Trump says he's 'surprised' Harley-Davidson is moving work overseas after tariffs take effect

Donald J. Trump
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Surprised that Harley-Davidson, of all companies, would be the first to wave the White Flag. I fought hard for them and ultimately they will not pay tariffs selling into the E.U., which has hurt us badly on trade, down $151 Billion. Taxes just a Harley excuse - be patient! #MAGA

Facing higher costs from tariffs, Harley-Davidson said it is shifting production of motorcycles sold to European customers from the United States to another site offshore.

The European Union imposed tariffs on a range of U.S. products in response to similar levies that President Trump put on steel and aluminum from Europe. The E.U. tariffs will add $2,200 to the cost of an average motorcycle, threatening “an immediate and lasting detrimental impact to its business,” the company said Monday in a Securities and Exchange Commission filing.

For the rest of this year, the company said, the tariffs will add $30 million to $45 million to its expenses. Rather than pass on those costs to consumers in higher prices, Harley said it would absorb them for now while it begins planning to move production offshore. The full-year tariff bill could reach $100 million, the company said.

“Increasing international production to alleviate the EU tariff burden is not the company’s preference, but represents the only sustainable option to make its motorcycles available to customers in the EU and maintain a viable business in Europe,” the company said.

https://www.washingtonpost.com/news/business/wp/2018/06/25/harley-davidson-moves-work-offshore-to-limit-blow-from-trumps-trade-war/?utm_term=.a03b1b06cb3c