LS Mtron, Autonomous Tractor Lease Program Until Year-End

"No Advance Payment and Residual Value Guaranteed"

LS Mtron announced on the 7th that it will implement the country's first autonomous operation tractor lease program until the end of the year. The promotion was prepared to reduce the purchasing burden on farmers and increase the use of autonomous operation tractors.

LS Autonomous Work Tractor Lease Program. [Photo by LS Mtron]

Typically, when farmers purchase tractors with government-supported loans, they have to bear the initial costs. The loan support applies to only one tractor. By using the LS autonomous operation tractor lease program, tractors can be operated without any down payment, thereby reducing the initial cost burden.

Since the program is operated by the global agricultural machinery finance company DLL, it is possible to lease additional tractors even if the government loan limit has been exhausted.

The residual value of the tractor is guaranteed at 48% (3 years), 44% (4 years), and 40% (5 years) of the principal depending on the lease period. The lessee repays the amount excluding the residual value from the principal twice a year. For example, if the initial lease period is 5 years, with a residual value of 40%, the lessee repays 60% of the principal in a total of 10 installments twice a year.

After the initial lease period ends, the lessee can choose to return or purchase the tractor. Re-leasing is also possible for up to 7 years, including the initial lease period.

Shin Jae-ho, CEO of LS Mtron, said, "With the LS autonomous operation tractor lease program that requires no down payment and guarantees residual value, customers will be able to use autonomous operation tractors without any burden."