Harley-Davidson will have to move some of its production outside of the U.S. after the company was hit by tariffs from the European Union. The EU tariffs increased to 31 percent from 6 percent as part of a package of retaliatory measures announced by the bloc after the Trump administration raised tariffs on U.S. steel and aluminum imports. The Milwaukee-based manufacturer is one of the first U.S. companies to reveal the impact of the trade tensions between Washington and its allies. The company said that the financial effect of the EU tariffs could be up to $100 million a year.
“Harley-Davidson believes the tremendous cost increase, if passed onto its dealers and retail customers, would have an immediate and lasting detrimental impact to its business in the region, reducing customer access to Harley-Davidson products and negatively impacting the sustainability of its dealers’ businesses,” the group said in a filing Monday morning, according to The Daily Beast.
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