What A Trade War Means for Motorcycles

03/06/2018 @ 3:39 pm, by Jensen BeelerADD COMMENTS

Strangely enough, we have talked about trade wars several times before, here on Asphalt & Rubber, as the Trump administration has been keen to use this tool in its toolbox, often with effects that reach into the motorcycle industry.

The first time around, we talked about how the Trans-Pacific Partnership (TPP) affected the motorcycle industry, namely Harley-Davidson, and how the United States' withdrawal from the agreement would likely be a negative effect for US motorcyclists.

We have also had to talk about how fighting over beef imports could lead to possible tariffs on small-displacement European motorcycles in the United States, a tariff that would seriously hurt Piaggio/Vespa scooter sales and KTM dirt bike sales.

This week a new specter is on the horizon, as the Trump administration is eyeing tariffs on both steel and aluminum, at 25% and 10% a pop - respectively.

Naturally, the increase in the cost on importing raw metals into the USA is going to have an adverse effect on manufacturing-based businesses, but not all of these companies are affected equally when tariffs are imposed.

So, let's take a look at what this really means for the American motorcycle industry.

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