Cycle News is a weekly magazine that covers all aspects of motorcycling including Supercross, Motocross and MotoGP as well as new motorcycles
Issue link: https://magazine.cyclenews.com/i/126953
H-D petitions
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50%, scrap and rework is down twothirds, defects per unit are down 70%, .
and the company's revenues per
employee have doubled since 1981.
"Harley-Davidson is now on very
firm financial footing, and we are
forging into the future. We foresee
Harley-Davidson remaining a competitive force in American industry
well into the 21st century," said
Teerlink..
"We've taken a company that was
on the brink of disaster and transformed it into a successful and
financially viable company," Beals
said.
japanese motorcycle manufacturers responded to the special tariffs
in two ways: Two companies
increased assembly at their U.S.
manufacturing plants to avoid the
tariffs, and; all major manufacturers
down-sized some of their standard
production 750cc motorcycles to 690to-699cc models to evade the tariffs.
"The special tariffs helped stabilitze the market and sent a very strong
message to our competitors. We were
not going to sit back and watch them
destroy our market~ If they refused
to curtail production to meet market
conditions, they weren't going to
send their excess inventory to the
U.S., unload it at 'fire sale' prices,
disrupt ~e market and our ability
to compete, without paying a price
for that privilege," Beals said.
Harley-Davidson said they made it
clear from the beginning that ·the
special tariffs were not aimed at
preventing free market competition.
"We simply wanted the U.S. government to restore order to a motorcycle
market under siege by japanese
manufacturers that increased production in the face of a sharp market
decline," Beals said..
The reaction from the japanese
manufacturers could best be described as subdued. "It's business as
usual," said Rob Saunders, head of
Suzuki's public relations' department. '''We've been absorbing other
blows to our profit for some' time
now such as the'decline of the U.S.
dollar against the japanese yen." In
fact, the dollar dropped to a sevenweek low against the japanese yen,
closing at 151.50 yen to the dollar,
the day of Harley's announcement.e
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