Donald Trump Warns Harley-Davidson, Says 'We Won't Forget'

Harley-Davidson To Shift Production Overseas To Offset EU Tariffs
Harley, stung by tariffs, shifts some production overseas
Author

28 June, 2018

The problem with Trump's tweet is that, while Harley makes a majority of its motorcycles at several locations in the US, it's had several overseas manufacturing sites for years.

President Donald Trump lashed out at the company on Tuesday and warned that it "will be taxed like never before!"

European Union officials suggested Trump had only himself to blame for the falling-out with a company he had previously hailed as "a true American icon".

But now, Trump has attacked Harley-Davidson saying that the motorcycle manufacturer is using the tax row as a cover to move production overseas, warning to "fix it". The President went on to tell Harley-Davidson that, despite the proposed tariffs raising the price of every raw material that goes into a Harley, that the Motor Company would not be affected by them. "We won't forget, and neither will your customers or your now very HAPPY competitors!" The president then claimed employees and customers are already angry at the company and moving production overseas would be the beginning of the end for Harley-Davidson. Harley must know that they won't be able to sell back into US without paying a big tax! He added: "The Aura will be gone and they will be taxed like never before!" Harley-Davidson spokesman Michael Pflughoeft declined to comment on the president's tweet.

Local US media reported in May that a labour union for Harley-Davidson suggested some Kansas City jobs would move to Thailand - a move the company denied.

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The fight is a stunning reversal for a company that Trump once called "a true American icon". "Hence, they were just using Tariffs/Trade War as an excuse", he said. The EU's tariffs on motorcycles were put in place as a response to Trump's steel and aluminum tariffs.

In January, Harley-Davidson said it would close a plant in Kansas City, Missouri, due to a sharp drop in USA demand for its motorcycles, but said it would consolidate work done there into its plant in York, Pennsylvania. The company has said ramping up production overseas could take at least nine to 18 months.

"Harley-Davidson maintains a strong commitment to US -based manufacturing which is valued by riders globally", the company said Monday.

The iconic motorcycle brand is the latest U.S. corporation to run afoul of the U.S. president, who has attacked Amazon as a tax dodger and scamming the U.S. Postal Service.

Trump first responded angrily to the Harley announcement on Monday, saying he has supported the 115-year-old manufacturer and was surprised by its plans, which he described as waving the "White Flag".


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