Tuesday, February 28, 2017

How often have the Presidents of countries met with business execs to learn about the problems of international businesses? I'm not sure, but, it happened today, and POTUS was pissed to learn how lopsided tariffs are. Harley Davidsons might just get cheaper overseas in the near future if the pres hammers out some international tariff reform



I'm surprised to hear in the speech to congress today that other countries double the cost of HDs for no reason other than to get their citizens to buy fewer of them, and more of the native bikes that need extreme helping measures to sell in their own countries.


“We want to make it easier for business to create more jobs and more factories to be made in the U.S. and you’re a great example of that,” Trump told the executives.

Trump is seeking to uphold campaign promises to return lost manufacturing jobs to the U.S. The president has met with the CEOs of the traditional domestic automakers as well as the heads of Dow Chemical Co., Whirlpool Corp., Lockheed Martin Corp. and U.S. Steel Corp. all in his first two weeks in office, indicating he’ll take a hands-on role in U.S. corporate decision-making, especially if it’ll lead to job creation for middle-class Americans.
https://www.bloomberg.com/news/articles/2017-02-02/trump-welcomes-harley-davidson-ceo-in-latest-white-house-session

Believe it or not, as I find it really odd, but the threat of extensive protests made it unlikely that a visit to the HD factory could be anything productive and it was found to be far cheaper and more effective to have the HD executives fly to Washington DC and meet the pres at the White House and bring some Harleys.


http://www.wisn.com/article/harley-davidson-executives-to-travel-to-dc-meet-with-president-trump/8663879
https://qz.com/921722/the-country-trump-mentioned-with-a-100-tariff-on-harley-davidson-motorcycles-india/

During his speech the president mentioned that the Harley-Davidson motorcycle company faces a 100% tariff in in at least one country.

Fact check: True. The tariff, applied by India on motorcycles with engines larger than 800cc, is a full 100%, according to the International Trade Centre. Other notable countries with high tariffs on large motorcycles are Thailand, China, and Malaysia.

The US’s tariff on large motorcycles from India is 0% and can range up to 10% for other countries.

Clearly, that isn't good for business to be an importer of inexpensive items, and exporting the same type item at double the cost. How pharmaceuticals get cheaper when exported from the USA is a complete mystery, but it's true.


President Trump used Harley-Davidson motorcycles as a metaphor for the obstacles faced by American companies on the global market.

“I just met with officials and workers from a great American company, Harley-Davidson. In fact, they proudly displayed five of their magnificent motorcycles, made in the USA, on the front lawn of the White House,” Trump said, and he related what he said the company’s executives had told him about global tax rates.

“At our meeting, I asked them, how are you doing, how is business? They said that it's good,” he continued. “I asked them further how they are doing with other countries, mainly international sales. They told me – without even complaining because they have been mistreated for so long that they have become used to it – that it is very hard to do business with other countries because they tax our goods at such a high rate. They said that in one case another country taxed their motorcycles at 100 percent.”

“They weren't even asking for change. But I am.”

https://talkingpointsmemo.com/livewire/trump-harley-davidson-joint-session

15 comments:

  1. yep, the liberals preach tolerance and acceptance, but seem to enjoy protesting, and rioting and looting.

    and Trump is correct, there are alot of unfair trade practices from countries that sell alot lot of stuff in the states, and we need to treat them like they treat us.
    Mexico is all bent out of shape and terrified that illegals will be sent back home, but when you look at what the govt of mexico does to illegal immigrants in their country....

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  2. Any mention of the fact that the Street 500cc and Street 750 cc Harley Davidsons are produced in India for distribution there and to every country except the USA and Canada? Harley Davidson is a global company and they produce their products in the locations that will maximize profits. India buys very few motorcycles larger than 500cc.

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    1. No, not any mention of that. Do you have any idea how much I'd have to research to stumble across that? I can't begin to imagine how many days or weeks of tariff law, HD business practices, locations of HD factories, India's business practices, etc etc before I might even get close to learning that. I went to 4 sources to try and get a decent idea of the issue, and spent about an hour and a half to make this one post... just one post. There is no way for me, in my spare time, to devote enough time to anything particular to do a thorough journalistic job of reporting the news. That's just one reason I am "JUST a car guy".
      Thank you for helping me out with the info! I seriously can never learn enough on my own to do a decent job of reporting the news, and it's affiliated facets

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  3. The Harley execs also failed to tell the president they had a workaround for the India tariff - they ship partially assembled motorcycles as "components " and do final assembly at their facilities in India. There is no 100% tariff on imported parts. Related tidbit - Harley lobbied for a tariff on motorcycles imported to the US over 700cc back in the 80's when their bikes started at 883cc

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    1. Damn, this gets deep man... so many things going on and this is just one company, and one issue. So much history that I'd have to learn to do an accurate and thorough story on it. I just don't have the time.

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    2. Ah, the cynical laughter I suddenly hear here at home. I lived in the US in the 1980's, when H-D had lobbied to impose that tariff on imported motorcycles over 700 cc. This didn't apply to manufacturers building less than X number of bikes (forgot the exact figure), so it was only the Japanese companies that got hit. I Was one of the probably very few Harley riders who thought that tariff was a) pure bs, and b) only intended to give H-D a bit of extra time to do what they had neglected for decades: Building better motorcycles.

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  4. So if you admit to being unable to understand the news, how about refraining from Trump puff pieces? We read your blog to escape from politics.

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    1. Hi Dick! Where the fuck did I say I don't understand the news? Learn how to read... oh, right, you are probably here for the pretty pictures. Fuck off. This is my blog, I'll put whatever the hell I want on it, and when a motorcycle company get a White House invitation? That's news you moron. Not a damn thing in it was a Trump puff piece... the "president" is out to work for America, and American businesses. That, well, maybe you weren't aware, maybe you wanted a president that would allow illegal immigrants into our country, but the job of the President is to look out for what's best for America, and it's businesses, not that bullshit Clinton did with NAFTA that screwed our truckers
      See your own way out, don't bother me with your criticism anymore, just blow in the wind. You weren't invited in, you've been along for the ride.... and can't handle my spreaking my mind? Seriously? GTFO. Go do your own blog about something for people to tell you that you're too stupid to understand shit, and eat it

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    2. Dick, why did you have to harsh my day man? This is a post about Harley if anything, not Trump. Get your politics the hell out of my blog

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  5. Jessie your Blog is great. I really have no issue with your political views, and you have the right to speak your mind and I completely support and encourage it. And like you kept an open mind with this post "Damn, this gets deep man... so many things going on and this is just one company, and one issue". Keep doing that and I will always come back. On both sides people need to stop attacking and just discuss and talk about what they've heard or read. When those go low you go high.

    To your question how often do in Presidents meet with business execs....allot. I have two good friends that essentially switched from pure corporate law into Lobbying in the last 15 years. It's been happening at the pace your seeing all along, Trump is just way more vocal about it. I'm not trying to be political, but remember the platform he ran on. I'm not saying what he's doing here is bad, just that this feeds his base.

    I've also seen it first hand from a regulatory standpoint where we've strategized on who will be appointed or hired to a position in the future, and try to connect with that person literally years In advance before it happens. It happens a ton, and also happens way in advance of what your seeing here. Think of this situation as an ice berg, there is way more going on under the water surface that your not seeing.

    Keep it up!

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    1. Thanks! I don't feel very political, and this post to me... seemed very much more about the Harley company and what's wrong with the import export of the USA as a country... Things were made really well until the 70s. Suddenly, imports competed and the American companies would not, or could not, make the same good quality - built to last - products that they had been making for decades. No TV company survived the 80s for example, they didn't make as good a tv as Sony, nor a cheap enough tv as the junk from Japan or Korea.

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    2. Whoops, i digressed. I'm open minded about things, issues, stories, and perspectives... as long as someone can bring a convincing logical discussion opposite to what I've believed. That's not too much to ask. Saying that I'm giving a puff piece for politics? That's malarky.

      I don't do politics here, I do vehicle news... and Harleys at the White House? Man, that is some NEWS! Then I found out from the speech that it's a mess with the tariffs. So, that too, is ripe to post. Vehicle information... that's what I post.

      Well, sometimes. Mostly, I just post pretty pictures. But regularly enough that I don't exaggerate about it's commonly found content, is the stuff I post that is nothing more than info about cars, motorcycles, or trucks. Dull and not very entertaining compared to the square dancing McCormick tractors.
      You've said a lot about lobbying that I didn't know... and heck, how could anyone know about that stuff when we haven't been a part of it?
      It's a complex world out there, and I'm nothing more than a Car Guy.

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    3. a car guy that likes photos... that probably needs to be added for accuracy

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  6. Jesse, did you forget to take your medications again? I thought a comments section was an invitation to comment. My mistake.

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    1. I don't have any reason to take meds, I have nothing wrong with me, and I don't think your bullshit about Trump Puff Piece was a comment. It was political criticism. Take that, and yourself, off my blog. You weren't invited, as I didn't send out any invitation. Piss off, and disappear.

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