1. Why Harley-Davidson plans to shift some production abroad
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US President Donald Trump is trying to encourage more companies to manufacture their products in the US, and is hence raising tariffs on imports into the country. The trouble is this has got its allies to impose retaliatory tariffs, matching that of the US. This has made it difficult for US companies to export their products too.
In retaliation, the European Union imposed a 25 percent tariff hike on US-made motorcycles, going from 6 percent to 31 percent. Europe is Harley-Davidson’s biggest market outside the US, with the motorcycle maker selling 40,000 units there last year.
Hence to offset that, Harley-Davidson planned to shift some of its production, especially for the European market to Thailand.