A very cool kit indeed! In what diorama setting would this best be applicable? Luftwaffe airfield construction seems plausible to me ... possibly some Army (Heer) Engineer/Pioneer units maybe? Anyhow, I love the way it looks!

Pulling light(ish) trailers and smaller aircraft on airfields. No Luftwaffe planes in 1/35 though ... maybe ´some bomb trolleys to arm some Stukas ? Maybe aircraft in 1/32 ( 8% or 9% difference depending on what is chosen as the reference, is 1/32 bigger by 9% or is 1/35 smaller by 8% ...) / Robin Edit: See correction in post below, I had totally forgotten about that Storch. Certainly light enough to be handled by this tractor

Tristar has a Storch in 1/35, but I think that is all there is.

Yes...that's an option. Tamiya also has a recently released Storch, too.

In 1/48 yes.

I think that it might prove useful in the shop floor scene that I was planning. I'd need to scratch-build a suitable low bed trailer but that's about it. And a pusher-style front bumper.