Harley-Davidson Moves Some Production Out of U.S. After Tariffs
Source: Bloomberg
Harley-Davidson Inc. plans to shift some production of its iconic motorcycles out of the U.S. in response to retaliatory European Union tariffs, as President Donald Trumps trade war ripples back to American companies.
Each motorcycle will cost an average of $2,200 extra after the European Union raised its tariff on imported U.S. bikes to 31 percent from 6 percent on June 22, the Milwaukee-based manufacturer said Monday in a regulatory filing. Thats expected to add up to a burden of $90 million to $100 million annually, which Harley-Davidson will absorb rather than pass extra costs on to customers.
In the meantime, its planning to increase production in international plants over the next 18 months. While its committed to making motorcycles in the U.S., it has no other choice in a market where it sold almost 40,000 bikes last year. Besides its U.S. plants, Harley-Davidson maintains manufacturing facilities in Australia, Brazil, India and Thailand, according to its website.
Increasing international production to alleviate the EU tariff burden is not the companys preference, but represents the only sustainable option to make its motorcycles accessible to customers in the EU and maintain a viable business in Europe, the company said.
Read more: https://www.bloomberg.com/news/articles/2018-06-25/harley-davidson-to-shift-motorbike-production-to-counter-tariffs
Link to tweet
Civic Justice
(870 posts)Reading can provide information to help people understand what they see. (please be patient enough to invest in reading, its how we as a society were groomed to learn) We can give our thanks unto our public schools for the gift of education by using it, "read" that we can become better informed. We owe it to ourselves and our American society, as well as the offspring's who's future is at stake.
https://www.democraticunderground.com/100210779687
bucolic_frolic
(43,548 posts)when there were virtually no multinationals with global manufacturing, sourcing, research, marketing. Once corporate functions are on several continents in multiple countries, they can just shift resources around to escape Trump's tariffs.
Everything Trump does is with bludgeoning stupidity.
pazzyanne
(6,560 posts)Wonder how that "he just speaks the truth as he sees it", love how he ticks of the libr'l crowd is doing now that the disasters that are his policies are starting to play out. Manufacturing moving overseas, farmers unable to harvest and sell their crops to overseas markets, prices of gas going up, prices of groceries going up, prices of housing going up, United Nations report on US poverty coming out, etc., etc., etc. Just wait until the Repugs cut medicare and social security for these short sighted dunces, and unfortunately for the rest of us too.
lagomorph777
(30,613 posts)Karma's a BITCH.
heaven05
(18,124 posts)in action. Lost jobs is a priority. Racism and bigotry is a big priority. Dismantling everything the most competent POTUS in decades accomplished in spite of unprecedented racist obstruction by the NPA aka GOP. Installing an AG that is a known and lifelong racist and hater of anyone brown and many more insults to decent, struggling americans. What a russian dupe hit job. Great job putin! Pervert-in-chief is following your blueprint to letter in how to destroy the viability of our democratic experiment, work in progress, if you will.
This transition from democracy to a fascist, one party, one race rule is breathtaking. Literally breathtaking, for many.
beachbum bob
(10,437 posts)beachbum bob
(10,437 posts)they have to hearing it from their members
hatrack
(59,607 posts)Preface - there's no formal hierarchy - C of Cs large and small are independent organizations. However, the higher up the chain (so to speak) you went, the more detached from reality things became.
We hardly ever paid attention to the state chambers, because their default position, every single time, was CUT TAXES! CUT TAXES! CUT TAXES! CUT TAXES! CUT TAXES! and very little else.
Absolutely nobody cared about the US Chamber, other than as a nice place to stop for coffee when visiting Washington.
They live above the clouds in floating palaces built on giant mushrooms suspended in space, sip opium tea and from time to time excrete perfumed press releases filled with lofty thoughts about evil government, world without end, amen.
What they don't know about actually running a business or economics is . . . vast.
Freethinker65
(10,118 posts)Then they can leverage a takeover and pay themselves back with the profit of the parts of the business they can successfully sell off while accumulating more debt, screw the employees, file for bankruptcy, and walk away.
With that money they can afford to buy more politicians and continue to influence public policy enriching themselves. I see greater tax cuts for the wealthy with "relaxed" labor, safety, and environmental regulations in the future?
Or they can just by up the stock at reduced prices and hold onto the stock until Trump solves the crises he made by changing his mind on the entire tariff thing.
keithbvadu2
(37,061 posts)Freethinker65
(10,118 posts)yallerdawg
(16,104 posts)This is one of the guiding principles of capitalism. This is what trade negotiations and globalization is all about.
Complete BS is when Harley Davidson says it won't pass on its higher costs to the American consumer.
Achilleaze
(15,543 posts)Brother Buzz
(36,508 posts)in the movies.
Brando rode a Triumph Thunderbird 6T in The Wild One.
McQueen rode a Triumph TR6 Trophy disguised as a BMW R75 in The Great Escape.
Just an observation
workinclasszero
(28,270 posts)Brother Buzz
(36,508 posts)Oh! Oh, I've gotta helmet. Ha ha ha! Oh, I got a beauty!
workinclasszero
(28,270 posts)Brother Buzz
(36,508 posts)He's been promised to role of the orange anus in an epic blockbuster bio film if he can just gain forty more pounds
workinclasszero
(28,270 posts)Don't do it Jack!
workinclasszero
(28,270 posts)workinclasszero
(28,270 posts)BY MARK DAVIS June 22, 2018 10:46 AM
The company, syncreon, which does sub-assembly and related work for the motorcycle factory, notified Missouri of its job cuts, saying they "are due to the announcement by Harley-Davidson Motor Company of its intent to close these entire facilities."
Many of the workers targeted for layoff are temporary, according to the notice from syncreon. It said only 76 are direct employees of the company, and only some of those are members of either of the two unions representing workers there.
A local syncreon official could not be reached immediately. The company is based in Michigan and has operations globally.
http://www.kansascity.com/news/business/article213651099.html
https://www.democraticunderground.com/100210784497
Freethinker65
(10,118 posts)I lived in a suburb of Detroit when the auto industry was really struggling. The tool and die places, independent machine shops, local diners and retailers, rental housing, real estate values, etc. are all affected.
Gothmog
(146,012 posts)workinclasszero
(28,270 posts)Lots of surprised GOP farmers as well who are going to lose the family farm to Trump's Big Ag pals soon.
keithbvadu2
(37,061 posts)get the red out
(13,468 posts)I was reading about all the jobs lost in tourism to the US not 10 minutes ago. He's doing a great job at screwing us all over.
blue-wave
(4,378 posts)How's that workin' out for you? I heard some cryin' bout all this tariff stuff from the soybean fields of Iowa too. Seems to me you asked for all this!!! You reap what you sow!!
packman
(16,296 posts)TheFrenchRazor
(2,116 posts)some poor company had it's profits reduced by a tariff.