Bates Tractor Company of Lansing, Michigan originated in 1911. In 1916 the Steel Mule Model C was introduced, and in 1918 they added the Model D Mule.

In 1928, the company was sold to Foote Brothers Gear and Machine Company of Chicago. Illinois, but the company operated under the name of Bates Manufacturing Company. In 1934, the company began using the Waukesha- Hesselman engine for use in the Mule 35 tractor. They manufactured these tractors at the companies Joliet, Illinois facility until approximately 1935, when the company reorganized and the tractor division was sold. The tractor division was sold to a company in Chicago, which continued to manufacture them for several years for export only.