Harley-Davidson (HD), the American motorcycle manufacturer which bought over the iconic Italian sportsbike company MV Agusta last year is upping its ante in India. It plans a major scale up of its operations in the world’s second largest two-wheeler market. It is believed that Matt Levatich, president and chief operating officer of the company will be arriving in the country next week to speak at a SIAM conference and is likely to also evaluate the possibility of launching its products in India.Rumours are doing the rounds that Levatich may hold exploratory talks with the Indian government to set up a manufacturing base in the country. Currently Harley Davidson does not have any existence in the Indian two wheeler market so far. The company is planning to come into India through the CBU (completely built up) method. Since such imported bikes catch the attention of a 60% import duty, the price of Harley Davidson bikes in India would be in the range of Rs 4 lakh to Rs 14 lakh. Harley Davidson has no plans to start manufacture the motorcycle in India. The company wishes to carry on its manufacturing in the USA, since Harley Davidson is basically an American wistfulness bike brand.
Last year, Harley’s then-CEO Jim Ziemer said in an interview “it’d be nice if we eventually get to a 50-50 split” between domestic and international sales. The company currently sells bikes in more than 70 countries. Shares of Harley-Davidson rose 28 cents to $22.23 in midday trading on Thursday. 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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