A Minnesota-based company said Friday it would consider delaying production of some motorcycles due to European tariffs just days after Harley-Davidson announced a similar move
A spokeswoman for Polaris Industries admitted Company could move some production of its Indian motorcycles from northwest Iowa to Poland.
"Nothing is definite," said Polaris spokeswoman Jess Rogers. "We're going to look at a series of mitigation plans."
Harley-Davidson announced on Monday that the production of motorcycles sold in Europe is being transferred overseas by US factories for retaliation.
President Donald Trump had made use of the iconic American motorcycle manufacturer as an example of a US firm damaged by trade barriers in other countries before imposing high duties on European steel and aluminum. The European Union responded with measures that raised approximately $ 3.25 billion ($ 2.79 billion) in American-made products including American motorcycles.
Harley-Davidson said new tariffs would add about $ 2,200 per average motorcycle US to EU
Since the announced move, Harley-Davidson has suffered harsh criticism from the president, who has said in a tweet that any transfer of production by the company will be "the beginning of the end". He added, "The aura will be gone and they will be taxed like never before!"
This criticism is undoubtedly in the minds of Polaris executives, who are looking for ways to mitigate the impact of tariffs.
"But we definitely see an increase in costs," she said.
Polaris employs around 650 people in Iowa, Spirit Lake.