Harley Davidson India Closure

Iconic American motorcycle manufacturer Harley-Davidson may be closing shop in India soon.

Harley davidson india closure. The natural impact is coming into the critical dealer development functioning that would be run by a junior executive and as per internal sources Harley would be closing its India plant next month. The closure of Harley Davidson operations in India will impact 2000 workers and 35 dealerships says the Federation of Automobile Dealers Associations FADA. Sadly India was one of those markets.

With the announcement of Harley-Davidson to close its India manufacturing facility the Federation of Automobile Dealers Association FADA called for the need for a Franchise Protection Act in the country to avert brands from abruptly closing their operations leaving their channel partners and customers in a fix. The closure has dealt a blow to Indias ambitions to lure manufacturers a campaign modeled on Chinas success called Make in India It has set back Harley-Davidsons efforts to expand. Two months ago Harley Davidson revealed a strategy to focus back into more profitable core markets such as the United States.

Harley-Davidson exits India shuts production. Harley-Davidson in India has hardly been able to sell around 27000 odd numbers of vehicles in the last 10 years in India. The phase-out could involve 75m in restructuring costs and job losses for Harleys 70 remaining employees in India.

Harleys departure involves 75m 59m in restructuring costs around 70 redundancies and the closure of its Bawal plant in northern India. It is leaving behind thirty-three dealership touchpoints a number it grew over six times over the last decade and the last of which was added as recently as December 2019. The Harley-Davidson dealer network will continue to serve customers through the contract term.

The American brand opened doors in India back in 2009 and over their 10 years of operation in India they were one of the most established premium motorcycle manufacturers in the country. The closure of Harleys operations in India will be a major blow to the Indian economy and especially Prime Minister Narendra Modi who is trying to lure international investors. Automobile dealer body FADA on Friday said the closure of Harley-Davidsons operations in India would lead to job loss for up to 2000 workers across the brands 35 dealerships.

The company is communicating with customers in India and will keep them. United States President Donald Trump has previously complained about Indias high taxes specifically mentioning the levies placed on Harley-Davidson bikes. On Thursday the iconic American motorcycle giant said it is discontinuing sales and manufacturing operations for its motorbikes in India.