Donald Trump has threatened Harley-Davidson with a 'big tax' and said the motorbike company's decision to shift some motorcycle production overseas 'will be the beginning of the end'.
The president's warning came a day after Harley-Davidson announced it was moving some production abroad to mitigate the impact of Trump's tariffs on European steel and aluminium, which have prompted retaliatory tariffs from the EU.
Trump accused the company of using the 'tariffs/trade war as an excuse' to hide previously announced plans to move jobs to Asia, referencing the closure of a Kansas City plant. However, Harley-Davidson has denied a link between the closure and any move to Thailand.
The Milwaukee-based company said the 31% tariff imposed by the EU on its motorcycles would raise costs by about $2,200 per bike. Europe is Harley's second-largest market.
Trump added that a study on imposing tariffs on cars from the EU was being finalised, warning that any Harley built overseas and sold back into the US would face heavy taxes.
