Harley-Davidson to move production for some motorcycles out of US after EU tariffs

Harley-Davidson will move the production of motorcycles bound for European countries out of the United States, citing rising costs from European Union tariffs on its products.

The company said in a filing Monday that the EU tariffs on motorcycles exported from the U.S. rose from 6 percent to 31 percent, The Associated Press reported. Motorcycles bound for European countries will now be produced in overseas factories.

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Harley-Davidson Inc. said that it will not raise its prices due to “an immediate and lasting detrimental impact to its business in the region," according to the AP.

The EU announced earlier this month that it would impose retaliatory tariffs on a range of U.S. goods in July, including motorcycles.

The measures came in response to Trump’s steep tariffs on imported aluminum and steel from the EU and other key U.S. allies, including Canada and Mexico.