Tractor adoption by smallholder farmers in the Gambella region is essential for increasing agricultural productivity, improving food security, and promoting sustainable livelihoods. The sampling methods employed included purposive sampling to select kebelles and a lottery method for sample respondents. Primary data were collected through surveys, questionnaires, in-depth interviews, focus groups, and field observations, while secondary data were obtained from government statistics, academic publications, non-governmental organization reports, market information, and historical records. Data analysis utilized descriptive statistics, such as frequencies and percentages. Regarding opportunities for tractor adoption, the study found that 9% of smallholder farmers used tractors to improve soil health, 20% to reduce labor costs, and 16% to enhance market access, 7% to reduce post-harvest losses, and 48% to increase productivity. Conversely, the study identified major constraints, with 27% citing high initial investment, 40% noting lack of credit access, 18% reporting limited technical expertise, and 15% indicating inadequate infrastructure as barriers to tractor adoption. To maximize adoption opportunities, government agencies and private companies should offer financial incentives and loans to support farmers’ tractor investments. Additionally, to address these adoption challenges, government, local, and non-governmental organizations should provide subsidies, low-interest loans, and technical training programs to enable smallholder farmers to purchase or rent tractors, thus enhancing access to mechanized services and improving agricultural productivity and efficiency.