Trump to Harley-Davidson: We’re working with motorcycle companies that want to move to U.S.
President Donald Trump on Tuesday continued his criticisms of Harley-Davidson, saying his administration is working with motorcycle companies who want to work in the United States.
“Now that Harley-Davidson is moving part of its operation out of the U.S., my Administration is working with other Motor Cycle companies who want to move into the U.S. Harley customers are not happy with their move - sales are down 7% in 2017. The U.S. is where the Action is!” the president posted to Twitter.
Harley-Davidson and Trump have been at odds since last week after the company announced it would move some production overseas to avoid tariffs imposed by the European Union. Those tariffs are a response to the Trump administration’s tariffs on steel and aluminum imports.
“The tremendous cost increase, if passed onto its dealers and retail customers, would have an immediate and lasting detrimental impact to its business in the region,” the company said in late June.
The president has warned Wisconsin-based Harley-Davidson that the company will suffer losses if it moves production abroad and that his supporters are unhappy with the company’s plans.
As for company’s losses, Harley-Davidson has reported a four-year decline in motorcycle retail sales in the United States ever since 2014.
Harley-Davidson currently has factories in Australia, India and Brazil.
The International Association of Machinists and Aerospace Workers, a trade union representing Harley-Davidson workers, responded to Trump’s tweet Tuesday afternoon.
“Multinational corporations need to reinvest in American workers,” wrote IAMAW International president Robert Martinez Jr. in a statement. “We need to change the corporate culture that makes it acceptable to ship our jobs overseas. In order to do this, we must develop a comprehensive policy for restoring U.S. industry and manufacturing jobs. A fair trade policy that puts workers ahead of corporate interests represents only one piece of this effort.”
Harley-Davidson is one of a few big U.S. businesses that publicly says the administration’s trade policy is hurting American companies.
On Monday, the U.S. Chamber of Commerce issued a campaign to oppose Trump’s tariffs using a state-by-state analysis of U.S. economies affected. The lobbying group’s website now features an interactive map of the U.S. outlining the expected impact saying the tariffs “threaten to spark a global trade war.”
“The administration is threatening to undermine the economic progress it worked so hard to achieve,” said Chamber President Tom Donohue. “We should seek free and fair trade, but this is just not the way to do it.”
Meanwhile, U.S. Commerce Secretary Wilbur Ross has told CNBC that Trump is unlikely to be deterred by public and market reactions saying, “The president is trying to fix long-term problems that should have been fixed a long time ago. You can’t deal with day-to-day stock market fluctuations.”