This is damage caused by something else. Was there a lot of snow piled around the trunk in winter? If so a rabbit or other varmint may have chewed on the bark after a snowplow, lawn mower or other vehicle has bumped into the trunk. I am surprised that the tree has as many leaves as it has with this much damage to the trunk. If the damage had occurred all the way around, the tree would die due to a lack of water and nutrient movement from roots to crown.
The tree appears to have been planted too deep. I do not see any sign of the root flare at the base. Scroll down to the planting section of this web page. 
https://extension.umn.edu/how/planting-and-transplanting-trees-and-shrubs
There are green leaves at the base. If they are dropped, that may be from drought or the beginning of the decline of the tree. If they are new sprouts, then leave the strongest ones to grow and produce a new tree. 
Anticipating a future question. There is no repair that can be done to the damaged area. The loose bark can be trimmed off, but I am skeptical that this tree will survive and leaf out next spring. 
Further information
https://mortonarb.org/plant-and-protect/tree-plant-care/plant-care-resources/trunk-wounds-and-decay/
https://www.purdue.edu/fnr/extension/mechanical-damage-to-trees-mowing-and-maintenance-equipment/
Good luck!