Did Harley Davidson go to India w/Obama

ImnoMensa

New Member
Probably. Harley announces they will send kits to india for the motorcycles to be put together there.

News | Harley-Davidson USA

Now this doesn't mean they will ship harley davidson's they build in India here to the USA.

Not right away .

But it does mean that India will assemble Harley Davidson's built from parts supplied by the factory, in India.

Now any way you look at it that means some people who put them together here will lose the assembly portion of that job, and that India will use cheap labor to put them together in India.

Now if we look into the future we can see that perhaps it will be so much cheaper that Harley will start importing them here and even later they may start building the parts there. Does that sound about right? Or am I imagining things.

Is this why Obama is taking 400 CEO's to India?
 

ylexot

Super Genius
Now if we look into the future we can see that perhaps it will be so much cheaper that Harley will start importing them here and even later they may start building the parts there. Does that sound about right? Or am I imagining things.

The next step would be to make the parts there (or somewhere else) and then import the parts to the US. It makes no sense to send parts to India, have them put together, and then send the completed bikes back to the US.

Of course, Harley would then lose their entire customer base if they were made in India.
 
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Baz

This. ------------------>
The next step would be to make the parts there (or somewhere else) and then import the parts to the US. It makes no sense to send parts to India, have them put together, and then send the completed bikes back to the US.

Of course, Harley would then lose their entire customer base if they were made in India.

From the release:
Harley-Davidson, Inc. (NYSE:HOG) is moving forward with the launch of operations in India to assemble motorcycles for the Indian market from component kits supplied by its U.S. plants, the Company announced today.
 

ylexot

Super Genius
From the release:

From the post I quoted:
ImnoMensa said:
Now if we look into the future we can see that perhaps...
For the slow people, that means that this is speculation. Harley is not going to announce their plans for the future. In fact, they probably don't even have plans for the future.
 
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Hmmm... so we don't want us to grow our own stuff...
we don't want us to drill our own oil...
we don't want us to manufacture our own stuff...
we don't want us to assemble our own stuff...
we don't want us to provide customer support for our own stuff.

What's left? What should I plan to be when I grow up...:confused:
 

Baja28

Obama destroyed America
Hmmm... so we don't want us to grow our own stuff...
we don't want us to drill our own oil...
we don't want us to manufacture our own stuff...
we don't want us to assemble our own stuff...
we don't want us to provide customer support for our own stuff.

What's left? What should I plan to be when I grow up...:confused:
A tax accountant so you can tell business how much profit they are allowed to make. :yay:
 

ylexot

Super Genius
A tax accountant so you can tell business how much profit they are allowed to make. :yay:

Hmmm...I just had an idea for a new market...profit insurance! We'll take profits off your hands so that you look good to the government and decrease your tax rate. Then you come to us if you want to buy something. It's kinda like a bank, except we can deny your claim when you want to buy something.
 

CrashTest

Well-Known Member
This could be good depending on how many Harleys are currently bought by folks in India. If currently there are no Harleys (or almost no Harleys) bought in India, then there would be no loss of U.S. assembly jobs but there would be a gain in U.S. jobs that produce the parts and put together the kits along with the logistics jobs involved with getting the kits sent. In this scenario, there would be a net gain of U.S. jobs not to mention a reduction in the U.S trade deficit.
 

FromTexas

This Space for Rent
So - as a business, Harley should take the parts, ship them here, build them here, and then ship the bike back to sell in India? This won't increase cost and make them less competitive in the Indian market?

For people who preach free'er markets, less government intervention, and capitalism one way, you seem to be implying there should be intervention the other way?

Just saying - if you truly believe in the idea of capitalism and less government intervention, then you can't complain about a company making a smart business decision to be competitive in an emerging market. Emerging markets are the only way to truly grow for large companies. You can't depend on growth in just the American market.

Also - it forces labor here to be more competitive if its truly a labor decision (this decision, if reversed, would involve duplicating shipping processes and increasing expenses, as well). Maybe if unions stop pushing for large increases at the expense of corporations, it wouldn't force so many labor cost decisions.
 

Baz

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(among others) Sikorsky announced that it was doing the same thing (only with it's helicopters - I believe the S-92).

That's not surprising. India, along with China, have become major economic players. Not sure if I remember this correctly, but I believe they're the top 2 growing economies, and in the top 5 overall. Or were when I heard it.

I would think many comapanies are trying to get in on that action.
 
Maybe if unions stop pushing for large increases at the expense of corporations, it wouldn't force so many labor cost decisions.

:dingding:

But as we have witnessed time and time again... as long as the unions can buy politicians... this will never happen.
 

FromTexas

This Space for Rent
That's not surprising. India, along with China, have become major economic players. Not sure if I remember this correctly, but I believe they're the top 2 growing economies, and in the top 5 overall. Or were when I heard it.

I would think many comapanies are trying to get in on that action.

This from the other side of the political aisle where people complain that it was Bush's/Republican's fault that jobs are being shipped overseas. :biggrin:
 

BernieP

Resident PIA
:dingding:

But as we have witnessed time and time again... as long as the unions can buy politicians... this will never happen.

While labor costs may be a factor, in these cases it's about gaining access to a market. Same reason your "Japanese" car is bult from parts made all over the globe and assembled somewhere in the US.
If the motorcylce is assembled in India it probably isn't taxed as much as a fully assmebled import would be.
 

ylexot

Super Genius
For people who preach free'er markets, less government intervention, and capitalism one way, you seem to be implying there should be intervention the other way?

I'm not. If that's what you got from me, you read that in yourself. I'm just mourning the loss of American manufacturing.
 

BernieP

Resident PIA
This from the other side of the political aisle where people complain that it was Bush's/Republican's fault that jobs are being shipped overseas. :biggrin:

If they were closing plants here an moving that manufacturing function to India, yes, that would be bad. But in these cases it's actually good, they company sells more parts, parts made here. It's simply expanding into a new market. In a way it's saving jobs here, those people who are making the parts.
 

Baz

This. ------------------>
If they were closing plants here an moving that manufacturing function to India, yes, that would be bad. But in these cases it's actually good, they company sells more parts, parts made here. It's simply expanding into a new market. In a way it's saving jobs here, those people who are making the parts.

:yeahthat:
 

FromTexas

This Space for Rent
If they were closing plants here an moving that manufacturing function to India, yes, that would be bad. But in these cases it's actually good, they company sells more parts, parts made here. It's simply expanding into a new market. In a way it's saving jobs here, those people who are making the parts.

I know that -see my post. I was just messing with Baz since if Bush was in office and making the trip to India, we would be hearing how this is a bad thing... :lol:

However, I would point out that I have less sympathy for manufacturing jobs lost when workers allow their unions to price them so far out of competitiveness that its cheaper to establish a new plant, pay for shipping, and deal with foreign laws than keep the labor here.
 

Baz

This. ------------------>
I know that. I was just messing with Baz since if Bush was in office and making the trip to India, we would be hearing how this is a bad thing... :lol:

Not from me, personally. But sure, you'd be hearing it from some. As with everything, both sides have their share.
 
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