Antony Cherukara, CEO, VST Tillers Tractors Limited
Farm equipment maker VST Tillers Tractors Ltd is reviving its plans to enter the US market following the recent India-US trade agreement. The company, which is eyeing the compact tractor segment in the US, had put its plans on hold after the tariffs were imposed by the Donald Trump administration last year.
“We will launch our US operations by the end of 2027,” said Antony Cherukara, CEO, VST Tillers Tractors.
VST had registered a company in the US a few years ago, but put plans on hold after the tariffs were imposed. He said, “With 50 per cent tariff, we could not operate. Now with the revision in tariff, we have started planning again. Our original plan was to launch a compact tractor in the US in 2027. We should be able to do that by the end of 2027.”
Focus on compact tractors
The company is considering compact tractors in the 30-50 horsepower range for the US market.
“There are major niche states in the US which are focused on compact tractors and the industry in the US is much bigger than the Indian industry for compact tractors. So, that’s where we plan to enter,” he said.
The company is in the process of developing a global platform for the US market. “Everything, the development is happening in India and then we will look at exporting to the US and selling in the US. Eventually, depending on the conditions and policies, we may have to look at something in the US as well.” He said.
very big market
Antony said the interest in compact tractors is primarily coming from hobby farmers, gardeners, vineyard owners in California and other states. It’s mixed use, and they call it a garden tractor. This four-wheel drive compact size market in India is only 50,000-60,000 tractors annually, while in the US it is above 200,000 tractors, he said.
Additionally, the company plans to set up a warehousing and distribution center in Europe, possibly in the Netherlands, to meet the growing demand for compact tractors in the continent. The warehousing hub is expected to come up in the first quarter of the next financial year, i.e. June 2026. Operations in Europe include warehousing, inspection, supply to distributors and support services.
VST mainly exports compact tractors to the European market. The company’s export earnings have increased significantly and currently account for about 13 percent of total revenues, up from about 4 percent four years ago. “In the next five years we want to increase our export earnings to about 25 percent of the company’s revenue,” he said.
VST is optimistic about the impact of the recent trade agreement with the EU. “Taxes on Indian tractors were not high earlier. We are studying. This will help us set up operations in Europe,” he said.
He said that with the establishment of European operations, the company expects to double its turnover in the region in the next four years. Even in Europe, the use case is similar. Garden tractors, hobby tractors, vineyards, orchards, horse stables. The company is planning to launch ICE (Internal Combustion Engine) tractors in Europe and the US. “We are also ready with electric tractors. In fact, we have the technology.” He said.
Published on February 18, 2026
