Harley-Davidson plans to move part of its production outside the United States following recently imposed tariffs by the European Union (EU), a measure it took to counteract the levies applied by Washington.
Tariffs imposed by the EU on various products made in the United States, such as motorcycles or whiskey, came into force on June 22 and have increased the tax on exported Harley-Davidsons "From 6% to 31%", highlighted the company.
In a presentation to the company's shareholders, HD's management said that the motorcycles it exports to the EU from the US would from now on have an average cost of 2.220 dollars more, which is why it has decided that it is more effective to manufacture them outside the country.
"The tremendous cost increases, if passed on to dealerships and retail customers, would have an immediate and lasting detrimental impact on the business, reducing access to our products and negatively impacting the sustainability of dealerships," Harley-Davidson noted in the statement prepared for its shareholders.
"Increasing international production to ease the EU tariff burden is the only sustainable option to make motorcycles accessible to customers in the EU and maintain a viable business in Europe", He added.
Harley-Davidson announced that it will complete the transfer of part of its production within nine to 18 months.