What is the right thing to do in this situation?

Your answer is correct because in this situation, you must be prepared to stop if necessary. According to German traffic rules, when approaching slow-moving vehicles like tractors on narrow rural roads, you should maintain a safe distance and be ready to stop if overtaking is not possible or safe. Steering onto the field or verge is generally not allowed unless it is an emergency, as it can be unsafe or cause damage. Also, you do not have automatic priority over agricultural vehicles; you must wait for a safe opportunity to pass or stop if the road is too narrow. The key rule here is to drive cautiously, keep a safe distance, and be ready to stop as needed.