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Harley-Davidson to sell motorcycles in India

By ASSOCIATED PRESS   Thursday, August 27, 2009 - 9:39 a.m.
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NEW YORK (AP) — Harley-Davidson Inc. said Thursday it will begin selling motorcycles next year in India, the world's second-largest motorcycle market, where the company hopes its iconic, heavyweight bikes will find a niche among the country's rising middle class.

The Milwaukee-based company said it has established a subsidiary near Delhi and has begun scouting the country for dealers.

"Given the rapid development of India's economy and physical infrastructure, this is exactly the right time to bring the world's greatest motorcycles to one of the world's largest motorcycling nations," said Mark Levatich, Harley's chief operating officer, in a statement.

India is the world's largest market for motorcycles behind China, but it is overwhelmingly dominated by smaller, inexpensive bikes used primarily for transportation, said Dilip Chenoy, director general of the Society of Indian Automobile Manufacturers.

Still, Harley said the country's growing economy, rising middle class and expanded highway construction has created a market for leisure motorcycle riders.

"Motorbikes, scooters in India are family commuting bikes," Chenoy said. "They tend to be more robustly built and the focus is on fuel economy, but there is an increasing market for leisure and high-end bikes which is beginning to happen here in India."

The move marks Harley's latest push into developing markets overseas, where it hopes rising incomes and the company's strong brand identity will spur sales and help offset flagging business at home.

International sales have made up a growing part of Harley's business. In 2008, motorcycle shipments in the U.S. fell 15 percent to 206,000 units while international shipments climbed 9 percent to 97,107.

Shares of Harley-Davidson fell 23 cents to $21.72 in morning trading. The stock has gained 29 percent since the start of the year, as investors begin to see a recovery in demand after a wrenching drop in sales during the U.S. recession.




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(14)
spark
Aug 31, 2009 at 9:41 a.m.
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Lost_City - With MAJOR upgrades, you might be able to obtain that. Point being, that's not what they are selling.

ljs64
Aug 29, 2009 at 9:58 p.m.
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Blah, blah, blah......ASSuming AGAIN!

wesgonsin
Aug 28, 2009 at 11:51 a.m.
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Yeah, ljs64.... When a company moves operations over-seas, it just creates soooo many jobs here in the states. Yeah, I know nothing was said in the story about Harley moving to India or China. However, my prediction is that soon, very soon, Harley will glom onto cheap Indian labor. Face it. Nobody cares about buying American anymore. It's all about cheap plastic knock-offs from other countries nowadays. Go down the aisles in any Walmart store and conjure up a list of every product made in the Good OLE USA, and I bet you would get booted from the store before you got halfway through the endeavor. Theres a reason they have a policy banning the use of cameras in their stores.

Lost_city
Aug 27, 2009 at 8:46 p.m.
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Spark for your FYI, Pete did not say it was a stock touring bike. With the right stage upgrades you should be able to get past the 120 mark.

gazettefan
Aug 27, 2009 at 3:02 p.m.
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If I were them, I'd stick with the flying carpets.

SwissChick
Aug 27, 2009 at 2:46 p.m.
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Yeah, their economy is growing due to the acquisition of jobs from this country.

janesvillean
Aug 27, 2009 at noon
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sunnysideshell, check out this Indian motorcycle club I found:
http://www.inddiethumpers.com/bikers.php...
.
Pete, actually, the so-called "superbike" market in India opened up as Harley expressed interest a few years ago (there have been tariff and regulation issues), with Suzuki and Yamaha moving aggressively to market heavier bikes of their own before Harley-Davidson could arrive.
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India is actually the only automotive market that has grown during the global recession. Harley is smart to try to finally get in.

spark
Aug 27, 2009 at 11:21 a.m.
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They're doing what they have to do. Sell.
-
FYI, no stock factory Harley has a 120hp. Especially the touring ones. Closest would be the Vrod. So if you're buying a Harley for brute horsepower, you're buying the wrong bike.

etownguy
Aug 27, 2009 at 11:17 a.m.
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there has been news that they will start producing parts for those markets in India or China.....not the United States.

ljs64
Aug 27, 2009 at 11:02 a.m.
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Whine and complain.....My gosh.
*****
Harley Davidson will continue to provide JOBS to Amercian workers by producing a product and then selling it overseas. What can possibly be wrong with that?? Ignorance and Whiners flourish in Janesville and Rock County.

woody
Aug 27, 2009 at 10:15 a.m.
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They took our jobs, why not take our toys too. (maybe the whole company soon)

sunnysideshell
Aug 27, 2009 at 10:06 a.m.
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That is going to one site to see, Indians dressed up like Pirates. Gotta have the "doo" rag, chain drive wallet, tatto's and goatee to be able to ride one of those bikes.

wesgonsin
Aug 27, 2009 at 9:52 a.m.
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Sounds good, in theory. But mark my words..... Won't be long before Harley-Davidson opens a plant in India and they start shipping THOSE motorcycles back HERE.

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