As the Rebalancing Measures of EU remain at 25%, this means that the import tax tariffs for imported US vehicles remain at 31%. This is a big sigh of relief for Harley-Davidson, who just avoided the proposed 56% tariff that should’ve been set in motion on June 1st.
If we rewind a bit, before the Trump presidency, HD and all US-based motorcycle manufacturers traded with EU at 6% import tax tariffs. Sometime during the Trump presidency, this tariff jumped up to 31% and has remained like that ever since.
On the other side of the ocean, the EU motorcycle manufacturers pay only 2,4% import tax tariff when importing in the US. You can see that this provides quite an advantage for the European motorcycle manufacturers.
As this created quite a bit of drama that resulted in stock price drops, the European Association of Motorcycle Manufacturers (ACEM) has finally stepped up. This organization is inviting the EU and US to find a long-term solution to this problem that could result in a positive impact for bilateral trade.
For more novelties in the motorcycle world, check out our industry news section!
Source: Web Bike World, Visor Down
