Harley-Davidson’s CEO, Jochen Zeitz, stated the company may manufacture motorcycles in India for global sales. This move is part of their strategy to expand and increase their presence in international markets.
Key points
- In 2019 Harley-Davidson announced its exit from the Indian market due to poor sales.
- However, the company has since said it is open to manufacturing motorcycles in India for export to other markets.
- Harley-Davidson CEO Jochen Zeitz said the company is “still evaluating” its options in India and is “interested in manufacturing in India for global markets.”
- Zeitz also said Harley-Davidson is “committed to India” and the company sees “a lot of potential” in the Indian market.
- If Harley-Davidson does decide to manufacture motorcycles in India, it would be a major coup for the Indian government, which has been trying to attract foreign investment in the manufacturing sector.
- There are some reasons why Harley-Davidson might consider manufacturing motorcycles in India, including the large and growing market for motorcycles, the low-cost manufacturing base, and the skilled workforce.
- However, there are also some challenges Harley-Davidson would need to overcome if it decided to manufacture motorcycles in India, such as the high cost of logistics, the complex regulatory environment, and the lack of infrastructure in some parts of India.
By producing motorcycles in India, Harley-Davidson aims to benefit from the country’s cost advantages and leverage its strong manufacturing infrastructure. The company sees India as a strategic market due to its growing middle class and increasing demand for premium motorcycles.
Harley-Davidson had previously faced challenges in the Indian market, which led to the decision to exit manufacturing operations in the country in 2020. However, the company continues to sell imported motorcycles in India.
Is still evaluating the options
In an interview with the Economic Times, Harley-Davidson CEO Jochen Zeitz said the company is “still evaluating” its options in India. He said Harley-Davidson is “interested in manufacturing in India for global markets” and is “in discussions with potential partners.”
Zeitz also said Harley-Davidson is “committed to India” and the company sees “a lot of potential” in the Indian market. He said Harley-Davidson is “looking at ways to grow our business in India” and is “excited about the future of Harley-Davidson in India.”
Attract foreign investments
It is unclear when Harley-Davidson would decide whether to manufacture motorcycles in India. However, Zeitz’s comments suggest the company is serious about possibly doing so. If Harley-Davidson does decide to manufacture motorcycles in India, it would be a major coup for the Indian government, which has been trying to attract foreign investment in the manufacturing sector.
Here are some of the reasons why Harley-Davidson might consider manufacturing motorcycles in India:
- India is a large and growing market for motorcycles.
- Low-cost manufacturing base.
- Skilled workforce.
- India has a strong government commitment to attracting foreign investment.
Of course, there are also some challenges Harley-Davidson would need to overcome if it decided to manufacture motorcycles in India.
These challenges include:
- The high cost of logistics in India.
- The complex regulatory environment in India.
- The lack of infrastructure in some parts of India.
Conclusion
Harley-Davidson’s CEO, Jochen Zeitz, has indicated the company is considering manufacturing motorcycles in India for global sales. This potential move is part of their strategy to expand their presence in international markets and take advantage of India’s cost advantages and manufacturing infrastructure.
