Harley wants to have motorcycles assembled in India.

[Ultrashovel]

Harley-Davidson is contemplating having motorcycles assembled in India to satisfy  the growing middle class thirst for luxury goods in that country. There was originally opposition to East Indian mangos in the U.S. India countered with a high tariff on motorcycles with dislpacement greater than 800cc. That's been resolved now and Harley-Davidson management hopes to avoid the former high tariffs on American-built motorcycles.

According to the linked article below, Harley-Davidson now sells 32% of it's production overseas and hopes to increase this figure to 40% in the near future.

http://www.sacbee.com/2010/07/30/2925332/harley-davidson-takes-aim-at-indias.html

[Sonny S.]

sure why not....they already assemble in Brazil.   WTF...they might as well get it over with and just move all manufacturing to China.

[Ultrashovel]

sure why not....they already assemble in Brazil.   WTF...they might as well get it over with and just move all manufacturing to China.

Hmmmm, you need to read the article again. The company will assemble subassemblies here for final assembly in India. It's a smart business decision which will go a long way towards keeping Harley going. China has nothing to do with the situation.

[Princess Butt]

Probably the same thing to get bikes into Brasil. They assemble them from sub-assembled components brought in.

VW did this in the 50's in Brasil, and so did Studebaker. They eventually built full scale factories there, but they were also selling large volumes of vehicles.

Once upon a time, Rolls Royce also did this in the US, but it was a short lived venture. The assembly plant in the US burned down after a year. That was 100 years ago, and they decided to keep production in England.

[Ridetard]

Everyone seems to think that farming out work to other countrys is a good idea until there job winds up there.  If a labor shortage existied in this country, thats one thing.  But to screw the American labor force for profit is another.  For what Harley ask ($$$) for a bike and the availabilty of surplus labor in this country, there should be no reason in hell to ship jobs overseas.
I use to be proud to ride a "Made in America" motorcyle.  Doesnt seem to work that way anymore.
What part of a Harley is actually made in this country anyway?  Besides final assembly?  It's just plain wrong I tell ya, just plain wrong.

[seminolebagger]

Harley has an assembly plant in Brazil but the bikes that are assembled there can only be sold in Brazil.  They don't bring them back here.  I am sure it would be the same in India.  It is logical to do that.  The other country gets the benefit of lower priced Harley's and jobs added to their economy,  Harley gets increased sales.  It is a win, win.  I think Harley  is well aware that their biggest selling point here is that it is made in the USA.  I don't see them changing that any time soon.  As far as parts manufactured in other countries being used, that has been happening since the Shovel days, probably before.  There are some parts that no one in the USA manufactures or the foreign part is just superior for the intended purpose. 

[Ultrashovel]

Harley has an assembly plant in Brazil but the bikes that are assembled there can only be sold in Brazil.  They don't bring them back here.  I am sure it would be the same in India.  It is logical to do that.  The other country gets the benefit of lower priced Harley's and jobs added to their economy,  Harley gets increased sales.  It is a win, win.  I think Harley  is well aware that their biggest selling point here is that it is made in the USA.  I don't see them changing that any time soon.  As far as parts manufactured in other countries being used, that has been happening since the Shovel days, probably before.  There are some parts that no one in the USA manufactures or the foreign part is just superior for the intended purpose.

I can see that you understand the situation. It is a good idea, for sure.

[04Glider2]

I'm sure it has to do with the import tarriffs, Harley is not sending "motorcycles" just motocycle parts. Large difference in the import tax impact. Toyota used to send pickup trucks here without the bed on and then sent the beds seperatly. No truck imported, only parts. That has changed of course.

[Big Dan]

Many years ago I read where the Japanese automakers would ship rims to the states and have American tires put on them. Then the rim/tire package was shipped back to Japan. Finally, the rims/tires were put on the cars and they were shipped back over. Somehow, this was cheaper than using Japanese tires, shipping just the tires from here to Japan, or shipping the cars over with no tires. 

[PoorUB]

Everyone seems to think that farming out work to other countrys is a good idea until there job winds up there.  If a labor shortage existied in this country, thats one thing.  But to screw the American labor force for profit is another.  For what Harley ask ($$$) for a bike and the availabilty of surplus labor in this country, there should be no reason in hell to ship jobs overseas.
I use to be proud to ride a "Made in America" motorcyle.  Doesnt seem to work that way anymore.
What part of a Harley is actually made in this country anyway?  Besides final assembly?  It's just plain wrong I tell ya, just plain wrong.

Did you read the article?
Looks like a good deal to me. HD will increase sales because they can avoid paying huge tarrifs if the bikes are assembled in India. They will sell more bikes if they can keep the price down.

You sell 'em, or you don't. If you don't sell 'em, no reason to build 'em!

[hotroadking]

With the low cost of shipping I wouldn't doubt it, they have to fill those super freighters full to make money...

It also would raise the "domestic content" rating for the vehicles making USA customers
feel better about their foreign product purchase...

Speaking of India, we should place a per call phone tariff on telemarketing jobs, one that makes it expensive to outsource it, if India can make a US company
build products there and have import tariffs, well we should do the same..

[Fxstchewy]

People in India don't want harleys. waste of effort.

[Ultrashovel]

People in India don't want harleys. waste of effort.

Then Harley is making a mistake, eh? Well, you should tell them. 

[Flat Dog]

Hopefully when an Indian calls HD tech support, he will be routed to a Brazillian hotline where a thickly accented fellow named Benjamin will read to him from a canned script. Of course the Patel won't be able to understand a thing Benjamin says, and give up...

[Sonny S.]

sure why not....they already assemble in Brazil.   WTF...they might as well get it over with and just move all manufacturing to China.

Hmmmm, you need to read the article again. The company will assemble subassemblies here for final assembly in India. It's a smart business decision which will go a long way towards keeping Harley going. China has nothing to do with the situation.

I know that...same as in Brazil. As for the rest...I was being a smartass

[One4Tone]

..punjabi harley!!..it will never happen!!..can you see Willie G in a full robe and towel around his head negotiating with some Ghandi type?...that has never ridden anything larger than a moped..I don't mean to steretype...this whole thing is a kamakaze game with the unions..bottom line "if ya wanna shop at wallmart...ya better take a pay cut"...if ya wanna borrow money at historical lows...ya better settle for some "historical pay"...it called deflation...and it's right across the spectrum..it's not necessarily a bad thing..it all depends on what side of the fence you'r sitting on..if you enrich 3rd world countries, you enpower them ...and  if they "buy into" your culture it could lead to good things in the future..they have the money to buy your products..but the products have to be affordable...thus lower wages come in to play....there is a a whole lot of money in countries like China, India, Pakistan....it may well be that the "few" control it ...but once they realize that their own economies will prosper if their  standard of living rises...things will get better for all around the world..and that may ultimately be the key to winning the major conflicts  around the world America is in at the moment..not all conflicts can be won militarily...it's a combination between  military, economy, culture..99% of people want things better for their children..the only ones that don't care and send their children to Valhalla via explosive belts will soon be marginalized...and once their own people turn on them there will be no caves left  for them to hide in ..on this planet..the winning side rode Harleys in both world wars ...and this is no different..

[Fxstchewy]

[/quote]

Then Harley is making a mistake, eh? Well, you should tell them. 
[/quote]

Time will tell. As someone who works with and has lived close to people from India a Harley is the last thing they care about, most always said they are Too loud....with Stock pipes. but i really DON'T care what hd does and the last thing i want to do is contact them and tell them.   

[chopper]

Harley has an assembly plant in Brazil but the bikes that are assembled there can only be sold in Brazil.  They don't bring them back here.

Not exactly true.  Some of Brazilian made HDs are already being sent to Australia.   A while back, some of our Aussie members reported seeing "Made in Brazil" sticker on new Harleys on the showroom floor.

[Ultrashovel]

Harley has an assembly plant in Brazil but the bikes that are assembled there can only be sold in Brazil.  They don't bring them back here.

Not exactly true.  Some of Brazilian made HDs are already being sent to Australia.   A while back, some of our Aussie members reported seeing "Made in Brazil" sticker on new Harleys on the showroom floor.

Apparently it's a clever method of avoiding tariffs. It can only help the bottom line while at the same time, making Harleys more popular in emerging markets. They are already crazy about them in Germany, Japan and Australia.

[One4Tone]

..another way of looking at this situation is..the baby boomers are aging..the ones that have harleys may have 2 or 3 since they are attached to them and the dealer wont give you a whole bunch much for your old evo or shovel so it sits in the corner..while you go out and buy a new one because you wanna be up to date and have some added reliability...the new generation while the are attracted to the brand name also have ideas of their own..with the lighter 100 horse plus...650cc models that will get them home on the rear wheel in case they have a flat tire on the front..(just kidding)...so besides political reasoning (IMHO)...opening the market to the world..which MoCo has allways done going back decades..(sold blue prints to Japan)..according to MoCo history.  Apparently there are flat heads in Asia going under different names..that have been around for generations...We will still have our North American models built in America..(with some parts exceptions)...as previously mentioned ..MoCo knows that made in USA means a lot to its loyal customers....