Harley Davidson has announced that it will be shifting production of three of its models from its traditional base in Wisonsin, USA, to Thailand creating much gnashing of teeth from the US fans and Unions alike calling into question the company’s commitment to its American roots.
The models slated for the move are the Pan-America, Sporter S and the Nightster all part of what is known as the Max power range
The company maintains this is just a temporary move for 2025 models but none the less it has sparked outrage from some of the most brand loyal customers of any company.
Once you are a Harley Rider then that is it nothing else will do and they must be American, according to some of my friends all of whom ride Harleys of course.
It is not the first time that Harley Davidson has moved production overseas, for many a year they have had a factory in India for instance where they produce the Harley Davidson X440, a bike that was developed with Hero Motocorp and intended to be the affordable entry level bike for the market.
Since 2018 Harley Davidson has been present in Thailand building bikes destined for both the Asian and European markets. This move was due to the on-going trade war between the US and Europe when there was a 31% tariff on US bike imports to Europe. All along the company has said that bikes for the US will be built in the US but with the moving of the entire Max-Power range to Thailand this goal will be very hard to hit indeed.
The Unions, in this case the Association of Machinists and Aerospace Workers, are up in arms about the move all be it five years too late apparently. For Harley Davidson they are down playing the move. There’s even a press release I read that talks about how proud they are to design and develop all of their models in the US but as a global company they have to act globally ensuring the price of their product is competitive and maintains an international footprint.
They go on to claim that the Max-Power range are not core products and so will not impact the overall American-ness of the brand.
When it comes to branding, the fact that Harley owners at least in part are buying a chunk of Americana, a slice of nostalgia, a lifestyle statement, then moving production out of the USA is probably a risky move.
Yes-yes I know it will be cheaper in Thailand and you won’t have those expensive and pesky Unions but… if you have to ask the price of a Harley then you probably cannot afford one.
After all…
