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Tuesday 12 November 2019


MIC Says 100% Tariffs on EU Powersports Products Defeated

The MIC (Irvine, California) says that proposed tariffs of up to 100% on motorcycles, parts and accessories going into the USA from European Union countries have been "staved off" following efforts by the MIC's Government Relations Office and some key member manufacturers.

"Representatives from member companies KTM and Indian Motorcycle, and MIC staff, made the case against the proposed tariffs, testifying this summer at hearings in Washington, D.C., and holding meetings with key staff at the Office of the United States Trade Representative. The MIC, along with motorcycle-manufacturing member companies Cobra, Ducati, Indian Motorcycle and KTM, also submitted written comments to the USTR opposing these tariffs.   

Erik Pritchard, MIC President and CEO: "The tariffs would have meant extremely high prices for our American consumers of European motorcycles, parts and accessories."

"In a show of transcontinental industry support, ACEM, the European Association of Motorcycle Manufacturers, also submitted written arguments against the proposed tariffs [as did many European vendors such as Zodiac International and AMD Magazine]. The tariffs would have greatly affected the powersports business and came about as part of a dispute regarding certain EU countries subsidizing their large-aircraft manufacturing sector.
"We have been actively engaged in this dispute from day one, both in Washington, D.C., and also in Europe, to protect our dealers, support the motorcycle industry and allow our customers to continue to ride and experience motorcycling," said John Hinz, CEO of KTM North America. "Our brands and dealers have been operating in the United States for over fifty years and it is our responsibility to protect and grow the future of motorcycling. We commend the USTR's recognition of the negative impact that the proposed tariffs would have had on our U.S. business, partners, dealers and customers."
"Had the tariffs been enacted, that would have meant extremely high prices for our American consumers of European motorcycles, parts and accessories," said Erik Pritchard, incoming MIC President and CEO. "Increased costs would have even discouraged motorcycle riders from performing routine but critical maintenance, such as brake pad and tire replacements, due to potential doubling on the price of parts."