.V., Cummins Inc., Deere & Company, Fendt, H2Trac B.V., Honda Motor Co., Ltd., Hyster-Yale Group Inc., Hyundai Motor Company, Kubota Corporation, SDF Group, Terberg Special Vehicles and Toyota Motor Corporation