Harley-Davidson will not raise prices to cover tariff costs

Harley-Davidson will not raise prices to cover tariff costs

Harley-Davidson will not raise prices to cover tariff costs

He later added, "The Aura will be gone and they will be taxed like never before!"

"Harley-Davidson maintains a strong commitment to USA -based manufacturing which is valued by riders globally", the company said in a statement. Harley-Davidson said it will shift some of its production outside of the United States to avoid the tariffs.

THE FACTS: Pflughoeft said Harleys sold in the US will continue to be made in the U.S. That's to say nothing of the enormous selling point of "Made in the USA" which is very important to H-D's fiercely loyal and often patriotic fan base.

President Donald Trump threatened motorcycle maker Harley-Davidson with a big tax hit if it moved its manufacturing Thailand. In January, it said it would consolidate its Kansas City, Missouri, plant into its York, Pennsylvania, facility.

On NPR, Joe Capra of the International Association of Machinists & Aerospace Workers Local 176, said he believes Harley-Davidson is using the tariff issue as an excuse for to do what they long planned to do.

Portman also said Trump has authority to impose tariffs, but not impose taxes on particular companies. It also announced a future plant in Thailand. Harley-Davidson's India plant at Bawal, Haryana now has a manufacturing capacity of 12,000 units per annum and exclusively manufacturers the Street 500, Street 750 and Street Rod. Wildly volatile government policies in the last two years (BS3-BS4, demonetisation, GST and duty structure changes to name a few) will certainly make any worldwide business think long and hard before making an investment.

While that echoed the president's sentiment on Twitter, Capra told KCUR he does "not have verification" that jobs or equipment from Kansas City are destined for overseas plants.

It follows Brussels decision to retaliate against Mr Trump's tariffs.

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THE FACTS: Harley said no such thing.

"Increasing global production to alleviate the European Union tariff burden is not the company's preference, but represents the only sustainable option to make its motorcycles accessible to customers in the European Union and maintain a viable business", the company said in a regulatory filing.

Here are the facts about Harley-Davidson and trade.

In January, Harley-Davidson said it would close a plant in Kansas City, Missouri, due to a sharp drop in US demand for its motorcycles, but said it would consolidate work done there into its plant in York, Pennsylvania.

Mary Lovely, a senior fellow at the Peterson Institute for International Economics, and Yang Liang, a graduate associate at the Moynihan Institute of Global Affairs, highlighted the possibility that companies will abandon the U.S. in a recent policy paper.

The president has repeatedly attacked Amazon.com Inc. over what he sees as its unfair treatment of the U.S. Postal Service, and he has complained about the high costs of Boeing Co.'s replacements for Air Force One aircraft, urging the federal government to cancel the order.

Tuesday morning, the tweets from the president continued. The E.U. tariffs appear to be a direct response to the tariffs imposed by the Trump administration on European steel and aluminum. Yet that factory is slated to build motorcycles for the Asian market, not for Europe. As for the company's true motives, there's no way to know for sure. Holtz-Eakin said those tariffs hurt steel-using manufacturers - which employ many times more people than steelmakers do - hurt the economy generally and ultimately were ruled illegal by the World Trade Organization. Could Trump's tweets make a dent in H-D sales?

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