Harley warns of hit to sales as EU moves to retaliate against Trump's tariffs

Harley warns of hit to sales as EU moves to retaliate against Trump's tariffs
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Motorcycle manufacturer Harley-Davidson warned on Friday that retaliatory tariffs from the European Union would have a "significant impact" on its sales, while urging officials in the U.S. and Europe to quickly resolve a mounting trade dispute.

“We support free and fair trade and hope for a quick resolution to this issue,” the company said in a statement, according to Reuters

"We believe a punitive, retaliatory tariff on Harley-Davidson motorcycles in any of our major markets would have a significant impact on our sales, our dealers, our suppliers and our customers in those markets."

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The warning from Harley came as the E.U., Canada and Mexico prepared to impose tariffs on a range of U.S. goods in response to President TrumpDonald John TrumpTrump defends Stephanopolous interview Trump defends Stephanopolous interview Buttigieg on offers of foreign intel: 'Just call the FBI' MORE's decision to slap stiff duties on imported steel and aluminum.

Among the U.S. products that could be included in the E.U.'s proposed tariffs are several iconic American exports, including bourbon, blue jeans and motorcycles. 

The E.U. and Canada also brought cases against the U.S. at the World Trade Organization on Friday.

The E.U., Canada and Mexico had initially been exempt from the steel and aluminum tariffs after they were announced in March. But Commerce Secretary Wilbur RossWilbur Louis RossDocuments suggest census official, GOP strategist discussed citizenship question: lawsuit Hillicon Valley: Tim Cook visits White House | House hearing grapples with deepfake threat | Bill, Melinda Gates launch lobbying group | Tech turns to K-Street in antitrust fight | Lawsuit poses major threat to T-Mobile, Sprint merger Hillicon Valley: Tim Cook visits White House | House hearing grapples with deepfake threat | Bill, Melinda Gates launch lobbying group | Tech turns to K-Street in antitrust fight | Lawsuit poses major threat to T-Mobile, Sprint merger MORE said Thursday that trade talks with the European officials had not progressed enough to warrant renewing the exemption.

Likewise, Mexico and Canada were offered exemptions while negotiators sought to rework the North American Free Trade Agreement (NAFTA). Those talks had not moved as fast as the U.S. had hoped, Ross said, prompting the Trump administration to impose the tariffs.