Hit to H-D by India because of Trump's trade war | GTAMotorcycle.com

Hit to H-D by India because of Trump's trade war

robmack

robmack

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India is fighting back in the escalating trade war going on between USA and other nations. Being targeted are large American motorcycle manufacturers - I'm assuming Harley Davidson here. H-D can little do with shrinking world sales along with a shrinking domestic market because of changing demographics.
http://money.cnn.com/2018/06/17/new...riffs-steel-aluminum-wto/index.html?iid=SF_LN
India said its tariff on large American motorcycles, which President Donald Trump has repeatedly spoken out against, will also be hiked.
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Pretty sure harley is now exempt, they set up shop in india precisely so they wouldn't have to pay the foreign tax.
 
bigpoppa said:
Pretty sure harley is now exempt, they set up shop in india precisely so they wouldn't have to pay the foreign tax.
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Was my understanding that only there entry level bikes are made in India for that market. Softails and touring bikes are still made in US.


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Am I wrong in thinking this is mostly symbolic? I would think that *nobody* sells many large displacement bikes in India, HD included. I don't actually know one way or the other though
 
TwistedKestrel said:
Am I wrong in thinking this is mostly symbolic? I would think that *nobody* sells many large displacement bikes in India, HD included. I don't actually know one way or the other though
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You'd be right on that front. 99% of the bikes there are 250 max, and even 250 is seen as a big bike. On those roads, you want small and nimble.
 
HD is #1 in >500cc bike sales in India with 60% market share
this is was achieved with the prior existing 100% duty and tax

so now India is going to raise that to over 100??
 
TwistedKestrel said:
Am I wrong in thinking this is mostly symbolic? I would think that *nobody* sells many large displacement bikes in India, HD included. I don't actually know one way or the other though
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I`m sure the rich don`t care about the taxes . If you have the means and want a HD you will get one .
 
Isn't that the case with any luxury good sold anywhere in the world. If you're rich enough to afford it, you're rich enough not to care about the sundries. I'd agree that this move is mostly symbolic. It could be a reaction that other countries also take in retaliation to the USA's tariffs though. If so, collectively, the impact could be felt by H-D.
 
If you're one in a million in India there are 1,250 just like you.
Ignoring that growing market will be disastrous for the U.S. no matter what the product.
 
Yaaa! for once it's not over somebody refusing to buy their hormone injected beef products.
 
TwistedKestrel said:
Am I wrong in thinking this is mostly symbolic? I would think that *nobody* sells many large displacement bikes in India, HD included. I don't actually know one way or the other though
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Ever dealt with India? Stuff goes in with grease, not tariffs.
 
O great, lets just drive the entire world into double digit inflation, that should make America strong again.
 
Well so much for the policy of "Make America Great Again". The Principle of Unintended Consequences has hit here as potential American jobs will transfer to Europe, making those jobs unavailable for workers in the US. My guess is that the US Federal Government will then either pressure H-D to return jobs to the US or fine them terribly for operating overseas. It's a no-win situation for H-D.
 
suspect some sabre rattling here from HD
in the interim, until the new plant is operational
they are going to eat the tarif
wholesale pricing to the dealers will not increase

but that's a whopping discount for a company that's struggling already
and the stock is taking a pounding over this

if there is an American brand that the MAGA crowd identities with stronger than HD
I can't think what it is
will be interesting to see if they are willing to break from Trump on this
or will back HD's survival
 
JavaFan said:
suspect some sabre rattling here from HD
in the interim, until the new plant is operational
they are going to eat the tarif
wholesale pricing to the dealers will not increase

but that's a whopping discount for a company that's struggling already
and the stock is taking a pounding over this

if there is an American brand that the MAGA crowd identities with stronger than HD
I can't think what it is
will be interesting to see if they are willing to break from Trump on this
or will back HD's survival
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Makes you wonder just how much of the harley crowd voted Trump, wasn't like he tried to hide the ****** bag during the campaign/election. Maybe they are OK with all the hate/bigotry
 
robmack said:
Well so much for the policy of "Make America Great Again". The Principle of Unintended Consequences has hit here as potential American jobs will transfer to Europe, making those jobs unavailable for workers in the US. My guess is that the US Federal Government will then either pressure H-D to return jobs to the US or fine them terribly for operating overseas. It's a no-win situation for H-D.
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I think 'make America great again' is for the $4000. suit crowd, like the turn of the century, not for Mid Ohio Joe. They'll build a plant in Spain?? maybe buy ANOTHER Italian trainwreck company for production and tax credits and move along. The guys getting lunch at the boardroom table will have nice parachute plans in place so even if it goes completely south, the payouts will coast them into the next nice job.
I'm not sure through any of the rehtoric it was for joe 6 pack , regardless of the spin, its for corporate America, which will be just fine.
 
JavaFan said:
suspect some sabre rattling here from HD
in the interim, until the new plant is operational
they are going to eat the tarif
wholesale pricing to the dealers will not increase

but that's a whopping discount for a company that's struggling already
and the stock is taking a pounding over this

if there is an American brand that the MAGA crowd identities with stronger than HD
I can't think what it is
will be interesting to see if they are willing to break from Trump on this
or will back HD's survival
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One doesn't build a factory overnight and there will be negotiations over content. By the time the factory is built the rules could have changed. Trump's goal is to destabilize every aspect of world relations.
 
nobbie48 said:
One doesn't build a factory overnight and there will be negotiations over content. By the time the factory is built the rules could have changed. (Putin's)Trump's goal is to destabilize every aspect of world relations.
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Fify.

He talks big **** but suddenly responds in a measured and calculated manner every time russia/Putin is brought up.(G8 for instance)
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