Rostselmash, the largest ag machinery maker in Russia, will place all 15,000 of its employees on leave for the month of June, according to independent news platform The Moscow Times in Russia. It is the result of collapsing exports and continued market contraction.

Rostselmash, headquartered in Rostov-on-Don near the Ukrainian border, cited a steep drop in demand over the past three years, which it said has forced it to cut production and reduce staff.

Sales of combine harvesters dropped by 76%, forage harvesters by 49% and articulated tractors by 48% from January-April 2021 to January-April 2025, according to the company as cited by The Moscow Times. In March, the firm briefly switched to a four-day workweek before laying off 2,000 employees last month.

“Farmers have no money to buy the equipment they need, and the market has drastically shrunk as a result. The negative outlook has only worsened in 2025,” the company said in a statement. Rostselmash, which exports to 20 countries, described the June furlough as a rescheduled annual vacation, typically held in August or September. The company reported a 130% year-on-year drop in net income last year, down to 6.9 billion rubles ($85.3 million), with total revenue falling nearly 20 billion rubles to 78.3 billion ($965 million).

“Rostselmash continues to monitor changes in the agricultural machinery market,” the company said, adding it would be ready to respond if demand rebounds.

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