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Expert Sounds Alarm: Iconic US Motorcycle Brand at Risk Due to Trump’s EU Tariffs

Expert Sounds Alarm: Iconic US Motorcycle Brand at Risk Due to Trump’s EU Tariffs

By RACHEL BOWMAN FOR DAILYMAIL.COM

Published: | Updated:


















Motorcycle specialists have cautioned that Donald Trump‘s intensifying trade battle could jeopardize the legendary American brand Harley-Davidson.

The president has announced plans for a series of tariffs set to unfold on Wednesday, prompting trade partners to promise retaliation.

European Union officials are reportedly contemplating imposing 50 percent tariffs on American products including Jack Daniel’s whiskey, Harley-Davidson motorcycles, and Levi’s jeans.

Industry consultant Michael Uhlarik is warning that elevated taxes could drive prices up and potentially inflict irreversible harm to the company in Europe.

“Even a minor increase of 10 to 20 percent in costs, combined with a general disdain for American brands, could prove fatal,” he told The Wall Street Journal.

The starting price for Harley’s Road Glide, a touring model, is $28,000 in the U.S. However, with the addition of the country’s 25 percent value-added tax and a 150 percent luxury tax, it costs around $77,000.

The new EU tariff proposal could inflate the Road Glide’s price to $124,000, according to the company.

Harley’s Chief Financial Officer, Jonathan Root, addressed Congress on Tuesday, highlighting that their products are subjected to unfair trading practices in various markets, and called for reciprocal duties to be applied to their foreign competitors exporting motorcycles to the U.S.

Expert Sounds Alarm: Iconic US Motorcycle Brand at Risk Due to Trump’s EU Tariffs

Motorcycle experts warned that Donald Trump’s escalating trade war could destroy iconic American brand Harley-Davidson

Furious bikers turned their back on the iconic motorcycle brand, blaming CEO Jochen Zeitz's (pictured) support for 'woke policies

Furious bikers turned their back on the iconic motorcycle brand, blaming CEO Jochen Zeitz’s (pictured) support for ‘woke policies

“Competitor brands should not benefit from low-cost manufacturing and favorable import duties when entering the U.S. market,” Root stated.

The legendary American brand faced significant backlash last year after activists brought attention to its diversity, equity, and inclusion (DEI) initiatives.

Outraged motorcyclists distanced themselves from the iconic motorcycle maker, criticizing CEO Jochen Zeitz for his endorsement of stringent policies surrounding trans rights for children, critical race theory, climate change, and DEI.

This backlash compelled the company to retract its stance in August, stating they were disheartened by the social media negativity, which they claimed was “designed to divide the Harley-Davidson community.”

They added: “We have not maintained a DEI function since April 2024, and we do not currently have any DEI functions in place.”

“We do not impose hiring quotas and have eliminated diversity spending goals for suppliers.”

The company asserted they would reevaluate all their sponsorships and affiliations with external organizations.

Their statement indicated they would implement a process to review all sponsorships internally and suggested they might drop some of them.

Motorcycle-industry consultant Michael Uhlarik warned the high tax could cause prices to soar and cause irreparable damage to the company in Europe

Motorcycle-industry consultant Michael Uhlarik warned the high tax could cause prices to soar and cause irreparable damage to the company in Europe

The proposed new EU tariff would take the Road Glide price, which costs $28,000 in the U.S., to $124,000 in Europe, the company said

The proposed new EU tariff would take the Road Glide price, which costs $28,000 in the U.S., to $124,000 in Europe, the company said

They also suggested potentially withdrawing from certain sponsorships, which could encompass LGBTQ+ Pride events.

The company stated they would concentrate on driving the sport of motorcycling forward.

Additionally, they announced they would cease their association with the Human Rights Campaign, a prominent LGBTQ+ advocacy organization.

Their statement concluded: “We remain dedicated to considering the voices of all members within our community.”


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Potential Price Increases in the UK If Response to Donald Trump’s Tariffs Occurs – UK News

Potential Price Increases in the UK If Response to Donald Trump’s Tariffs Occurs – UK News

The UK is about to face tariffs enforced by US President Donald Trump, with the measures expected to commence on April 2.

Trump has dubbed this date ‘liberation day’, arguing that increasing the cost of foreign goods in the US will motivate Americans to purchase locally and strengthen their industry.

However, individuals in the US who rely on imported goods will inevitably bear the brunt of these changes.

The UK and US have been engaged in ‘productive discussions’ aimed at reaching a trade agreement that could prevent these tariffs, but time is running out.

A spokesperson from Downing Street stated (via Sky News): “They talked about the fruitful negotiations between their teams regarding a UK-US economic agreement, affirming that discussions will advance swiftly this week.”

In come the new tariffs, unless the UK can secure a trade deal very quickly (Win McNamee/Getty Images)

In come the new tariffs, unless the UK can secure a trade deal very quickly (Win McNamee/Getty Images)

If an agreement to exempt the UK from tariffs cannot be finalized, Prime Minister Sir Keir Starmer has indicated that the UK ‘reserves the right’ to impose reciprocal tariffs on American goods.

A trade war will not benefit anyone, but if the US imposes a 25 percent tariff on car imports, it will be quite detrimental, and implementing reciprocal tariffs could serve as leverage for urging Trump to reconsider.

The specifics of the UK’s potential tariffs remain uncertain, but the BBC reports that they might target particular products deemed significant by the US.

Harley Davidson motorcycles have been mentioned as a likely candidate for reciprocal tariffs, with notable American brands being potential targets.

The Daily Mail reported that Jack Daniel’s whiskey and Levi’s jeans may also be subjected to tariffs, making them appear pricier and less appealing in the UK market.

The European Union has prepared reciprocal tariffs for such items in the case of a trade conflict, and the UK might consider doing likewise.

Harley Davidson motorbikes, Jack Daniel's whisky and Levi's jeans are among the main targets of EU tariffs, and the UK may decide to do similar (Carsten Koall/Getty Images)

Harley Davidson motorbikes, Jack Daniel’s whisky and Levi’s jeans are among the main targets of EU tariffs, and the UK may decide to do similar (Carsten Koall/Getty Images)

UK trade chief William Bain previously cautioned LADbible that Trump’s tariff initiative has ushered in a ‘new era of uncertainty’, but encouraged businesses to ‘keep calm and continue exporting‘.

In advance of the tariffs, citizens in various countries are already boycotting US products, while experts have informed the BBC that imposing tariffs on the US service sector would be considered the ‘nuclear’ option.

Home Secretary Yvette Cooper remarked that discussions with the US are ‘intense’ and ongoing.

She stated: “We obviously can’t keep a running commentary on different discussions that are taking place, but we must ensure that our actions align with national interests.”

If tariffs are implemented, the UK’s response will be closely scrutinized.

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Will the Prices of Jack Daniel’s and Levi’s Jeans Increase? UK Ministers Prepare to Respond to US Tariffs Under Trump’s April 2 Plan

Will the Prices of Jack Daniel’s and Levi’s Jeans Increase? UK Ministers Prepare to Respond to US Tariffs Under Trump’s April 2 Plan

By DAVID WILCOCK, DEPUTY POLITICAL EDITOR FOR MAILONLINE

Published: | Updated:

The cost of products made in the US is set to increase in the UK as officials actively consider responses if Donald Trump includes the UK in his global tariff initiatives.

The US President has pledged to impose a sweeping 20 percent tariff on imports to the United States, taking effect on April 2.

This week, Trump declared that tariffs would apply to all imported vehicles, a move expected to significantly impact British luxury car manufacturers such as Rolls-Royce and Aston Martin.

Officials from No10 and Business Secretary Jonathan Reynolds have been advocating for an exemption for the UK from these protectionist actions.

However, faced with a lack of progress, ministers indicate they may respond with their own tariffs on US imports as soon as this week.

Popular items that could be affected include Jack Daniel’s whiskey, Levi’s jeans, and Harley Davidson motorcycles.

A UK source informed the BBC that the government is considering a ‘nuclear option’ targeting US financial services.

Home Secretary Yvette Cooper stressed the Prime Minister’s stance that ‘no option is off the table’ with regard to responding to the tariffs.

Will the Prices of Jack Daniel’s and Levi’s Jeans Increase? UK Ministers Prepare to Respond to US Tariffs Under Trump’s April 2 Plan

The US President has vowed to lash out against friend and foe alike on April 2 with a general 20 percent levy on goods imported into the United States.

Without any sign of success ministers say they could bring in their own tariffs on US imports this week, affecting goods like Jack Daniel's whiskey, Levi's jeans, and Harley Davidson motorcycles.

Without any sign of success ministers say they could bring in their own tariffs on US imports this week, affecting goods like Jack Daniel’s whiskey, Levi’s jeans, and Harley Davidson motorcycles.

Home Secretary Yvette Cooper reiterated the Prime Minister's message that 'no option is off the table', regarding the response to the tariffs.

Home Secretary Yvette Cooper reiterated the Prime Minister’s message that ‘no option is off the table’, regarding the response to the tariffs.

Discussions with the US about exemptions from the proposed tariffs are currently ‘intense’, she mentioned in a Sky News interview.

Ms. Cooper added: ‘We cannot provide a running commentary on ongoing discussions, but we must always ensure our actions are in the national interest.’

When asked about the potential damage of these tariffs, the Home Secretary replied: ‘Increasing trade barriers globally is detrimental not just for individual countries but for the global economy as a whole.’

‘This is why our strategy focuses on establishing new trade agreements worldwide, improving our trading relationship with both the EU and the US.’

The implementation of new trade taxes follows Rachel Reeves’ announcement of spending cuts during the spring statement to create a narrow buffer for her public spending plans.

The Office for Budget Responsibility, which oversees government spending, has cautioned that the tariffs could eliminate any chances of economic growth.

Furthermore, the Institute for Fiscal Studies has stated that Ms. Reeves’ £9.9 billion fiscal room, considered quite limited by historical standards, may be adversely affected by uncontrollable global events.


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Will Bourbon Whiskey and Harley Davidson Prices Drop for Indians? Exploring Tariffs, Trade, and Deficits

Will Bourbon Whiskey and Harley Davidson Prices Drop for Indians? Exploring Tariffs, Trade, and Deficits

The tariff conflict initiated by the current US president, Donald Trump, has placed numerous nations, including India’s trading partners and allies, in a challenging position. India is one of the countries notably impacted. As reported by various media outlets, there have been numerous discussions regarding this issue recently.

India May Reduce Tariffs

A significant point of contention between the two countries is the reciprocal tariff imposed by the Trump administration on all trading partners last month.

These tariffs are scheduled to take effect on April 2.

In response, India has stated that it is still in negotiations with the US regarding the tariff framework. Furthermore, India has requested an extension from the US until September.

However, this diplomatic engagement was disrupted when Trump, during an interview, indicated that he anticipates India to reduce its tariffs while leaving the April 2 deadline intact.

Will Bourbon Whiskey and Harley Davidson Prices Drop for Indians? Exploring Tariffs, Trade, and Deficits

As reported by Business Today, India is contemplating a reduction in the import duties on high-profile products such as Bourbon whiskey, Californian wines, and Harley-Davidson motorcycles. | Unsplash

Currently, it appears that India is reviewing the possibility of lowering tariffs on specific items.

According to Business Today, India might be looking into decreasing the import duty on prominent products like Bourbon whiskey, Californian wines, and Harley-Davidson motorcycles.

Interestingly, these products are relatively niche, appealing to a limited audience; they have also previously experienced similar reductions in import duties.

Understanding the India-US Trade Relationship

A key discussion point in the India-US trade relationship is the trade deficit that the US has with India. One of Trump’s primary policy goals has been to address the trade deficit that America has with its partners, whom he claims are taking advantage of the US and its expansive consumer market.

This puts India in a difficult position, as the United States currently has a USD 45.6 billion trade deficit with India.

This puts India in a difficult position, as the United States has a USD 45.6 billion trade deficit with India.

This puts India in a difficult position, as the United States has a USD 45.6 billion trade deficit with India. | Pixabay

According to the US government, the total goods trade between the US and India was estimated at USD 129.2 billion in 2024. U.S. goods exports to India in 2024 reached USD 41.8 billion, reflecting a 3.4 percent increase (USD 1.4 billion) from 2023. U.S. goods imports from India amounted to USD 87.4 billion in 2024, an increase of 4.5 percent (USD 3.7 billion) from 2023.

The U.S. goods trade deficit with India stood at USD 45.6 billion in 2024, marking a 5.4 percent rise (USD 2.4 billion) from 2023.

U.S. Exports to India

In addition to the aforementioned high-profile products, key U.S. exports to India comprise various goods, including Oils, Minerals, Lime, and Cement (35.3 percent of the total exports to the country), and Stone, Glass, Metals, and Pearls (16.4 percent of the total).

Moreover, the U.S. also exports chemicals, plastics, rubber, and leather goods (12.8 percent of the total) to India.


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Quantifying EU-US Trade Tariffs

Quantifying EU-US Trade Tariffs

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.

Quantifying EU-US Trade Tariffs
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.

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HARLEY-DAVIDSON

This article was generated from an automated news agency feed without modifications to text.

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Harley Davidson (NYSE:HOG) Navigates Familiar Terrain as EU Increases Tariffs on “Boats, Bourbon, and Motorbikes”

Harley Davidson (NYSE:HOG) Navigates Familiar Terrain as EU Increases Tariffs on “Boats, Bourbon, and Motorbikes”

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.

Harley Davidson (NYSE:HOG) Navigates Familiar Terrain as EU Increases Tariffs on “Boats, Bourbon, and Motorbikes”

Explore more HOG analyst ratings

If you have any questions or comments regarding the article, please reach out at [email protected]

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Trump’s Tariffs May Impact Indian Markets, But These Goods Will See Price Drops: iPhones and Harley Davidson Bikes Priced At Rs…

Trump’s Tariffs May Impact Indian Markets, But These Goods Will See Price Drops: iPhones and Harley Davidson Bikes Priced At Rs…

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  • Trump’s tariffs could negatively affect Indian markets, but certain goods such as iPhones and Harley Davidson motorcycles may decrease in price.

US President Donald Trump has been alerted that reciprocal tariffs will be placed on Indian goods, indicating that the US will match the import duties imposed by India on American products.

Trump’s Tariffs May Impact Indian Markets, But These Goods Will See Price Drops: iPhones and Harley Davidson Bikes Priced At Rs…
(File)

Trump Tariffs: US President Donald Trump has unveiled reciprocal tariffs on imports from various nations, including India, effectively initiating a tariff dispute that could alter global trade dynamics. Trump’s tariffs, set to take effect from April 2, are poised to impact Indian markets adversely, yet American products such as iPhones, Harley Davidson motorcycles, and laptops may become more affordable, offering Indian consumers access to high-quality goods.

Why will American-made goods become more affordable?

Donald Trump has been warned that the US will implement reciprocal tariffs on Indian products, meaning that the US will levy the same import duties on Indian goods as India has placed on American imports. Presently, India applies up to 110% import duties on American products, and Trump is urging New Delhi to significantly reduce these ‘excessive’ tariffs, thus allowing US products to better compete with local offerings as they will be priced more attractively.

Which products will see price reductions?

Should India and the US finalize a new trade agreement, India might lower import duties on American items including electronic devices, steel, engines, tires, spare parts, medical supplies, and several food products such as almonds, walnuts, and wine. This could result in popular gadgets like Apple iPhones, laptops, and smartwatches, along with vehicle parts and health-related products, becoming less expensive in India.

Furthermore, high-end motorcycles like Harley Davidson will also become more affordable, given that India currently imposes a 100% import tariff on American automotive brands. In the electronics sector, products from renowned US tech companies like Apple, Dell, and Hewlett-Packard could see a price drop.

The cost of dairy items like cheese and butter may also decrease, offering relief to consumers.

What impact could tariff reductions have on Indian industries?

While lower tariffs on American goods will make them more affordable, increasing their uptake in the Indian market, this new trade policy will also profoundly affect India’s domestic products, which will now face competition from international brands.

Experts suggest that American brands may dominate the electronics market, while Indian car manufacturers might experience financial setbacks if tariffs on auto parts are reduced. Additionally, India’s pharmaceutical and dairy sectors might encounter challenges. However, if the central government strikes an equilibrium, it could protect local businesses from losses while benefiting consumers.

If auto parts become less expensive, Indian automotive manufacturing firms could face financial difficulties. The pressure on the pharmaceutical sector and the dairy industry will also rise. Nevertheless, if the government finds the right balance, it could benefit Indian consumers while simultaneously safeguarding local industries from setbacks.




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Trump Promises Reciprocal Tariffs on India and China Amid Ongoing Trade War

Trump Promises Reciprocal Tariffs on India and China Amid Ongoing Trade War

Washington DC: On Friday, US President Donald Trump announced plans to soon implement reciprocal tariffs targeting countries like India and China, emphasizing that the United States will impose the same tariffs that these nations apply to American products.

Trump stated, “We will soon implement reciprocal tariffs—they charge us, we charge them. Whatever a country or company, such as India or China, imposes, we aim to be fair; that is the essence of reciprocity.”

Trump Promises Reciprocal Tariffs on India and China Amid Ongoing Trade War

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He further mentioned, “We have never done that before. We were on the verge of doing so until Covid arrived.”

In a statement prior to his meeting with Prime Minister Narendra Modi, Trump had expressed concerns about India’s tariff policies, remarking that “they have the highest tariffs” and noted that “it is difficult to conduct business there.”

Trump’s comments came during a press conference where he was asked about Tesla CEO Elon Musk’s meeting with PM Modi.

“They met. I assume he is interested in doing business in India. However, it’s a challenging environment for business due to the tariffs. They have the highest tariffs. It’s quite a tough place for business operations. I would assume he met with PM Modi possibly because he is leading a company and has been passionate about this for a long time,” Trump stated.

Addressing the topic of reciprocal tariffs, Trump referenced India’s historical trade practices, using Harley-Davidson motorcycles as an example of how American firms have been compelled to establish manufacturing facilities overseas to avoid high import duties.

“Historically, India has been among those with the highest tariffs. While a few smaller countries exceed them, India imposes significant tariffs. I recall that Harley-Davidson faced challenges selling their bikes in India due to the exorbitant taxes and tariffs, which ultimately forced them to set up manufacturing there,” he noted, as reported by US Network Pool via Reuters.

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Flashback: Donald Trump Comments on Harley-Davidson’s Struggles in the Indian Market due to Trade Tariffs

Flashback: Donald Trump Comments on Harley-Davidson’s Struggles in the Indian Market due to Trade Tariffs
  • Donald Trump has issued a warning regarding reciprocal tariffs, which would result in the US imposing the same tariff rates as those levied by other countries on American exports.

Flashback: Donald Trump Comments on Harley-Davidson’s Struggles in the Indian Market due to Trade Tariffs
Harley-Davidson currently partners with Hero MotoCorp in India, with the X 440 being their first collaboratively designed model.

US President Donald Trump has advocated for reciprocal tariffs on countries, corresponding to the rates at which they impose tariffs on American goods. During discussions with Prime Minister Narendra Modi, Trump criticized India’s high tariffs on US-manufactured Harley-Davidson motorcycles.

Also Read: Discover Harley-Davidson bikes in India

In his second term, Trump has reiterated the notion of reciprocal tariffs, asserting that this aligns with his vision of equitable trade practices. He previously imposed a 25% tariff on specific imports from Canada and Mexico, though that initiative was temporarily paused until the end of February. He has also targeted regions like the European Union, China, and India. “Currently, we are a reciprocal nation… Whatever tariffs India charges us, we will reciprocate, and I believe this is only fair,” he stated. “I recall when Harley Davidson struggled to sell their motorcycles in India due to steep taxes and tariffs, which led them to establish local manufacturing to circumvent these costs. Others might consider similar strategies in their dealings with us.”

While both India and the US maintain significant trade relations, Trump’s tariff threats do not single out any specific country. By promoting domestic production and leveraging his presidential campaign on the promise of creating more American jobs, Trump signals his desire for production capacities to develop or increase in the United States rather than relying heavily on imports.

What happened to Harley-Davidson in India?

Harley-Davidson entered India in 2009, launching its first dealership in 2010. Known as a premium brand in the US, Harley initially imported models such as Sportster, Dyna, VRSC, Softail, and CVO. However, as the years went by, the company began to locally assemble certain models, including the Street 500 and 750 in Bawal, Haryana.

Despite the vast two-wheeler market in India, penetrating the premium segment posed significant challenges. In September 2020, Harley-Davidson announced its exit, citing weak demand and disappointing sales figures. However, it wasn’t a complete exit; the American company partnered with Hero MotoCorp in October 2020, designing a framework for Hero to enable sales and servicing of Harley’s motorcycles. By 2023, their first joint project, the Harley-Davidson X440, launched at a price of ₹2.30 lakh (ex-showroom).

Stay informed about Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India, and the exciting technologies reshaping the automotive industry.

First Published Date: 14 Feb 2025, 12:50 PM IST

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Trump Criticizes US Trading Partners as ‘Worse than Our Enemies,’ Announces ‘Reciprocal Tariffs’

Trump Criticizes US Trading Partners as ‘Worse than Our Enemies,’ Announces ‘Reciprocal Tariffs’
Trump Criticizes US Trading Partners as ‘Worse than Our Enemies,’ Announces ‘Reciprocal Tariffs’

Just hours before his meeting with Prime Minister Narendra Modi, US President Donald Trump announced his strategy for broad “reciprocal tariffs” that will impact both allies and adversaries, heightening global trade tensions that experts warn could result in domestic inflation.
“To ensure fairness, I’ve decided to impose a reciprocal tariff,” Trump stated in the Oval Office. “It’s fair for everyone. No other nation can argue against it.”

In his Oval Office address, Trump reaffirmed his stance, saying that American allies often act “worse than our enemies” regarding trade issues.

The president also remarked that India imposes “enormous” tariffs, which hindered Harley Davidson’s ability to sell motorcycles in that country. “India is traditionally at the forefront when it comes to tariffs. There are a few smaller nations that charge more, but India’s tariffs are significant. I recall that Harley Davidson was unable to sell motorcycles in India due to excessively high taxes and tariffs, which forced them to establish a factory there to circumvent paying those tariffs. This approach is something others can pursue with us as well. They can set up plants or factories here, which applies to industries like healthcare, automotive, and semiconductor manufacturing,” Trump explained.
The tariffs will be specifically tailored for each trading partner, considering non-tariff factors such as value-added tax (VAT).
This announcement came just before Trump’s planned meeting with PM Modi in Washington. Analysts believe that developing markets like India and Thailand, which impose higher effective tariffs on US goods, could be significantly impacted, while countries with existing trade agreements may experience less disruption.
Peter Navarro, the president’s trade advisor, openly criticized the European Union’s VAT practices, remarking that “Major exporting nations around the globe undermine our markets with severe tariffs and even harsher non-tariff barriers.”
The United States will initially focus on those economies experiencing the largest trade deficits or exhibiting “most egregious issues,” as indicated by a White House representative.
The unnamed official suggested that the implementation of these tariffs could take “a few months, but not much longer than that.”
Trump acknowledged the likelihood of price hikes due to these tariffs but remained hopeful about future market stabilization.
Since taking office, Trump has enacted multiple tariffs targeting key trading partners, contending these actions rectify unfair practices and can drive policy changes.
The president perceives tariffs as means of generating revenue, resolving trade imbalances, and leveraging diplomacy.
The White House representative highlighted unfair trade practices and the absence of reciprocity as contributing factors to America’s ongoing trade deficit.
The memorandum he signed instructs the US Trade Representative, Secretary of Commerce, and other officials to suggest country-specific remedies.