Home LATEST HEADLINES Harley-Davidson May Start Manufacturing Bikes In Europe - NDTV CarAndBike

Harley-Davidson May Start Manufacturing Bikes In Europe – NDTV CarAndBike

Increasing tariffs from Europe on Harley-Davidson bikes may force the American manufacturer to shift production to Europe in a few years’ time.

Harley-Davidson CEO Matt Levatich has said that the American motorcycle manufacturer may consider building motorcycles in Europe if the US and EU trade war doesn’t cool off soon. Harley-Davidson has been hit by retaliatory tariffs slapped by the European Union which makes Harley bikes more expensive across the Atlantic. Speaking to a television channel, Levatich said that his company may need to start building bikes in Europe if it wants to continue selling them there. The increased tariffs hitting Harley-Davidson are at 31 per cent right now, and in another two years, the tariffs will rise to 56 per cent, which is likely to compel the American manufacturer to consider an alternative approach.

Harley-Davidson has been hit with high tariffs from the European Union, after the US Administration slapped increased tariffs on steel and aluminium imports. The issue has been in the news last year with President Donald Trump severely criticising Harley-Davidson’s announcement to move some production overseas. While Harley-Davidson so far had not mentioned any production plans in Europe, there have been talks about considering increasing overseas manufacturing in existing H-D plants in Brazil, India, Thailand and Australia. This is the first time the Bar & Shield brand has actually announced any plans to actually manufacture bikes in Europe.

7fcakd88

Export tariffs on Harley-Davidson bikes to the EU will go up to 56 per cent in two years

Levatich said that Harley-Davidson is currently exploring the option of importing bikes into EU from the H-D factory in Thailand, but if that fails, then Harley-Davidson will consider “going through another investment possibly within the European Union.” What that possibly implies is that setting up production in Europe may work out to be a more affordable option than face the 56 per cent levies which the company will have to face in two years’ time by exporting motorcycles from the US.

mld4uu6

The next generation electric bikes like the Harley-Davidson LiveWire will be important products in Europe

Harley-Davidson has big plans for the future with its “More Roads to Harley-Davidson” with three new models planned by 2020, including an adventure touring model. But more than the conventional internal combustion engine models, Harley-Davidson will be looking to capitalise on its electric mode line-up which has already been in development for a few years now. Europe will be an important market for the electric Harley-Davidson motorcycles, including the LiveWire and high tariffs will not make a good business case. So, instead of 56 per cent tariff on exporting the new-age Harleys, it will probably be more pragmatic to set up shop, and start manufacturing in an important market like Europe.

Source link

Must Read

Lexus GX 460 SUV gains technology on the road, and off of it

Lexus has updated its GX 460 SUV for 2020. The GX 460 is one of the longer-running SUV models on the market, as it...

2020 Fiat Ducato Electric is the Ram ProMaster’s EV cousin

As we all know, the Ram ProMaster has Italian roots. Despite featuring a 3.6-liter, 24-valve Chrysler Pentastar V6 with 280 horsepower, the ProMaster was...

Ferrari seeks review of Canadian Grand Prix penalty decision

Ferrari has asked for a review of the stewards' decision that cost Sebastian Vettel victory in the Canadian Grand Prix, a team spokesperson said...

M&M expects up to 12% growth in Bolero pickups in FY20 – ET Auto

Hyderabad: Mahindra and Mahindra expects 10 to 12 per cent growth in its Bolero range pickups this fiscal, a senior executive of the USD...

2020 BMW X3 M and X4 M First Drive Review – MotorTrend

Put that power on a track, and you're going to see some big speeds, though it's hard to believe them. You're well isolated in...