Beautiful Virgin Islands

Monday, Aug 04, 2025

Harley-Davidson to exit world's biggest bike market

Harley-Davidson to exit world's biggest bike market

Harley-Davidson is pulling out of India, the world's biggest motorcycle market.

The iconic US motorcycle brand is stopping manufacturing and massively scaling back its sales operations.

Harley's decision comes weeks after Toyota said it wouldn't expand further in India due to the country's high tax regime.

The exit is a blow for Indian Prime Minister Narendra Modi's efforts to lure or retain foreign manufacturers.

Harley's departure involves $75m (£59m) in restructuring costs, around 70 redundancies and the closure of its Bawal plant in northern India.

The plant was opened in 2011 but Harley-Davidson has struggled to compete with local brand Hero as well as Japan's Honda.

About 17 million motorcycles and scooters are sold each year in India.

More setbacks


While it is cheaper than many other developing economies, India has proven a tough market to crack for foreign automakers.

General Motors pulled out of the country in 2017 while Ford agreed last year to move most of its assets into a joint venture with Indian vehicle giant Mahindra & Mahindra.

US President Donald Trump has previously complained about India's high taxes, specifically mentioning the levies placed on Harley-Davidson bikes.

India's import tariffs were slashed by 50% but the brand has still struggled in the competitive market.

Harley has also been suffering its own problems and recorded its first quarterly loss in more than a decade between April and June this year.

It has been cutting hundreds of jobs under its new chief executive Jochen Zeitz and focusing on core markets and models.

Harley couldn't play the game


By Nikhil Inamdar, BBC News' India business correspondent

Harley Davidson came into India with much fanfare a decade ago. But it has since, struggled to find a foothold in one of the world's most lucrative two-wheeler markets.

With sales averaging under 3,000 units every year, the iconic American brand simply couldn't capitalize on the big Asia opportunity it was betting on.

Auto experts put the blame on the brand's failure to drive up volumes and derive cost efficiencies by leveraging local tie-ups.

This, coupled with prohibitively high taxes, a slowdown in discretionary spending and an inability to compete with Indian brands may have prompted the decision to call it quits.

"India is a high volume, low margin market. They weren't structured to play that game, being at the very pointy end of the pyramid," Hormazd Sorabjee, Editor of Autocar India told the BBC.

"The lifestyle element that goes with owning a Harley bike is also not fully developed in India yet."

Incidentally the bike maker has had a better run in other Asian markets like Thailand and Korea, precisely because the market and cost structures are more favourable.

Harley's exit may not have a significant economic impact, but is bad optics for the Modi government, which is preparing to roll out a $23bn package to lure global manufacturers to set up base in India as part of the country's 'Make In India' policy.

High import tariffs on Harley have also been a flashpoint in India's trade negotiations with the US.

Mr Trump has previously cited the example of Harley to call India a "tariff king", and its decision to exit the Indian market could well set off another diplomatic tussle with the US with whom India is negotiating a free trade agreement.


Dennis Hopper and Peter Fonda ride Harley-Davidsons in a scene from the film Easy Rider.


Harley History


The iconic US motorcycle brand was founded in 1903 and has built a very loyal customer base. It has owners' clubs all over the world.

It hit the global stage in 1969 thanks to the classic road movie Easy Rider starring Dennis Hopper, Peter Fonda and Jack Nicholson.

Its bikes, nicknamed "hogs", are also made in factories in the US, Brazil and Thailand.

Harley has been looking to grow the brand beyond baby boomers in the US, with smaller models and all-electric versions.

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Pilots Call for Mental Health Support Without Stigma
All Five Trapped Miners Found Dead After El Teniente Mine Collapse
Ong Beng Seng Pleads Guilty in Corruption Case Linked to Former Singapore Transport Minister
BP’s Largest Oil and Gas Find in 25 Years Uncovered Offshore Brazil
Italy Fines Shein One Million Euros for Misleading Sustainability Claims
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
Declassified Annex Links Soros‑Affiliated Officials and Clinton Campaign to ‘Russiagate’ Narrative
UK's Online Safety Law: A Front for Censorship
Nationwide Protests Erupt in Brazil Demanding Presidential Resignation
Parents Abandon Child at Barcelona Airport Over Passport Issue
Mystery Surrounds Death of Brazilian Woman with iPhones Glued to Her Body
Bus Driver Discovers Toddler Hidden in Suitcase in New Zealand
Switzerland Celebrates 734 Years of Independence Amid Global Changes
U.S. Opens Official Investigation into Former Trump Prosecutor Jack Smith
Leaked audio of Canada's new PM Mark Carney admitting the truth about the Net Zero agenda: "We're gonna make a lot of money off of this."
China Enforces Comprehensive Ban on Cryptocurrency Activities
Absolutely 100% Realistic EVO Series Doll by EXDOLL (Chinese Company) used mainly for carnal purposes
World Economic Forum founder Klaus Schwab: "In this new world, we must accept... total transparency. You have to get used to it. You have to behave accordingly. But if you have nothing to hide, you shouldn't be afraid."
Meet Mufti Hamid Patel, head of Office for Standards in Education in Pakistan
George Soros tells the World Economic Forum: "President Trump is a con man and the ultimate narcissist, who wants the world to revolve around him."
Hamas are STARVING the hostages.
Decline in Tourism in Majorca Amidst Ongoing Anti-Tourism Protests
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
Poland Begins Excavation at Dziemiany After New Clue to World War II‑Era Nazi Treasure
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Threatens Canada with Tariffs Over Palestinian State Recognition
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Trump Sues Murdoch in “Heavyweight Bout”: Lawsuit Over Alleged Epstein Letter Sets Stage for Courtroom Showdown
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
Trump Administration Finalizes Broad Tariff Increases on Global Trade Partners
J.K. Rowling Limits Public Engagements Citing Safety Fears
JD.com Launches €2.2 Billion Bid for German Electronics Retailer Ceconomy
Azerbaijan Proceeds with Plan to Legalise Casinos on Artificial Islands
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Procter & Gamble to Raise U.S. Prices to Offset One‑Billion‑Dollar Tariff Cost
House Republicans Move to Defund OECD Over Global Tax Dispute
Botswana Seeks Controlling Stake in De Beers as Anglo American Prepares Exit
Trump Administration Proposes Repeal of Obama‑Era Endangerment Finding, Dismantling Regulatory Basis for CO₂ Emissions Limits
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
A family has been arrested in the UK for displaying the British flag
Mel Gibson refuses to work with Robert De Niro, saying, "Keep that woke clown away from me."
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
The British propaganda channel BBC News lies again.
Deputy attorney general's second day of meeting with Ghislaine Maxwell has concluded
Controversial March in Switzerland Features Men Dressed in Nazi Uniforms
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
×