Harley Davidson Tariff India
The 56 tariff is the second hammer blow to the Milwaukee firm in just three years after in 2018 the EU placed a 25 incremental tariff 31 total on any motorcycles.
Harley davidson tariff india. Harley motorcycles made and assembled in the US cost more to import into India than motorcycles which are assembled in India with US made parts. With the new proposal India will create a new category of 1600cc and above and will only lower tariffs for that class of bikes. AFP 1 min read.
But the announcement did not mention large motorcycles such as Harley-Davidson bikes unlike a letter India sent to the World Trade Organization last week outlining planned tariffs worth 241. Indias import tariffs were slashed by 50 but the brand has still struggled in the competitive market. The plan is part of ongoing trade talks with the US.
Notably the USs tariff on large motorcycles from India is 0 and can range up to 10 for other countries. The ruling is not due to come into effect until June and Harley is rightly stating it will appeal the law. But 13 of these models are CKD units and are completely assembled in India.
Harley Davidson has to pay tremendous tariffs in India. Harley-Davidsons European trade woes have been front-page news since April 2021. Donald Trump has again criticised Indias high import tariff on the iconic Harley Davidson motorcycles as unacceptable while acknowledging that his good friend Prime Minister Narendra Modi has reduced it from 100 per cent to 50 per cent even as the US President rued that America is a bank that everybody wants to rob.
We have if you are Harley Davidson you have 50 to 75 per cent tax tariff to get your motorcycle your product in. When India sends its motorcycles to the US there are absolutely no tariffs. In the last few years Trump often cited the Narendra Modi-led governments tariffs on Harley-Davidson as an example of why India is a tariff king.
India classifies motorbikes by their engine capacity measured in cubic centimeters cc currently broken down into four categories 75 250 500 and 800cc and above. He said that he had spoken to Modi about the 100 percent tariff that India had been charging on the bike and he reduced it by 50 percent with one phone call. Harleys statement referred to a 100 tariff in both India and Indonesia but according to the World Trade Organization Indonesia has a 40 tax.