Stay up-to-date with the latest in the world of Harley-Davidson. From new model releases and technology advancements to company announcements and industry insights, this category covers all the breaking news and essential updates about Harley-Davidson. Whether you’re a die-hard fan, a rider, or simply curious about the iconic brand, our news section keeps you informed on everything happening with Harley-Davidson, including events, partnerships, and trends shaping the future of motorcycling.
A devastating motorcycle collision occurred on Saturday night, claiming the life of an adult male rider. The incident transpired around 10:03 PM on March 15, 2025, close to the intersection of N. Euclid St. and W. Valencia Mesa Dr.
According to the Fullerton Police Department, officers found the victim alongside a gray Harley Davidson motorcycle in the northbound lanes of N. Euclid St. Despite the prompt response from the Fullerton Fire Department, the motorcyclist was declared dead at the scene.
Initial investigations indicate that the rider was speeding in the number two lane when he lost control and struck the east curb of Euclid St., just north of W. Valencia Mesa Dr. The details surrounding the accident are still under investigation, and authorities have stated that it remains unclear if drugs or alcohol played a role in the crash.
The identity of the deceased will be withheld pending notification of family members and will be disclosed by the Orange County Coroner’s Office.
The Fullerton Police Department is requesting any witnesses to the incident to come forward. Those with pertinent information are encouraged to reach out to Traffic Accident Investigator Manes at (714) 738-6815 or via email at [email protected]. For anonymous tips, individuals can contact the Orange County Crime Stoppers at 1-855-TIP-OCCS or visit their website at occrimestoppers.org.
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RIDERS of Harley-Davidson motorcycles are just discovering a handy, lesser-known feature that can be utilized even when the bike’s engine is turned off.
This renowned brand, cherished throughout the US, frequently embeds a variety of innovative capabilities into their bikes – many of which may go unnoticed by riders.
Harley-Davidson owners may not be aware of a feature that can be utilized even with the engine offHarley-DavidsonFeatures of the bike are typically outlined in the owner’s manual, although most riders are unlikely to peruse itHarley-DavidsonThis includes the 2024 Road Glide, which features a handy accessory modeHarley-Davidson
While the bike’s features are detailed in the owner’s manual, it’s not common for riders to consult it unless they’re seeking something specific.
Take the 2024 Road Glide, for instance; it comes with an accessory mode that allows interaction with the bike’s electronic systems without needing to start the engine.
Activating this mode is quite straightforward: simply press and hold the trip switch on the key fob. This powers the instrument panel and accessory circuit while keeping the headlamp and turn signal lamps off.
In accessory mode, the Infotainment Control Unit (IFCU) provides crucial information, such as the fuel gauge and odometer, letting you monitor fuel status and mileage without starting the engine.
This can be particularly useful if you need to briefly power the headlamp to survey your surroundings.
Once you’re finished, you can turn the bike off again by pressing and holding the trip switch once more.
However, it’s worth noting that accessory mode is intended for short-term usage; leaving the bike in this mode for an extended period can lead to battery drain.
If the motorcycle remains in accessory mode for two hours, it will automatically shut down to avoid complete battery discharge. Should you need to re-engage the mode after it has shut off automatically, just press and hold the trip switch to resume.
Overall, this feature serves as a practical method to check essential information and adjust settings while conserving energy .
The bike’s engine delivered impressive power, offering smooth acceleration coupled with a raw, exhilarating roar.
The CVO Pan America showcased strong acceleration across various speeds and slowed down effortlessly, making it more manageable on rough terrains.
The seat provided outstanding comfort, enabling long rides to be comfortable, including a 1,025-mile journey in under 24 hours.
Aesthetically, the Pan America was a head-turner, boasting an aggressive fairing and appearance reminiscent of a 1960s muscle car rather than the bulkier adventure bikes popular in the 70s.
Yet, the bike was not without its flaws.
One major drawback was the absence of a standard 12V accessory point, which frustrated the rider, necessitating the use of an adapter or direct wiring to the battery.
The most pressing issue, however, was the intermittent dropout of fourth gear during hard accelerations.
Harley-Davidson faces significant obstacles in the coming year as the European Union prepares to impose $28 billion in tariffs on US goods, including motorcycles, starting April 1.
As a result, the iconic brand may experience price increases in Europe , exacerbating its already considerable challenges.
Harley-Davidson Closures in 2024
There are over 650 Harley-Davidson dealerships across the United States.
However, numerous locations have closed for various reasons throughout 2024 – sometimes without any explanation.
Below is a list of some Harley-Davidson dealerships that have closed this year and their reasons for closure:
Reiman’s Harley-Davidson dealership in Kewanee, Illinois, closed in October 2024 after the owners sold the business to the Walter Brothers Harley Davidson dealership in Peoria, Illinois.
Harley-Davidson motorcycle riders are beginning to discover a valuable, lesser-known feature that can be utilized even when the engine is not running.
The iconic brand, cherished across the United States, frequently integrates an array of cutting-edge features into their bikes, many of which may go unnoticed by riders.
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Harley-Davidson owners may not know about a feature that can be used even if the bike’s engine is offCredit: Harley-Davidson
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A bike’s features are typically detailed in the owner’s manual, but most riders rarely take the time to read through itCredit: Harley-Davidson
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That includes the 2024 Road Glide, which features a handy accessory modeCredit: Harley-Davidson
While the owner’s manual provides details about the bike’s features, it’s common for riders not to consult it unless they have a specific query.
For instance, the 2024 Road Glide is equipped with a practical accessory mode, allowing users to engage with the bike’s electronic systems without needing to start the engine.
Engaging this mode is straightforward: simply press and hold the trip switch on the key fob. This activates the instruments and accessory circuit while disabling both the headlamp and turn signal lights.
In accessory mode, the Infotainment Control Unit (IFCU) displays crucial information, such as the fuel gauge and odometer, enabling you to track fuel levels and mileage without starting the engine.
This is particularly handy for instances where you may wish to briefly turn on the headlamp to assess your surroundings.
After you’ve completed your checks, you can turn off the bike again by pressing and holding the trip switch.
However, it’s important to note that accessory mode is designed for short-term use, as prolonged activation can deplete the battery.
If the motorcycle remains in accessory mode for two hours, it will automatically shut down to safeguard against full battery drain. Should you need to utilize the mode once more after this automatic shutdown, just press and hold the trip switch to reactivate it.
Overall, this feature offers an efficient way to access essential information and adjust settings while conserving energy.
Harley-Davidson’s 2025 Lineup: 7 New Bikes Unveiled
The motorcycle’s engine delivered robust power, ensuring smooth acceleration with an exhilarating roar.
The CVO Pan America boasted impressive acceleration from low to high speeds while also providing quick deceleration, facilitating control on uneven roads.
Its seat was remarkably comfortable, making lengthy rides effortlessly manageable, including a notable 1,025-mile journey in under 24 hours.
Aesthetically, the Pan America certainly turned heads with its aggressive fairing and presence, reminiscent more of a 1960s muscle car than the bulkier adventure bikes of the 1970s.
Nonetheless, not all aspects of the motorcycle were perfect.
The absence of a standard 12V accessory point frustrated the rider, necessitating the use of an adapter or directly wiring gear to the battery.
Additionally, the most concerning issue was the unexpected drop-out of the fourth gear during periods of hard acceleration.
Harley-Davidson faces considerable challenges in the upcoming year, especially with the European Union set to impose $28 billion in tariffs on U.S. goods, including motorcycles, beginning April 1.
This historic brand is expected to see price increases in Europe, further exacerbating its existing challenges.
Harley-Davidson Store Closures in 2024
There are over 650 Harley-Davidson dealerships located throughout America.
However, several locations have closed their doors for various reasons throughout 2024, often without any explanation.
Here’s a list of some Harley-Davidson locations that have shut down this year, along with their closures’ reasons:
Reiman’s Harley-Davidson in Kewanee, Illinois, closed its doors in October 2024 after the owners sold the business to the Walter Brothers Harley Davidson dealership in Peoria, Illinois.
It’s widely recognized that Harley-Davidson produces high-end motorcycles, with prices starting at over $10,000, while some models can reach tenfold that amount. Notably, the law of diminishing returns implies that buyers may not derive proportional value from this brand. Fortunately, the iconic Bar And Shield has been making significant changes (hello, Pan America!), and such transformations are indeed welcomed.
As a result, there are now certain Harleys that genuinely offer great value for their price. We believe one particular cruiser stands distinctly apart in this regard, blending contemporary elements with the traditional essence of Harley. Its allure is not restricted to brand enthusiasts; we can envision anyone taking it for a ride and having a blast, irrespective of their cruiser preference. Best of all, it’s positioned near the lower end of Harley’s pricing spectrum. Therefore, let’s introduce you to the Harley that delivers the best bang for your buck currently available.
To ensure the accuracy of the information provided in this article, data was gathered from credible sources, including the official websites of the relevant manufacturers.
This H-D delivers high-performance power, classic style, and advanced features for seasoned riders
The Harley-Davidson Sportster S Is The Best Bang For Your Buck Harley-Davidson You Can Buy Today
Base Price: $15,999
The Sportster lineup has been in existence since 1957, but the latest iteration has been in production since 2021, representing a significant evolution from the previous Evolution series. The Sportster has always maintained a sporty reputation within Harley’s lineup, designed to handle corners more adeptly than standard cruisers. At the heart of the current flagship Sportster is the Revolution Max engine, which is regarded as Harley’s most sophisticated engine to date, featuring technologies that are often reserved for considerably more expensive motorcycles.
This engine boasts a short-stroke design, utilizes liquid cooling and fuel injection, and strives for an optimal balance between peak power and torque. It incorporates smaller valves and ports, as well as a unique combustion chamber shape that yields a lower compression ratio compared to the Pan America engine. It’s equipped with variable valve timing and a six-speed gearbox including a slipper clutch, and it stands out as one of the rare designs with two spark plugs per cylinder.
The Pan America also includes a quickshifter, which is absent in the Sportster S even as an option — a detail we feel Harley should address in future updates. Nevertheless, the Sportster S features a by-wire throttle and multiple ride modes enabling personalized throttle responses suited to different riding conditions. Additionally, cruise control comes as a standard feature, showcasing a modern package that previous Sportsters have seldom offered.
Harley-Davidson Sportster S Engine Specs
Engine Configuration
Revolution Max 1250T 60 degree V-twin, DOHC, 4 valves per cylinder with variable valve timing on all valves, liquid cooled
Displacement
1,252 cc
Bore x Stroke
105 x 72.3 mm
Compression Ratio
12.0:1
Power
121 HP @ 7,500 RPM
Torque
93 LB-FT @ 6,000 RPM
Fuel System
Electronic sequential port fuel injection
Transmission
6 speed manual transmission
Final Drive
Belt drive
How Fast Is The Harley-Davidson Sportster S?
0-60 MPH: 3.4 seconds
Harley-Davidson
The Sportster S takes its sporting designation seriously, with an official acceleration time from 0 to 60 MPH recorded at just 3.4 seconds, a rate comparable to that of the Audi R8. It has a top speed of 143 mph, though rider comfort at such velocities—considering the lack of wind protection—might be questionable. The bike’s advanced electronics undoubtedly contribute to its impressive acceleration, and if the gearbox performance is as anticipated, it may well provide even quicker times down the line. Including a quickshifter in future designs could enhance its daily usability and agility.
Performance Numbers
0-60 MPH
3.4 Seconds
Top Speed
143 MPH
Here’s What Makes This Harley-Davidson Great Bang For The Buck
Great Engine, Good Weight Savings
Harley-Davidson
Having already examined the engine and its features, it’s noteworthy that the Sportster S conceals an array of modern amenities beneath its signature Harley design. The circular display is a TFT, akin to contemporary motorcycles, outfitted with multiple menus. It supports Bluetooth connectivity, allowing riders to control their music via the handlebar switches, and also includes navigation information. Furthermore, the motorcycle can perform diagnostics and display results, assisting riders interpreting warning lights.
Classics like the iconic Harley-Davidson Sportster never go out of style.
The Sportster S comes equipped with Harley-Davidson’s full electronics suite, making every feature standard, including (take a deep breath) Cornering enhanced ABS (C-ABS), cornering enhanced traction control (C-TCS), drag-torque slip control, tire pressure monitoring, wheel lift mitigation, and enhanced lift mitigation, all taking inputs from the IMU. The only apparent shortcoming of the Sportster S is its front brake.
It features a Brembo system, without a doubt, but given its performance and weight, a twin-disc configuration would have been a much-improved option. All of this is available for below $16,000 retail, making it a solid value for any brand, and particularly striking for a Harley-Davidson, a name often associated with the opposite of ‘value’ in traditional terms. Thus, it offers excellent value for money.
Harley-Davidson Sportster S Hardware Specs And Weight
Front Suspension
43 mm inverted forks, fully adjustable, 3.6 inches travel
The aesthetic of the Sportster S draws from Harley’s classic flat track racers, emphasized by the almost linear design from the top of the tank to the tail, interrupted only by the seat. Its high-routing exhaust closely hugs the frame, running parallel to the ground and finishing with an underseat muffler, reminiscent of scrambler designs. The chunky front tire and small headlamps at the front give it a bulkier yet appealing look.
At the back, the shorter subframe showcases the broad rear tire, while a unit mounted on the rear axle houses the tail lamp, indicators, and license plate. The engine is a structural component of the frame, leading to a design without a conventional frame ahead of or below the engine, a feat made easier with radiator shrouds and cladding.
These bikes prove why the Sportster is Harley-Davidson’s longest-running model
Another distinctive feature of the Sportster S is the low placement of the shock, echoing sports bike designs. Its swingarm is a unique tubular variant, resembling a trellis frame that contributes to its lightweight and sleek appearance. The Sportster S is available in gray as a standard offering, while opting for black will incur an additional cost of $500. The red option costs an extra $750, and our favorite, the metallic mystic shift, comes with a price tag of $900.
Harley-Davidson Sportster S Notable Design Features
Distinctly Harley look, yet sporty
Design inspired by Harley flat track racers
4 inch TFT color display with navigation
Tubular frame
Brembo brakes
Unique tubular swingarm design
Harley-Davidson Sportster S Dimensions
Length
89.4 inches
Wheelbase
59.8 inches
Rake
30 degrees
Trail
5.8 inches
Seat Height
28.9 inches
Ground Clearance
3.5 inches
Top Bang For The Buck Cruisers
Not Many Have The Harley’s Combination At The Price
Finding a blend of price, performance, and features as compelling as that offered by Harley can be a tough task. Nonetheless, a few alternatives in the market present viable competition to the Sportster S. The Indian 101 Scout is slightly pricier but closely rivals the Harley in performance, styling, and features. Another modern contender priced similarly is the BMW R 12 nineT, which certainly boasts sporting credentials, although its classification as a true cruiser may be open to interpretation.
Harley-Davidson’s middleweight cruiser has gone through many changes over five decades
There is no dispute that the Suzuki Boulevard M109R offers significant performance and will remain reliable despite its age. However, the absence of a six-speed gearbox and overall weight combined with its dimensions position it as a less rational option at its price point. On the more economical end, the Honda Rebel 1100 SE includes an automatic gearbox, providing an attractive option for urban riders. Finally, Harley’s own Nightster Special is fitted with the smaller Revolution Max 975T engine, offering lesser performance.
Among the models discussed, only the Nightster, Rebel, and Sportster S rely on a single front brake disc, distinguishing the Sportster due to its superior performance.
HARLEY-DAVIDSON is grappling with a new hurdle as the European Union plans to introduce $28 billion in tariffs on U.S. products, including motorcycles, effective April 1.
This legendary brand is expected to experience price increases in Europe, compounding its existing difficulties.
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A group photo of Harley Davidson bikers with their motorbikesCredit: AFP
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The new round of tariffs comes as the EU seeks to match the 25 per cent tariffs imposed by the U.S. on steel and aluminium.Credit: Getty
These tariffs are part of a growing trade conflict between the U.S. and the EU, with Harley-Davidson being one of the brands most affected.
Recently, the company announced a £250 million loss in revenue, linked to widespread industry issues and a fall in sales.
CEO Jochen Zeitz acknowledged that revenue has been “significantly impacted,” highlighting challenges including an older customer demographic, rising prices, and tough competition from younger riders who often prefer lighter, more affordable motorcycles.
This latest round of tariffs aligns with the EU’s attempt to equalize the 25 percent tariffs that the U.S. has imposed on steel and aluminum, which affect a broad spectrum of products.
READ MORE ON HARLEY-DAVIDSON
European consumers are expected to bear the brunt of these price hikes, with Harley-Davidson standing out as one of the most recognizable American brands facing significant cost increases.
This could lead to elevated prices for its models, adversely affecting sales throughout the continent.
The tariffs are part of a comprehensive approach by the EU to retaliate against the U.S., which has experienced intensified trade disputes with the bloc during President Donald Trump’s second term.
The EU has been vocal in criticizing the U.S. tariffs, particularly the ones on steel and aluminum, viewing them as obstacles to fair trading practices.
President of the European Commission Ursula von der Leyen expressed her disappointment over the new tariffs, stating, “Tariffs are taxes. They are detrimental to business and even worse for consumers.”
She cautioned about potential disruptions within supply chains, economic instability, and the looming risk of job losses on both sides of the Atlantic.
The latest tariffs by the EU form part of a larger suite of retaliatory actions aimed at counterbalancing U.S. tariffs on goods from Europe.
While the U.S. has not yet exempted any products from these impending tariffs, EU leaders remain open to negotiations prior to their implementation.
However, as the April 1 deadline approaches, it is uncertain if an agreement will be made in time to prevent price increases for iconic American products like Harley-Davidson motorcycles.
In the interim, Harley-Davidson and other U.S. companies must adjust to this upcoming tariff wave, which is poised to significantly influence their pricing strategies and competitiveness in the European market.
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Recently, Harley-Davidson reported a £250m loss in revenue, attributed to industry-wide challenges and a decline in sales.Credit: Getty
Many might have questioned why Loris Baz took a different path with an Indian motorcycle in this year’s King of the Baggers championship. This category within the MotoAmerica series definitely doesn’t align with the traditional image of motorcycle racing that many have from across the Atlantic…
First and foremost, the motorcycles used—either the Harley Davidson Road Glide or Indian Challenger—are massive machines that aren’t really designed for this kind of racing.
For instance, the Indian motorcycle, which the French rider represents alongside the Australian Troy Herfoss and Californian Tyler O’Hara, exemplifies this.
Starting with a 112 cu-in (1934cc) motorcycle producing 126 hp and 181.4 Nm of torque at 3800 rpm, it weighs in at 372 kg dry. However, mandatory modifications include the removal of rearview mirrors, the kLaxon, the supportdeplaque registration, the box àtools, and the bekeel lateral. Additionally, the security bars must be removed, whilethecentral and lateral footpeg supports are required to be welded for safety reasons, with the minimum weight set at 281.23 kg (620 lbs.).
The frame must retain its original structure, which leads to some interesting handling on American tracks, although minor adjustments to increase ground clearance are permitted, and the swingarm can be modified freely. This aspect is often seen as a weak point of the design.
On the other hand, the liquid-cooled, double overhead cam engine, known as PowerPlus, has fewer restrictions, with only the fuel system required to stay stock. Practically every other component, including cylinder heads, camshafts, valves, pistons, connecting rods, and crankshafts, can be upgraded. This opens the door to substantial horsepower gains; we’re likely pushing close to 200 horsepower now, which, while modest relative to the engine size, is significant considering the engine’s design and its racing limits of 7700 rpm (7000 for Harley Davidson).
Safety is crucial, so the minimum weight requirement is set at 281.23 kg (620 lbs.), and top-quality suspension systems (like Öhlins) are allowed, with a budget cap of $8000 for both front and rear. Additionally, there are no price limits for high-end brakes (such as Brembo GP4). On the aerodynamic front, parts may be constructed from carbon fiber while retaining the saddlebags and fork crown, the latter of which can be slightly modified in shape.
Indian 2023
Of course, none of the bikes come with ABS, Traction Control, or a Ride Height Device, and the exhaust system is nearly unrestricted (measuring 115 dB/A at 3000 rpm). With Dunlop slick tires, these beasts are unleashed—more akin to tigers than house cats—at the Daytona circuit, where they can achieve notable improvements in top speed, especially when drafting behind three or four other bikes pushing the air ahead…
Harley Davidson (HOG) finds itself in a familiar position as the European Union (EU) prepares to impose tariffs on a range of products, including “boats, bourbon, and motorbikes,” in retaliation to U.S. tariffs on steel and aluminum. The 27-member bloc has announced countermeasures targeting U.S. goods valued at €26 billion ($28.3 billion), which will be partially implemented on April 1st and fully enacted by April 13th. This action will reignite “rebalancing measures” initially introduced in 2018 and 2020 against the first series of Trump steel tariffs that affected items such as motorcycles and whiskey.
Enhance Your Investment Research with Spark
This situation is reminiscent for motorcycle manufacturer Harley Davidson, which experienced a drop in its stock value back in 2018 when the EU responded to Trump’s earliest trade actions with tariffs. During that time, the EU raised tariffs on Harley-Davidson motorcycles from 6% to 31%, prompting the company to caution that an average Harley bike exported from the U.S. to the EU would cost around $2,200 more, resulting in a loss of $90 million to $100 million annually.
Familiar Circumstances for HOG
In a recent report, HOG acknowledged the looming challenges it faces once again. Based on the history of incremental rebalancing tariffs the EU enacted in 2018, the company stated in its annual report dated February 26th that it anticipated foreign countries, including the EU, to introduce rebalancing tariffs in response to the steel and aluminum tariffs already disclosed by the U.S.
If the EU decides to reinstate previously suspended tariffs, it will mean HOG motorcycles imported into the EU could face a 56% tariff, significantly elevating costs.
Harley-Davidson’s response previously was straightforward: shift production overseas. “To mitigate the significant cost of this tariff burden long-term, Harley-Davidson plans to relocate motorcycle production for EU markets from the U.S. to its international facilities to circumvent the tariff burden,” the company stated in June 2018.
However, the escalation of the trade conflict complicates this process. Additionally, the upcoming tariffs will inflate the costs of components and materials used in the manufacture of the company’s motorcycles and other products, further squeezing margins.
Back in 2018, the U.S. implemented tariffs on steel and aluminum imports from the EU. In response, the EU applied incremental rebalancing tariffs of 25% on selected U.S. goods, including non-electric motorcycles. In April 2021, these tariffs began to affect motorcycles imported from the company’s manufacturing sites in the U.S. and Thailand. On October 21, 2021, the U.S. and EU temporarily suspended these tariffs, with the EU’s suspension set to expire by the end of March this year.
Is HOG a Worthwhile Investment?
Wall Street currently holds a Moderate Buy consensus rating for HOG stock, based on four Buys, five Holds, and one Sell. The average price target for HOG stands at $30.13, suggesting a potential upside of about 16% from current levels.
The European Union has unveiled its list of countermeasures in response to US President Donald Trump’s comprehensive tariffs on steel and aluminium imports, which include Harley Davidson motorcycles and tomato ketchup.
EU-US trade tariffs in figures
As a tit-for-tat trade conflict emerges, let’s examine the current trade barriers that the EU has implemented against American goods.
The hefty US tariffs of 25 percent on EU steel and aluminium took effect at midnight without any exemptions, despite attempts from various countries to prevent them. This marks an escalation following new duties that Trump has already enacted against Canada, Mexico, and China since taking office again.
According to the World Trade Organization, 31 percent of American exports to the EU faced customs duties in 2023. These measures are designed to safeguard European producers from American competition, mirroring actions taken by the United States.
The average customs duty that both sides impose on each other’s goods stands at one percent, as reported by the European Union’s executive Commission. However, this rate varies across different products, and EU and US tariffs may not always align for similar items.
The United States is the second-largest supplier of goods to the EU, making it a key economic partner for the 27-nation bloc.
In 2024, the EU exported goods worth 531.6 billion euros to the United States and imported 333.4 billion euros, with the majority of these imports including crude oil, natural gas, and medicines, which largely came in “duty free.”
The Commission noted that in 2023, the EU collected around three billion euros in customs duties from US imports, while the United States received seven billion euros from its imports from the EU.
In 2023, only one percent of American exports to the EU faced custom duties exceeding 10 percent, according to the WTO’s “Tariff analysis online.”
The most heavily taxed category is tobacco products, followed by ketchup, which is subject to a 10.2 percent tax, as well as honey, gherkins, and caviar.
The WTO indicated that Harley-Davidson motorcycles encountered a six percent customs duty upon entering the EU in 2023.
American automobiles faced a 10 percent customs duty, which is 12 percentage points lower than the duties levied on vans by the US.
The EU cautioned that boats, which faced customs duties of less than five percent in 2023, and bourbon, currently untaxed, could be the next targets in the EU’s trade measures.
lam/jmy/rl
HARLEY-DAVIDSON
This article was generated from an automated news agency feed without modifications to text.
“We firmly believe that in a world filled with geo-economic and political uncertainties, burdening our economies with such tariffs is not in our shared interest,” European Commission President Ursula von der Leyen remarked in a morning briefing.
She emphasized that the EU must act “to safeguard consumers and businesses.”
A senior EU official noted that counter-tariffs amounting to €26 billion will primarily target Trump’s closest allies, hitting products that carry significant symbolic weight.
Products subject to EU tariffs will include home appliances like refrigerators and lawn mowers, wood products vital to Republican states such as Virginia and Alabama, and agricultural items like soybean, beef, and chicken, which are critical for Nebraska and Kansas.
“These are predominantly Republican and red states, and that’s by design,” stated an EU source.
The US previously imposed tariffs on EU steel during Trump’s first term. The EU’s counter-measures had been paused due to an agreement with President Biden but now they will be reinstated.
According to the European Commission, these tariffs—which include items like Harley Davidson motorcycles, Tennessee whiskey, and Levi jeans—are expected to cost the US approximately €4.5 billion.
Furthermore, a larger wave of tariffs ranging from €18 to €21 billion is set to be enacted in mid-April unless Trump retracts his tariffs.
A half-empty shelf of American whiskey in Toronto. The EU is also launching countermeasures to target American alcohol.
The European spirits sector expressed outrage over the news that it would be entangled once again in a trade conflict, which fundamentally revolves around a surplus of steel and metals globally.
“Once more, our spirits are collateral damage in a separate trade dispute,” remarked Pauline Bastidon from the trade association, Spirits Europe.
“We do not comprehend how this will contribute to resolving the larger, unrelated steel and aluminum dispute.”
The US has imposed these tariffs citing national security grounds, referencing legislation from the 1960s.
US Secretary of State Marco Rubio claimed that the US is implementing tariffs to “develop domestic capabilities.”
US Secretary of State Marco Rubio
“Without steel and aluminum, one cannot construct warships or planes,” he added.
“The US administration has adopted a detrimental course of unjustified tariffs, leaving us with no options but to retaliate,” said the EU’s Trade Commissioner, Maroš Šefčovič.
However, “we will remain open to discussions,” Ursula von der Leyen stated, as she has yet to have a meeting with President Trump.
Canada and Mexico bore the brunt of Trump’s tariffs upon his return to the White House and are now also implementing countermeasures.
Canadian Finance Minister Dominic LeBlanc, Foreign Affairs Minister Melanie Joly, and Innovation, Science and Industry Minister Francois-Philippe Champagne (right to left)
An EU source indicated that although it is in communication with global partners, including Canada, its response to the US is not part of a coordinated initiative.
The UK has adopted a different approach and has not yet initiated any retaliatory tariffs against the US. British Prime Minister Sir Keir Starmer affirmed that “we will keep all options open.”
The UK aims to negotiate a mini trade agreement with the US, while Starmer works to maintain a favorable relationship with President Trump.
Furthermore, unlike the EU, the UK does not face a trade deficit with the US.
“I am disheartened to witness global tariffs concerning steel and aluminum,” Starmer expressed in the House of Commons earlier.
“We will approach this thoughtfully.”
When questioned about the UK’s decision to refrain from reacting, an EU official remarked that each country exercises its “sovereignty and considers its own interests” in making decisions.
“However, it is evident that Canada’s response and the EU’s response are perhaps making better progress in discussions with the United States.”
Harley Davidson (HOG) finds itself in a well-known situation as the European Union (EU) prepares to impose tariffs on a wide range of products, including “boats, bourbon, and motorbikes,” in retaliation for U.S. tariffs on steel and aluminum. The 27-member bloc has unveiled countermeasures targeting U.S. goods worth €26 billion ($28.3 billion), which are set to be partially implemented on April 1st and fully by April 13th. This move will reactivate “rebalancing measures” that were first initiated in 2018 and 2020 to counteract the initial wave of Trump steel tariffs affecting items like motorbikes and whiskey.
This is a familiar challenge for motorcycle manufacturer Harley Davidson, which experienced a decline in its stock in 2018 when the EU imposed tariffs in response to the trade conflict initiated by Donald Trump. As the EU raised tariffs on Harley-Davidson motorcycles from 6% to 31%, the company expressed concerns that the average Harley bike exported from the U.S. to the EU would see a price increase of about $2,200, translating to a $90 million to $100 million cost impact over the course of a year.
Déjà Vu for HOG
In a recent filing, HOG acknowledged that it would need to confront similar challenges again. Citing past instances of the EU’s incremental rebalancing tariffs implemented back in 2018, the company noted in its annual report dated February 26th that it anticipated additional foreign tariffs, including those from the EU, as a reaction to the U.S. steel and aluminum tariffs.
If the EU reinstates previously suspended tariffs, it will result in HOG motorcycles imported into the region facing a steep 56% tariff, significantly escalating prices.
Harley’s response during the last round of tariff increases was straightforward: shift production overseas. “To mitigate the substantial cost burden of these tariffs long-term, Harley-Davidson plans to move motorcycle production for EU markets from the U.S. to its international plants to evade tariff costs,” the company stated in June 2018.
This time, however, the escalation of the trade conflict complicates matters. Additionally, the range of tariffs will likely increase the costs of components and materials needed for manufacturing the company’s motorcycles and other products, further squeezing profit margins.
The U.S. first imposed tariffs on imported steel and aluminum from the EU in 2018. In response, the EU enacted incremental rebalancing tariffs of 25% on specific products coming from the U.S., including non-electric motorcycles. Starting in April 2021, the EU’s 25% incremental tariff began applying to the company’s motorcycles imported from its U.S. and Thailand manufacturing facilities. On October 21, 2021, the U.S. and EU reached an agreement to suspend these tariffs, with the EU’s suspension of its incremental tariffs set to expire by the end of March this year.
Is HOG a Good Stock to Buy?
Wall Street currently holds a Moderate Buy consensus rating for HOG stock, which reflects four Buys, five Holds, and one Sell recommendation. The average target price for HOG stands at $30.13, suggesting a potential upside of approximately 16% from current trading levels.
Indian 2023
