Harley-Davidson plans a Thailand factory to serve SEA market

[alx123]

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

“Increased access and affordability for our customers in the region is key to growth for the company in total,” she said. “There is no intent to reduce H-D U.S. manufacturing due to this expansion.”

 

 

https://www.reuters.com/article/us-harleydavidson-thailand/harley-davidson-plans-a-thailand-factory-to-serve-se-asian-market-idUSKBN18L0DA

 

What will be the implications of this? Will this make HD bikes cheaper here?  Or more important question, will the Thai market embrace this fad? 

 

Also, it seems that HD want to venture in to electronic bikes too https://www.theverge.com/2018/1/31/16955928/harley-davidson-electric-motorcycle-2019

 

 

[Nickymaster]

Will Orange Man allow them to do that? Arent't they afraid that he will destroy them because they do something he doesn't agree with?  Brave and sensible people at HD.

[alx123]

Well, in theory they're just doing this for expansion. Not really moving their factories out of US.

 

 

[jackdd]

1 hour ago, alx123 said:

What will be the implications of this? Will this make HD bikes cheaper here?

It means HD will make more profit. Why should they lower their prices? If you want to ride a HD you have to pay it.

[alx123]

14 minutes ago, jackdd said:

It means HD will make more profit. Why should they lower their prices? If you want to ride a HD you have to pay it.

Well, it says they can avoid 60% tariff and plenty of tax breaks when importing to other SEA countries..that might affect the prices of the bikes, no?

[thaiguzzi]

Very very old news. Nearly 2 years old news?

For some reason (?) it seems to be much more news than when Ducati & Triumph (very successfully) decided to have factories here.......

[jackdd]

24 minutes ago, alx123 said:

Well, it says they can avoid 60% tariff and plenty of tax breaks when importing to other SEA countries..that might affect the prices of the bikes, no?

Probably not. Look at for example Triumph, they have factories in the UK and in Thailand, some parts are produced there, others here, so that they don't pay import tax here in Thailand (or ASEAN). I think it doesn't matter if you buy a bike in the UK or in Thailand, it always contains parts from both countries.

Official price for a Triumph Tiger 800 XCA:

UK: 12,450 GBP

Thailand: 665,000THB = 15,400 GBP

Is the ship taking parts from the UK to Thailand so much more expensive than the ship taking parts from Thailand to UK? Probably not ?

They charge 25% more here in Thailand just because they can. Harley Davidson will do it similar.

[Damrongsak]

8 hours ago, jackdd said:

... Is the ship taking parts from the UK to Thailand so much more expensive than the ship taking parts from Thailand to UK? ...

Should be cheaper - it's all downhill from the UK.

[mogandave]

The excise tax is likely higher in Thailand than the UK.

The HD price will come down once it is produced here.

[JonnyF]

I guess the prices will come down a bit (maybe 10%), but not to US levels. That would leave a lot of existing Thailand customers pretty unhappy with their resale value. 

 

 

[thaiguzzi]

23 hours ago, jackdd said:

Probably not. Look at for example Triumph, they have factories in the UK and in Thailand, some parts are produced there, others here, so that they don't pay import tax here in Thailand (or ASEAN). I think it doesn't matter if you buy a bike in the UK or in Thailand, it always contains parts from both countries.

Official price for a Triumph Tiger 800 XCA:

UK: 12,450 GBP

Thailand: 665,000THB = 15,400 GBP

Is the ship taking parts from the UK to Thailand so much more expensive than the ship taking parts from Thailand to UK? Probably not ?

They charge 25% more here in Thailand just because they can. Harley Davidson will do it similar.

Don't forget you are going on current exchange rates.

Pound Sterling has been crap for years and really went down the toilet after the Brexit vote.

If you have a hypothetical rate of pre Brexit 50:1 it makes it a much more palateable 13,300 quid. Now try @ 60:1 or even when i moved here @ 74:1 and all of a sudden prices become remarkably pleasant, nay downright cheap.

[findlay13]

On 8/6/2018 at 12:44 PM, alx123 said:

Well, it says they can avoid 60% tariff and plenty of tax breaks when importing to other SEA countries..that might affect the prices of the bikes, no?

It didn't do much for Triumph prices a new speedmaster made here is 632,000 bht,In Australia it's about 500.000 bht  at the moment.If Aussie the dollar was at it's peak of about 30 it is still only on par with the Aussie price at that

 

[Jerry Cornelius]

If HD follow through with the proclaimed endeavor. They'll very likely loose future sales in the country where it really matters.

 

Pre-enactment bikes would become a premium 'wanna have' product. Increasing the value of my stable, but for what?

 

Some folks just don't (will never) understand. what owning and riding a Harley is about. When you degrade; a culture or tradition of a nation, you degrade that nation.

 

Jerry

[mogandave]

If HD follow through with the proclaimed endeavor. They'll very likely loose future sales in the country where it really matters.
 
Pre-enactment bikes would become a premium 'wanna have' product. Increasing the value of my stable, but for what?
 
Some folks just don't (will never) understand. what owning and riding a Harley is about. When you degrade; a culture or tradition of a nation, you degrade that nation.
 
Jerry

Isn’t about fat, middle aged white accountants in Orange County going through midlife crisis by getting tatted-up, buying a blinged out hog and pretending they’re bad-ashes?

[Nickymaster]

1 hour ago, Jerry Cornelius said:

If HD follow through with the proclaimed endeavor. They'll very likely loose future sales in the country where it really matters.

 

Pre-enactment bikes would become a premium 'wanna have' product. Increasing the value of my stable, but for what?

 

Some folks just don't (will never) understand. what owning and riding a Harley is about. When you degrade; a culture or tradition of a nation, you degrade that nation.

 

Jerry

They are expanding in Asia because they are not doing well in the country where it really maters... So Ducati is degrading Italy? 

 

 

[Nickymaster]

Things are looking good for HD..... Thin skinned Orange Man has taken destroying his own country to the next level.

 

Trump backs Harley-Davidson boycott in tariff row

https://www.bbc.com/news/business-45163956

 

 

[metisdead]

Bickering posts and the replies have been removed.  

 

There is a topic about Harley-Davidson being made in Thailand running here:

 

 

Please continue there.