Motorcycle Forum banner
1 - 9 of 9 Posts

·
Nightfly
Joined
·
4,623 Posts
Discussion Starter · #1 ·

Bikes over 1600cc with have their tariff cut to single digits, but the rest will not be so lucky. Even at that cut it's still not near enough for Trump. Hopefully he will be successful when he deals anew with India.
 

·
Nightfly
Joined
·
4,623 Posts
Discussion Starter · #2 ·
Larry ( hogcowboy) you are right. There is little interest, if any, to many posts on this forum and this is just one of the many.... I got this idea from another forum on which the replies were very numerous, most concerned with the cost of the motorcycle and how it will affect the viability of said motorcycle company's bottom line and help them stay in business. But here no interest at all. Puzzling that riders are not concerned if a company stays solvent or not. It affects all of us no matter what you ride.
 

·
Registered
Joined
·
775 Posts
Considering that a "big" bike in India, (the Royal Enfield 650s are the largest which are produced there that I'm aware of), sells for around 265,000 rupees ( $3710 US dollars), while Harleys smallest ( their Street 500), sells in India for around 400,000 rupees ($5600 US dollars). Harley's penetration into the India market over the last few years has been understandably tiny, ... less than 1/10 of 1%, if I remember correctly.

I don't think this change in policy on large cc machines will affect anything.

From what I've read, the India market is extremely price conscious. It's also COST conscious, so bikes that consume a lot of fuel are not in demand. Harley would have to come to that market with machines that can sell for less than $5000, and gets more than 65 mpg, to make any serious inroads in the current India market. And it's a BIG market, as I recall about 21 million bikes were sold in India in 2019, compared to somewhere around 430,000 in the USA. True, the US machines are selling for a higher dollar, but not 50 times more.

With what is going on in the news regarding environmental change and natural resources, it hardly seems likely to me that any marketing or educational program is going to convince the rest of the world to adopt the average US rider's attitude of "Bigger, More Power", More Chrome, F#[email protected]! the gas mileage, I can afford it!" This is why Harley is working on that "baby 300", which incidentally is still a relatively large bike in India.
 

·
Registered
79 Cb750f
Joined
·
615 Posts
Considering that a "big" bike in India, (the Royal Enfield 650s are the largest which are produced there that I'm aware of), sells for around 265,000 rupees ( $3710 US dollars), while Harleys smallest ( their Street 500), sells in India for around 400,000 rupees ($5600 US dollars). Harley's penetration into the India market over the last few years has been understandably tiny, ... less than 1/10 of 1%, if I remember correctly.

I don't think this change in policy on large cc machines will affect anything.

From what I've read, the India market is extremely price conscious. It's also COST conscious, so bikes that consume a lot of fuel are not in demand. Harley would have to come to that market with machines that can sell for less than $5000, and gets more than 65 mpg, to make any serious inroads in the current India market. And it's a BIG market, as I recall about 21 million bikes were sold in India in 2019, compared to somewhere around 430,000 in the USA. True, the US machines are selling for a higher dollar, but not 50 times more.

With what is going on in the news regarding environmental change and natural resources, it hardly seems likely to me that any marketing or educational program is going to convince the rest of the world to adopt the average US rider's attitude of "Bigger, More Power", More Chrome, F#[email protected]! the gas mileage, I can afford it!" This is why Harley is working on that "baby 300", which incidentally is still a relatively large bike in India.
Ya, but Harley doesn't sell performance, they sell image.
Give the Indians a few years, the ones that prosper, the wealthy will buy to impress,
and that's Harley's bread and butter.
 

·
Registered
79 Cb750f
Joined
·
615 Posts
Maybe, but they've already had more than a few years, Harley India set up shop there in '09. Harley-Davidson India - Wikipedia
From the videos I've watched, the premium bike marque there seems to be considered to be the Triumph.
I can believe that. From what understand Triumph is doing a heck of a job marketing.
And really, there is a lot of legend and lore with that brand.

Maybe them being a former colony has something to do with it, you know, see, now I can own a part of you. Stick it to the man lol
 

·
SUPER MODERATOR
Joined
·
9,328 Posts
The reason that any American product, imported into another country may not be competitive, is the import taxes are terribly high, by design, to help their own industries.

If the United States imports a 500cc Royal Endfield from India and the TAX is $400 then the import tax on a Harley 500cc bike should be $400 also, not $4,000. This imbalance is common and this is what President Trump is trying to rectify.

Sam
 

·
Registered
Joined
·
775 Posts
If the United States imports a 500cc Royal Endfield from India and the TAX is $400 then the import tax on a Harley 500cc bike should be $400 also, not $4,000.
That seems fair, except the Harleys, the Street 500s and 750s anyway, for the India market are made in Bawal, India, so they wouldn't have to pay import duties on those. The India made bikes are exported to European and Asian markets.

India tariffs are incredibly high, on the order of 60% and taxes comprising another 30%, but this shouldn't be a factor if the products are being produced in India. Why is a Harley 500 50% more expensive than a Royal Enfield 650? I suspect the answer has nothing to do with tariffs and nothing to do with cost.

I read that the Street 500s and 750s for North America are made at the plant in Kansas City, but I wouldn't be surprised if HD's profit margin would be higher if they were to import the India made bikes, tariffs and all.
 

·
Moderator - Loves All Motorcycles
Joined
·
1,251 Posts
Harley actually does realize their size problem when it comes to India and China. To them, a 310cc TVS Apache RR may as well be a Hayabusa. High displacement bikes are basically only for the <1% of those countries. And for a manufacturer that needs a strong international presence, that's not good. For China, they're coming out with a 350 made in a partnership with a local manufacturer. I would expect similar to happen in India in the coming years, but for now they seem to be leveraging the Street series.
 
1 - 9 of 9 Posts
Top