Thats it... game over

[SteamWake]

Originally Posted by CNN

Harley-Davidson, the iconic American motorcycle brand with a cult-like following, has announced it has chosen to build its second assembly plant ever outside the United States in India.

http://articles.cnn.com/2010-11-04/w...na?_s=PM:WORLD

[TLAM Strike]

Originally Posted by SteamWake

Thats it... game over

Obligatory...

[Takeda Shingen]

I don't know, it seems like they just want to try to sell bikes in India, so it makes sense to have a few assembly plants there, especially if the Indian motorcycle market is as big as the article suggests. The parts are still made in the USA, and the article said nothing about closing plants here. Overall, I'd say that an American company building parts over here and then using an Indian facility to assemble the product for sale in the local market is certainly a refreshing change to a Chinese company doing it to us.

[tater]

Exactly, I think it's great.

Japanese and German auto companies have plants here in the US, turnabout is a good thing. Shipping cars or bikes across the ocean is not as cost effective as building them there, particularly if the target country gives you a deal to assemble there.

Makes sense to me.

[AVGWarhawk]

Yeah, let's spread a little Harley loud pipe 1300cc twin and chromed bikes in India. Not only will they handle my IT issues they can enjoy some good old Harley iron on the way to work.

[SteamWake]

It's just that Harley not so long ago were very pround of the fact that they were 'made in america'. One of the last companys to do so.

http://www.amazon.com/Well-Made-Amer.../dp/0070518017

How long before these oversea built hogs make it to the streets of USA only to be mocked as 'knock offs'.

[Takeda Shingen]

Originally Posted by SteamWake

How long before these oversea built hogs make it to the streets of USA only to be mocked as 'knock offs'.

The article seems to indicate that they are being assembled for sale in India much like, as tater said, Honda and Toyota assemble their cars in North American plants for sale in North America; they don't ship them back to Japan for sale there. It wouldn't make financial sense to make the parts in America, ship them all the way to India for assembly and then ship the bikes all the way back to America for sale. You lose a lot of money that way, as it is cheaper to ship parts than it is to ship bikes. Hence the reason for the Indian plants.

[AVGWarhawk]

In short, Harley is expanding to survive as a company. For Harley, this makes good business sense.

[Wolfehunter]

Amazing... just amazing.. I'm speechless.

[AVGWarhawk]

Restructuring

Harley has not provided details on the additional job losses, but the restructuring objectives are clear.
The company, for example, is on schedule to close its Capitol Drive plant in Wauwatosa in 2010.
It also is closing its Franklin distribution center this year.
"We need to reduce excess capacity and make the necessary changes that will enable us to be more competitive for the long term," Ziemer said.
Harley-Davidson remains focused on its long-term goals as well as getting through the recession, according to Ziemer, who recently announced his retirement effective May 1.
He has been replaced by Keith Wandell, president and chief operating officer at Johnson Controls Inc., an automotive parts supplier.
No company would like having its U.S. sales down nearly 10%, Ziemer said, but Harley is doing "amazingly well" compared with automakers and manufacturers of other big-ticket products.
Harley's overall results were better than expected, according to analysts.
The company did much better than its foreign competitors, including Honda Motor Co., and captured market share, said Robin Diedrich, senior consumer analyst at Edward Jones.
There also were encouraging signs at Harley-Davidson Financial Services, the company's consumer lending arm.
Tom Bergmann, Harley's chief financial officer, said during a conference call that he believes HDFS would be able to meet its funding needs for the year - something that had been questionable.
The company's decision in February to cut its dividend, coupled with a $600 million debt offering and other efforts, should cover the division's need for $1 billion in funding, Bergmann said.
Harley-Davidson Financial Services has toughened its loan-writing standards and collection efforts. Still, its credit losses on retail motorcycle loans widened from a year earlier.
"I expect credit losses to go up throughout 2009 as we look at rising unemployment and falling consumer confidence," Bergmann said.


Harley has laid off quite a few over the past two years. This is a move to survive as a company.

So they are taking steps to be competitive in an expanding market.
Yeah game over

[SteamWake]

Originally Posted by Tribesman

So they are taking steps to be competitive in an expanding market.
Yeah game over

Game over for the 'made in america' mindset.

We just cant manufacture here and be competitive.

That simple sentance says alot.

[Sailor Steve]

Originally Posted by SteamWake

It's just that Harley not so long ago were very pround of the fact that they were 'made in america'. One of the last companys to do so.

Harley caught a lot of flack thirty years ago for using Japanese carburetors. A quick search brought me this:

Hmm.. my 85 FXRS had

Japanese Keihin Carb
Japanese front forks
Japanese Speedo
Japanese Tach
Japanese Starter
OEM mag wheels.. Japanese


Now brace yourself...

The Clutch... England.


and they were all made to "Harley Specifications".

http://www.hdforums.com/forum/genera...uretors-2.html

Elsewhere on that forum it is also indicated that they are still using front forks made by Showa.

We just cant manufacture here and be competitive.

That simple sentance says alot.

Yes it does, it says a lot about other countries import taxes when you want to export to them.

[Jimbuna]

If it makes economic sense and allows the company to maintain its parent operation in the USA so be it.

I wish us Brits had the same foresight with what was once a buoyant car and motorbike industry.