Harley off

[Gob]

Harley-Davidson plans to shift the production of some of its bikes out of the US in response to Europe’s new tariffs on motorcycle imports.

In a stock market filing, the company said the EU’s reaction to Donald Trump’s steel tariffs, which will add $2,200 (£1,657) to the average cost of a motorcycle exported from the US to Europe, will result in up to $100m of extra charges over the next couple of years.

To prevent further long-term damage to the company’s revenues, it said the production of motorcycles for EU destinations needs to switch from the US to its international facilities.


“Harley-Davidson expects ramping up production in international plants will require incremental investment and could take at least nine to 18 months to be fully complete,” the company said.

The decision is a blow to the Trump administration, which has defended its imposition of tariffs on the EU as part of a strategy to boost jobs in the US.

Earlier this year the White House imposed a 25% tariff on steel and a 10% tariff on aluminium imports from several countries, including the 27-member EU.

Retaliation by Brussels targeted producers in Republican states where Trump draws much of his support – including bourbon whiskey, Levi’s jeans – and is expected to raise the prices of US goods worth up to €2.8bn (£2.5bn).

Trump has threatened to widen the mounting trade dispute by imposing tariffs on European cars, saying in a tweet: “If these Tariffs and Barriers are not soon broken down and removed, we will be placing a 20% Tariff on all of their cars coming into the U.S. Build them here!”

It is not clear where Harley-Davidson will boost production but the impact on jobs in the US could be severe.

https://www.theguardian.com/business/20 ... otorcycles

[rubato]

Way to help the American worker there Trumpy!


yrs,
rubato

[MG McAnick]

Harley-Davidson had already announced plans to close its Kansas City plant last January. It is not part of the trade war that Pres Drumpf has started, but we can all count on that to get worse.

I find it odd in that H-D proudly displayed several of its products on the white house lawn last year as the quintessential AMERICAN MANUFACTURER. It will be interesting to see if they try to market their Thai produced bikes here. My guess is US bikers would rather torch one than sit on it.

[Big RR]

MG--wasn't that the plant (in Wisconsin as I recall) that was being closed to open a factory in Thailnd? My understanding is that the KC closing is in addition to that one and that a few hundred jobs are being outsourced to the UK.

[MG McAnick]

I don't think they have plans to close the Milwaukee plant Big RR. 400some (out of 800) jobs from KC were supposedly moving to their plant in York PA. The Thailand plant has been in the works for a while. The tariff situation is only pushing it along.

I used to do business on the road next to the KC plant once in a while. Except for the signs, it was impossible to tell what was made inside. It's only a 20 year old facility.

[Scooter]

I don't think these guys had any intention of moving to Mexico before the steel tariffs:

Largest US nail manufacturer 'on the brink of extinction' because of the steel tariffs

Steel tariffs could force the nation's largest nail manufacturer to close or move to Mexico.

The Mid-Continent Nail plant in Poplar Bluff, Missouri, laid off 60 of its 500 workers last week because of increased steel costs. The company blames the 25% tariff on imported steel. Orders for nails plunged 50% after the company raised its prices to deal with higher steel costs.

The company is in danger of shutting production by Labor Day unless the Commerce Department grants it an exclusion from paying the tariffs, company spokesman James Glassman told CNN's Poppy Harlow.

Mid-Continent Nail is "on the brink of extinction," he said.

Glassman said the company might relocate to Mexico, where it could buy the steel without the tariffs — and then export the finished nails back to the United States without tariffs, which only apply to raw materials. (anyone care to defend the logic of Trump's tariff policy, anyone at all?)

"It's obviously an option," said Glassman about moving to Mexico. "It absolutely is something this company does not want to do. It wants to save the jobs in Poplar Bluff, Missouri."

Glassman called President Donald Trump's trade policy misguided. He noted that the company had doubled its work force since 2013, and thrived despite increased competition from China.

About 21,000 US companies have filed for tariff exclusions. In a June 20 Senate hearing, Commerce Secretary Wilbur Ross said Mid-Continent had filed a request for an exclusion only two days earlier.

"I'm not belittling their situation at all. But given the importance of it to them, it's very unfortunate that they waited all these weeks to file the request," he said. "Under the authority we were granted, there is a process we have to follow."

The US Chamber of Commerce has estimated that 2.6 million US jobs are at risk because of the Trump administration's hard-line policies on trade, although that estimate includes the impact of ending NAFTA. The tariffs that have already been proposed could cost the US economy about 700,000 jobs by next summer, according to Moody's Analytics.

The area of Missouri where the plant is located voted 80% for President Trump. Glassman said he can't say whether people in town are still supporting the president. (three guesses and the first two don't count)

"They are scared, they are worried about their families. It's not like there are tons of other manufacturing jobs," he said. "If I were a Mid-Continent worker, I would be extremely unhappy with what this administration is doing."

[Econoline]

• They are scared, they are worried about their families.

...and of course they blame it all on Barack Obama and Hillary Clinton.

[dales]

Harley-Davidson had already announced plans to close its Kansas City plant last January. It is not part of the trade war that Pres Drumpf has started, but we can all count on that to get worse.

I find it odd in that H-D proudly displayed several of its products on the white house lawn last year as the quintessential AMERICAN MANUFACTURER. It will be interesting to see if they try to market their Thai produced bikes here. My guess is US bikers would rather torch one than sit on it.

It is my understanding that off-shore produced H-D's will be for export only. US-produced H-D's will be for the domestic market.


Once again Trump demonstrates his pig-headed stupidity by completely failing those he boasted he would help but instead royally screwing them over.

[Econoline]

[Scooter]

More Make America Unemployed Again:

Texas steel pipe manufacturer becomes casualty of Trump's trade war

President Donald Trump's tariffs are hurting a Texas steel pipe manufacturer.

Borusan Mannesmann, which makes pipes for Texas' oil and gas refineries, estimates that the 25% tariff on imported steel will cost the company up to $35 million a year and kill its plans to expand and hire more workers.

The company imports steel tubing and casing from its parent company in Turkey, and finishes the products at a factory in Baytown. It is seeking an exemption from the tariffs and is awaiting the administration's decision.

"It would really impact the community, which already has a 10% unemployment rate," CEO Joel Johnson told CNN's Poppy Harlow in an interview Wednesday. "We want to grow."

Johnson is offering Trump a deal: In return for a two-year tariff exemption, the company will spend up to $75 million to build another pipe factory in Baytown, which it says would create 170 jobs.

"We're not asking for a forever relief," Johnson said. "We're just asking for a short-term bridge, and give us enough time to build another factory."

"It's a win-win for America," he added.

The Commerce Department declined to comment on the status of the exemption request.

Borusan Mannesmann is one of about 21,000 US companies that have filed for waivers from the steel and aluminum tariffs. The Commerce Department has granted seven, including Schick Manufacturing, the razor blade producer.

Mid-Continent Nail, the largest nail manufacturer in the United States, has also been caught in the Trump administration's trade fight.

Its plant in Poplar Bluff, Missouri, laid off 60 of its 500 workers last week because of higher steel costs. The company blames the 25% tariff on imported steel. Orders for nails plunged 50% after the company raised its prices to deal with higher costs.

Mid-Continent Nail is "on the brink of extinction," spokesman James Glassman told Harlow in an interview on Tuesday.

[wesw]

a subsidiary of a Turkish company that manufactures its pipe in turkey.

....then sends it to US for a bit of detailing.

maybe it will upset the turks to the point where they leave nato.

pipe dream I guess....

[Scooter]

It's hundreds of good paying American jobs that will be lost directly because of ill-considered and counterproductive tariffs.

But what do you care, your heroin supplier has an incentive to get back in the business.

[wesw]

....American, and more likely Canadian, pipemakers will take up the slack and increase production and either hire more people or work overtime to fill the orders.

I actually am against tariffs on Canadian steel and aluminium.

in the steel and aluminium trades , Canadian products are considered to be domestic.

I , however, do understand that china is dumping product thru Canada, which makes no sense for either nations vital infra structures.

what heroin has to with it I don t understand.

never used the stuff myself....

I do have to work on my jeep tho, so if you could score me a couple of percocets I would really appreciate it..

if not I ll find a doobie to get me thru the project.

[wesw]

the big news in steel is the firing up of long dormant domestic smelters and the construction of new smelters.

THAT is BIG news.

the loss of some Turkish pipe products is no big deal.

in fact it is probably a positive development for American employment in the steel trades

[BoSoxGal]

the big news in steel is the firing up of long dormant domestic smelters and the construction of new smelters.

Which ones and where? Please provide evidence. I just read recently that this is NOT happening, so I’d very much like to hear what evidence you can provide to the contrary.

Thx,
BoSoxGal

[Scooter]

Trump invented an imaginary phone call with the head of U.S. Steel, and wes swallowed it wholesale. No steel maker has announced any such expansion.

[RayThom]

the big news in steel is the firing up of long dormant domestic smelters and the construction of new smelters.

Which ones and where? Please provide evidence. I just read recently that this is NOT happening, so I’d very much like to hear what evidence you can provide to the contrary.
Thx, BoSoxGal

BSG, wesw is most likely correct. I googled a few keywords and this link surfaced. I, too, was surprised with the results. However, I see where it may produce 300 jobs -- give or take. That's hardly a big score for Lord Dampnut but to Granite City I'm sure it is welcome news.

U.S. Steel to restart second blast furnace, create 300 new jobs
https://www.thetelegraph.com/news/artic ... 969933.php

[wesw]

unless cnbc, fox business, and Bloomberg news are all bullshitting me, what i said is absolutely true.

....and it is HUGE. https://www.google.com/url?sa=t&rct=j&q ... hiNV2k00w2

here is a link to a WSJ article from june 30


have you been reading the Washington post again?

they are the most dishonest paper in the country.

I read the Post for over 20 yrs, but I wouldn't potty train a puppy on these days.....

[Jarlaxle]

Harley-Davidson had already announced plans to close its Kansas City plant last January. It is not part of the trade war that Pres Drumpf has started, but we can all count on that to get worse.

I find it odd in that H-D proudly displayed several of its products on the white house lawn last year as the quintessential AMERICAN MANUFACTURER. It will be interesting to see if they try to market their Thai produced bikes here. My guess is US bikers would rather torch one than sit on it.

No plans to do that...the plant in Thailand is to build bikes to sell in Asia. (They already build Streets and assemble big twins from knockdown kits in India.)

[Jarlaxle]

the big news in steel is the firing up of long dormant domestic smelters and the construction of new smelters.

Which ones and where? Please provide evidence. I just read recently that this is NOT happening, so I’d very much like to hear what evidence you can provide to the contrary.
Thx, BoSoxGal

BSG, wesw is most likely correct. I googled a few keywords and this link surfaced. I, too, was surprised with the results. However, I see where it may produce 300 jobs -- give or take. That's hardly a big score for Lord Dampnut but to Granite City I'm sure it is welcome news.

U.S. Steel to restart second blast furnace, create 300 new jobs
https://www.thetelegraph.com/news/artic ... 969933.php

I saw something about that on the news this morning, but didn't see anything beyond it was happening-thanks for the link!