Harley Davidson will relocate some operations outside the US to avoid tariffsBaltimore Post-Examiner

Harley Davidson will relocate some operations outside the US to avoid tariffs

WASHINGTON – Three days after the European Union (EU) imposed $3.2 billion in retaliatory tariffs on more than 100 American-made products motorcycle giant Harley Davidson announced it will relocate some its operations overseas.

“Harley-Davidson will be implementing a plan to shift production of motorcycles for EU destinations from the U.S. to its international facilities to avoid the tariff burden,” the Milwaukee-based company said in a 8-K disclosure form filed with the Securities and Exchange Commission (SEC) on Monday. “Harley-Davidson expects ramping-up production in international plants will require incremental investment and could take at least 9 to 18 months to be fully complete.”

The company said: “EU tariffs on Harley-Davidson motorcycles exported from the U.S. have increased from 6 percent to 31 percent. Harley-Davidson expects these tariffs will result in an incremental cost of approximately $2,200 per average motorcycle exported from the U.S. to the EU.”

The tariffs went into effect on Friday. The EU is considering a second round of tariffs that would increase the export burden to $4.3 billion.

Last month the Trump administration followed through with a plan to impose tariffs on steel and aluminum imports. The plan was announced in March. The EU, Canada and Mexico were given a two-month exemption.

The tariff regime is primarily designed to crack down on Chinese trade abuse, but the administration has not exempted close U.S. allies.

This article is republished with permission from Talk Media News 

About the author

Bryan Renbaum

Bryan is a reporter and political columnist with Baltimore Post-Examiner and has broken multiple stories involving athletic scandals. He has been interviewed by ABC's Good Morning America as well as Baltimore area radio stations. Bryan has both covered and worked in the Maryland General Assembly and is extremely knowledgeable of politics, voting patterns and American history. In addition to his regular duties, Bryan freelances for several publications and performs investigative research. He has a B.A. in Political Science. Contact the author.

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