CHICAGO, Nov. 27 (Xinhua) -- John Deere, the world's leading tractor maker, has reported less quarterly earnings and lowered its 2020 sales outlook amid prolonged trade tensions between the United State and its key trade partners.
The Illinois-based farm and construction equipment maker, reported on Wednesday net income of 722 million U.S. dollars for the fourth fiscal quarter that ended Nov. 3.
That's an 8 percent decline year on year, compared to 785 million USD for the same period of 2018.
"John Deere's performance reflected continued uncertainties in the agricultural sector," said John C. May, its chief executive officer.
"Lingering trade tensions coupled with a year of difficult growing and harvesting conditions have caused many farmers to become cautious about making major investments in new equipment," he added in a statement.
Prolonged disputes between the United States and its key trade partners, especially China, have made U.S. farmers lose significant market share and curbed the sales of agricultural equipment.
The North America-based Association of Equipment Manufacturers recently reported total sales of 23,810 farm tractors in the U.S. market in October 2019, down 3.5 percent from the same month last year.
As trade disputes dragged on, John Deere had to lower its 2020 worldwide sales outlook for agriculture and turf equipment, now forecast to decline 5 to 10 percent.
Shares of John Deere fell more than 4 percent on Wednesday.
