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HD's aging biker problem


Tpoppa

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I thought AMF bailed them out the 2nd time... You know... A foreign company?? ;)

errr... I forget the timing of the events (looks it up), but the AMF buy-in/bailout was in the late 60s, and the trade sanctions were in the 80s. Maybe we should count MV Agusta buying OUT as a type of bailout also...

At the time, all I could think of was AMF bowling balls, and wondered how that would be integrating with motorcycles...

Also, Harley tried to get the gov to do a 40% import tariff in 1952, which would have killed British bikes in the USA. Instead Harley was charged by the feds for unfair trade practices.

Introduction of HD into India is the latest gambit. I'm not sure that will work out too well.

Wiki

According to Interbrand, the value of the Harley-Davidson brand fell by 43% to $4.34 billion in 2009. The fall in value is believed to be connected to the 66% drop in the company profits in two quarters of the previous year.[72] On April 29, 2010, Harley-Davidson stated that they must cut $54 million in manufacturing costs from its production facilities in Wisconsin, and that they would explore alternate U.S. sites to accomplish this. The announcement came in the wake of a massive company-wide restructuring, which began in early 2009 and involved the closing of two factories, one distribution center, and the planned elimination of nearly 25% of its total workforce (around 3,500 employees). The final decision on whether or not to move Wisconsin production facilities elsewhere will be made in the Fall of 2010.[73]

Edited by ReconRat
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  • 2 months later...
What's the pic of Reagan have to do with the article??
:dunno: Just a file photo from the HD archives..? I don't think the author meant anything by it... maybe he did? Maybe it's just symbolic of HD's past dealings with the FedGov? I dunno.

I think Reagan signed a tariff protecting HD from unfair selling practices by the Japanese. It was thought at the time that they were dumping cheap bikes into the USA and causing HD a loss of sales. Famous over 700cc tariff. I don't remember the deatils from that long ago, but the tariff was substantial on bikes over 700CC, something like a couple of thousnad bucks. It brought the cost of Jap bikes inline with the cost of HD's at the time.

Of course, the fact that HD put out complete shitboxes in those days didn't enter into the equation at all....

Edited by Earache
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I remember the over 700cc tariff well. I bought a new 700cc 1986 Yamaha Fazer. It was short stroked from the 750cc version sold elsewhere due to the tariff. Not a bad bike for the day & I surely wasn't going to pay a tariff & I surely wasn't going to buy a harley.

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