Talks still going on to slash import duty on American bikes, indicates Trump – Report

During his recent visit to India, US President Donald Trump talked about India’s high import tariffs and how it affects trades between the two nations. For instance, the American motorcycle company Harley-Davidson pays a huge sum of money to India as import duties.

Harley Davidson Street 750 10th Anniversary Edition

Harley-Davidson’s sales in India dropped by over 25% last year.

This isn’t a new debatable topic as both countries have had discussions about this problem in the past. While no tariff reduction was announced during Trump’s India visit this month, the U.S. President has indicated that talks are still going on with India to slash the high import duties.

“We’re being charged large amounts of tariffs, and you can’t do that. I just said that’s unfair, and we’re working it out. The money you’re talking about is major, but the United States has to be treated fairly. And India understands that,” said Trump.

Last year, India cut the customs duty on complete built-up units (CBUs) from 100% to 50%, but it increased the import tariffs on completely knocked down (CKDs) units from 10% to 15%. Since most of the Harley-Davidson motorcycles in India come via the CKD route and are responsible for the majority of the brand’s sales, this hike in the import tariffs had a direct impact. At present, Harley-Davidson manufactures 2 motorcycles in India (3 if you consider the Street 500), assembles 11 motorcycles as CKD and imports 4 products in CBU form.

Earlier reports had said that the Indian government may reduce the import duty to “a single-digit” for imported motorcycles which have an engine displacement above 1,600 cc. When it comes to global sales, Harley-Davidson is having a hard time. Last year it sold 2,28,424 units, marking a decline of 4.6%. In India, the volumes dropped by over 25%, while the U.S. market saw the numbers plummet by 5.2%.

Harley Davidson Livewire Showcased In India FrontThe Livewire is Harley-Davidson’s first fully-electric motorcycle and it will be sold in India.

Also Read: Hero MotoCorp says open to partnering with Harley-Davidson

Harley-Davidson has had its presence in India for many years now and today has a well-established network spread nationwide. Its motorcycles are quite different from the usual lot and that’s one of the many reasons why it has a huge fan following. Harley-Davidson has an array of products the prices of which start at INR 5.34 lakh* and cross the INR 50 lakh* mark.

*Ex-showroom price

2 thoughts on “Talks still going on to slash import duty on American bikes, indicates Trump – Report

  • February 27, 2020 at 7:02 pm

    Hello very cool web site!! Guy .. Beautiful ..
    Wonderful .. I’ll bookmark your website and take the feeds additionally?
    I’m glad to find so many useful info here within the submit, we need develop more techniques on this regard, thank you for sharing.
    . . . . .

  • February 27, 2020 at 8:52 pm

    Asking questions are in fact fastidious thing if you are not understanding
    anything totally, but this paragraph offers fastidious understanding yet.


Leave a Reply

Your email address will not be published. Required fields are marked *

For Day to Day info

You have successfully subscribed to the newsletter

There was an error while trying to send your request. Please try again.

BLOGGVALLEY.CO will use the information you provide on this form to be in touch with you and to provide updates and marketing.
%d bloggers like this: