Motorcycles EU Hits Harley-Davidson Hard With 56% Tariffs on All Bike Imports
Harley Cuts Breakout, Deluxe, and FXDR From 2021 Lineup
Rewire strategy affects other Softail, Sportster, and Street models too.There’s more trimming than just the aforementioned models, so let’s take a closer look.
Just as Harley-Davidson (NYSE: HOG) looked like it was ready to hit the highway again after reporting strong first-quarter numbers, European regulators are trying to run it off the road by slapping the motorcycle maker with exorbitant new tariffs that will push the total rates to 56%.
While the trade war between the U.S. and much of the rest of the world hasn't been forgotten, it was pushed to the rear burner in the wake of the global pandemic. EU trade ministers have now brought it back to a full boil.
Harley reported its best U.S. sales in five years, selling 30,983 motorcycles in the first quarter, a 30% increase from the year-ago period, and 79% better than the fourth quarter. The gain coincides with the change CEO Jochen Zeitz made to the bike maker's new-model introduction schedule, which used to be in August, but now is timed to meet heightened buyer interest in riding in the spring.
Harley-Davidson’s First Adventure Bike, the Pan America 1250, Is Its Most Important Model in Decades
The 118-year-old manufacturer hopes to blaze a new trail in market share and perception.Chalk one up to delayed gratification, as the first adventure bike from Harley-Davidson is finally here, the Pan America 1250. This motorcycle is, quite simply, the 118-year-old manufacturer’s most important model release in recent memory, as it signals a shift in both its philosophy and demographic.
However, Harley could see those gains suffer a setback because the EU's Economic Ministry in Belgium notified the company come June 1 it will be subject to enhanced tariffs.
As part of alaunched against the U.S. when President Trump sought to level the playing field of trade by hiking tariffs on certain trading partners, the EU responded by hiking tariffs against certain industries, primarily motorcycles and whiskey, that were designed to hit Harley and Jack Daniel's distiller Brown-Forman.
Bikes imported from the U.S. had a 31% total tariff slapped on them, but Harley had been allowed to sell bikes manufactured at its other international plants at rates of just 6%. The EU regulators now say Harley's motorcycles, no matter where they're made, face a 56% total tariff.
Harley borrows Detroit's used-car playbook to pursue younger riders
Harley borrows Detroit's used-car playbook to pursue younger ridersCHICAGO (Reuters) - Harley-Davidson Inc has decided the best way to get younger customers to buy a new motorcycle is to sell them a used one first.
Whether there will be a response from the Biden administration remains to be seen.
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When It Comes to SoulCycle At-Home Bike vs. Peloton, It's All About Preference and Cost .
Both indoor cycling bikes offer great workouts, but there are some key differences between these two competing products.Over the past year, the global pandemic forced many of us to embrace home workouts. And rather than ditching them to return to the gym, you might be looking to upgrade your home set-up to include a top-of-the-line indoor bike like a Peloton or SoulCycle bike so you can keep spinning and sweating in the comfort of your own home. If so, you’re not alone.