Tumbling global demand for new farm machinery is forcing manufacturers to scale back production and cut costs.

Comparing first-half 2015 results with the same period in 2013, when figures hit a recent peak, net sales are down more than 30% at Agco, more than 33% at Deere and more than 44% at CNH Industrial (CHNi), the maker of Case IH and New Holland equipment.

In response, Agco has continued to drive down production levels at its factories worldwide, easing off in the second half of this year to average out at about 15% compared with 2014.

CNHi has slashed total production by 33% compared with 2014 levels to a point about 14% below retail sales to cut costs and ease products out of inventory.

Output of combines and large tractors have been reined in even more – by 41% in the second quarter of this year versus 2014 – in response to continued weak demand in North America and Latin America.

By year-end, Agco anticipates that combine sales in North America will be down 37% compared with 2014 and tractors (excluding compacts) down 5-10%, which is a lot of tractors when farmers bought 113,000 of them last year.

See also: Worldwide machinery sales in decline

It is a similar picture in the 72,000 unit South American tractor market, where sales are expected to be 19% down, with demand for combines dropping 32%.

The market in Western Europe is faring relatively better – but a drop of 5-10% from sales last year of 143,000 tractors is still painful for manufacturers, alongside a 15% drop in combine sales.

The significant reduction in high-horsepower tractor, combine and sprayer sales in North America is confirmed by Deere & Co, which as market leader in those sectors, has seen operating profits for the nine months to the end of June plummet by a thumping 53%.

At the agricultural division of CNHi, operating profit for April to June this year was down more than 58% and 42% at Agco.

Despite these painful figures, the companies remain profitable and by some measures are performing better than in previous agricultural downturns.