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Just yesterday, May 11, 2009 Harley admitted that further cuts down the road may be necessary at their York plant. In fact the company admitted that the York plant may have to be shut down. Last month the company announced a downturn in sales of 37%.
"As it stands York is not competitive long term ... due to cost pressures," company representative Bob Klein said. In addition, "major changes will be needed," he said. Part of the evaluation process will include looking at other locations in the United States Klein said.
I don't know about anyone else but when I hear talk like this I immediately see production being moved offshore. We already know most of the clothing Harley sells is foreign made, an awful lot of the Harley parts come from offshore locations, so it just comes as nautural progression that assembly will be moved offshore.
Couple all that with the fact that there is new management at the MOCO (CEO and CFO and others) and you have the perfect scenario for offshore assembly of the Harley Davidson motorcycle.
Anybody want to take bets as to when the New Harleys will start coming in from Mexico, China or Taiwan?
Just yesterday, May 11, 2009 Harley admitted that further cuts down the road may be necessary at their York plant. In fact the company admitted that the York plant may have to be shut down. Last month the company announced a downturn in sales of 37%.
"As it stands York is not competitive long term ... due to cost pressures," company representative Bob Klein said. In addition, "major changes will be needed," he said. Part of the evaluation process will include looking at other locations in the United States Klein said.
I don't know about anyone else but when I hear talk like this I immediately see production being moved offshore. We already know most of the clothing Harley sells is foreign made, an awful lot of the Harley parts come from offshore locations, so it just comes as nautural progression that assembly will be moved offshore.
Couple all that with the fact that there is new management at the MOCO (CEO and CFO and others) and you have the perfect scenario for offshore assembly of the Harley Davidson motorcycle.
Anybody want to take bets as to when the New Harleys will start coming in from Mexico, China or Taiwan?
OMG! What are all these guys going to do if this happens (offshore assembly) sell their HD's and buy a Victory?
Times are really tough out there right now. In some parts of the US it's like the great depression all over again.
I hope HD does what it needs to in order to survive. They bought MV Agusta a while back and that gives them a little more diversity in the MC business.
I think you will see the manufacturing move into the southern states before it goes out of the borders. The southern states have plenty of cheaper open area to expand into, the weather is easier and cheaper to deal with, and they are all right-to-work states. They would likely make the move to get out of the Unions control and cut seasonal expenses.
Before I get flamed, I am only stating this because that is one of reasons the new Toyota plant was not built up north.
Last edited by Roadie09; May 12, 2009 at 08:37 AM.
I will admit that I am a "former" Goldwing owner. One of the reasons I switched over was Honda closing the assembly line in Mayville Ohio. Goldwings will now be assembled in Japan. For me that was the last straw. The timing was also good with the 09 HD touring line.
I sure hope Harley doesn't follow suit. It will be the beginning of the end!
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