One day after the Wisconsin-based company said it was planning to shift some manufacturing overseas due to the European Union's tariffs in retaliation for United States duties, Trump accused Harley-Davidson of appropriating the trade war as an "excuse" for the move. Add Donald Trump as an interest to stay up to date on the latest Donald Trump news, video, and analysis from ABC News.
US President Donald Trump has come down heavily on Harley-Davidson after the American motorcycle manufacturer announced that it could move motorcycle production out of the US to offset heavy tariffs imposed by the European Union. He's also suggesting the company will lose out to competitors.
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".
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Trump warned the iconic American brand that any shift in production "will be the beginning of the end". It was unclear what the president was referring to or how he could impose taxes on a single company.
Trump has also threatened Harley-Davidson with a "big tax" on bikes which are manufactured overseas and then imported into the US.
Trump's current attacks came after Harley announced on Monday that the company would shift some of its production outside of the U.S. due to Trump's trade battles and the European Union's retaliatory tariffs against the US. "We won't forget, and neither will your customers or your now very HAPPY competitors!" "I was the one that explained to Harley about 100 per cent tax in India. and I got it down to a much lower number. which is, I think, 50 per cent, which is far too much, but they were paying 100 per cent".
"Europe is a critical market for Harley-Davidson", the company said, adding that it sold almost 40,000 motorcycles there in 2017.
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This week Harley said it would move production of motorcycles bound for Europe overseas, blaming European Union tariffs that it said would add $2,200 to the cost of an average bike. "Now they are trying to use the tariffs to excuse and deflect from that decision".
"Our decision to move some of our operations is 100% based on President Trumps tariffs".
"Harley-Davidson maintains a strong commitment to USA -based manufacturing which is valued by riders globally", the company said Monday. The company has said ramping up production overseas could take at least nine to 18 months. Outside the US, Harley-Davidson has manufacturing facilities in India, Brazil and Australia.
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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".