Trump last year threatened to impose higher taxes on Harley after it made plans to move production for European customers overseas, part of a longer-term strategy for dealing with lower sales in the U.S. and higher costs because of trade tariffs. The partnership Harley outlined on Wednesday is aimed
- Harley-Davidson Inc will partner with China's Qianjiang Motorcycle Co to build a new smaller motorcycle than its trademark"big hogs", making good on promises to move more production outside the United States that have angered President Donald Trump.
The new bike would have an engine displacement of 338 cubic centimeters, one of the smallest in the company's 116-year old history, and would be sold in China from the end of 2020. Harley declined to reveal a price range for the new motorbike, but Qianjiang said it would be"affordable" and Harley said it would be introduced elsewhere in Asia after the initial launch in China.
Harley's sales in China grew 27 percent in 2018 compared to 2017, and the company has already boosted investment at its Thailand plant to serve that market and avoid additional import duty.
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