Harley-Davidson to build new motorcycle factory in Thailand

Harley-Davidson to build new motorcycle factory in Thailand

American top gun Harley-Davidson has announced that the firm will be building its new motorcycle factory in Thailand in order to cater the Asian market. The factory is said to be placed in Thailand’s Rayong province, which is the southeast of Bangkok and will allow the brand to avoid Thailand’s tarriffs which are up to 60 per cent on impoted motorcycles. Harley-Davidson will also be getting tax sops when exporting to neighbouring countries as Thailand has a free trade arrangement with members of the Association of Southeast Asian Nations (ASEAN).

The plant in Thailand is not the brand’s first overseas factory. In fact, it already has an active factorry in Bawal, India where the Street 750 was manufactured. There are also plants in Brazil and a wheel factory in Australia.

“The Thailand facility will allow us to be more responsive and competitive in the ASEAN region and China,” said Katie Whitmore, Harley-Davidson public relations manager.

“Increased access and affordability for our customers in the region is key to growth for the company in total.”

“There is no intent to reduce H-D U.S. manufacturing due to this expansion.”

Both Triumph and Ducati will be facing some competition in the same sector as the firms are eager to take advantage of free trade agreements within ASEAN countries. Both Triumph and Ducati have factories in Thailand.

Last year, the brand reported its greatest retail sales in the Asia-Pacific region, as well as Europe, the Middle East and Africa, with a total of 5.9 per cent.

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