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June 27, 2018

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Trump denies blame for Harley’s move

US President Donald Trump denied yesterday that his trade policy is to blame for Harley-Davidson’s decision to shift some motorcycle production overseas, saying on Twitter that the company is using “Tariffs/Trade War as an excuse” to hide previously announced plans to move jobs to Asia.

The Milwaukee-based company said on Monday it came to its decision because of retaliatory tariffs it faces in an escalating trade dispute between the US and the European Union. The company had no immediate response yesterday to the president’s assertions. Trump warned Harley-Davidson that any shift in production “will be the beginning of the end.”

“The Aura will be gone and they will be taxed like never before!” Trump said in one of several tweets yesterday. He was referring to tariffs Harley-Davidson would face on motorcycles produced overseas and shipped back to the US for sale.

Trump has held up the iconic American motorcycle maker as an example of a US business harmed by trade barriers in other countries, but Harley-Davidson had warned that tariffs could negatively impact its sales.

Trump recently imposed steep tariffs on aluminum and steel imported from Canada, Mexico and Europe in his bid to cut trade deficits between the US and its trade partners. But those countries have treated Trump’s action as an insult and have chosen to respond in kind.

Trump tweeted that Harley-Davidson had already said it was closing a Kansas City plant and moving those jobs to Thailand. But it was union officials representing workers at that plant who claimed the jobs were being shifted to Thailand. Harley-Davidson has denied a link between Kansas City and Thailand.

“That was long before Tariffs were announced,” Trump said. “Hence, they were just using Tariffs/Trade War as an excuse. Shows how unbalanced & unfair trade is, but we will fix it.....”




 

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