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MILWAUKEE, KOMPAS.com – Harley-Davidson (HD) mogh producers are beginning to react to a trade war between the United States and the European Union, which is likely to hurt them. The reason for entering Europe, Milwaukee's iconic brand will be subject to import duties of 25% (from 6% to 31%).
In search of congratulations, Harley-Davidson will divert its production from the United States for special models sold in Europe.
"Increasing international production to reduce the EU's tariff burden is not a firm choice but represents the only sustainable option (to select from)," said Haralda-Davidson, Asphaltandrubber Thursday (28/6) /2018).
See also: Impact Trade War, Harley-Davidson Choke Tariff Imports in Europe
In addition to the United States, HD can enjoy facilities in Australia, Brazil, India and Thailand, in order to obtain a more favorable tariff position from these country. The move is supposed to save 100 million US dollars a year.
Currently, HD produces 40,000 units a year for the European market of US factories. In Europe, HD sales represent 16% of total global sales volume and nearly half of non-US markets.
The probable step is almost certain: reduction of the workforce, or even closure of production facilities. his own house.
Because 40,000 units will cease to be manufactured in the United States. However, the final decision was not made by HD party related to this pinch condition.
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