Although the agricultural machinery purchase subsidy policy has effectively improved the level of agricultural mechanization in China，the agricultural mechanization service market has shown a trading pattern of shrinking cross-regional services，rising local services and increasing service prices.In order to explore the “localization” of the agricultural machinery operation service market and the origin of the “price paradox”，this paper uses the survey data of farmers in Henan Province to empirically analyze the impact of the special social transaction environment of rural acquaintances on farmers’ choice of agricultural mechanization services.The results show that the social relationship of rural acquaintances with frequent interactions boost the demand of farmers for localized agricultural mechanization services；and the larger the planting scale and the more homogeneous the cultivation，the more likely it is that farmers are to choose more timely and reliable localized agricultural mechanization services under the influence of the social connections of their acquaintances.The article proceeds to discuss the causes of the “price paradox” in the localized transaction of agricultural mechanization services，and finds that the social relations of farmers’ acquaintances can significantly reduce the transaction cost of adopting local agricultural mechanization services.The article believes that further optimizing and adjusting the subsidy policy for the purchase of agricultural machinery，encouraging farmers to carry out specialized contiguous planting，and cultivating various forms of agricultural socialized service operators are important starting points to promote the orderly development of the agricultural machinery operation service market.