To explore the reasons for the statistical “reverse decline” of agricultural machinery maintenance service capacity with the increase of agricultural machinery inventory in China, this study uses the economic concept of “creative destruction” to build a theoretical explanation framework, and conducts an empirical test based on the panel data of major grain producing provinces from 2004 to 2020. The results show that: 1) Due to the leap of agricultural machinery manufacturing technology, China’s agricultural machinery equipment has been transforming from small-scale low-end machinery to large-scale high-end machinery since 2004, which initiated the transformation and reconstruction of maintenance service system from traditional to modern. 2) Upgrading of agricultural equipment has driven a large number of traditional maintenance points serving small and low-end agricultural machinery to withdraw through demand substitution effects and technology threshold effects, leading to the disintegration of the traditional maintenance service system. 3) The modern maintenance service system for large-scale high-end agricultural machinery has begun to take shape, with the agricultural machinery manufacturing enterprises, agricultural machinery distributors, social maintenance outlets, and agricultural machinery professional cooperatives becoming the core forces of the system. However, the modern maintenance service system faces challenges such as strong seasonal variations in demand for maintenance services, high requirements for timely maintenance by agricultural machinery users, and increasing operating costs for maintenance points and some of the new maintenance points may not be included in the statistical scope timely. 4) The percentage of large and medium-sized tractor power has a significant negative impact on the statistical density of agricultural machinery maintenance points, and the increase of percentage of large and medium-sized tractor power contributes 52.85% to the decrease in the density of agricultural machinery maintenance points. Finally, policy recommendations are proposed in this study to improve the modern maintenance service system and ensuring timely maintenance of large-scale high-end agricultural machinery during busy farming season from institutional, policy, and technical perspectives.
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