The US-based bike manufacturing giant, Harley-Davidson Inc on Thursday announced to discontinue its sales and manufacturing operations in India, owing to slow business and sluggish growth.Also Read - Indian Army Recruitment 2021: Apply Online For Clerical, Technical Posts Today | Check Rally Venue, Other Details Here
Harley had spent recent months moving dealerships to cheaper locations in the country with speculations following that executives had played down. Also Read - 7th Pay Commission Latest News: Haryana Govt Hikes Dearness Allowance For State Employees to 28% From July 1
The move involves $75 million in restructuring costs, some 70 redundancies and the closure of its lone plant in Bawal, Haryana. Also Read - Haryana Issues Fresh Lockdown Guidelines with More Relaxations, Check Full Details Inside
It will retain only a scaled-down sales office in Gurugram, south of New Delhi.
Harley said it now expects total restructuring costs of about $169 million in 2020, but warned that the restructuring programme – referred to internally as “The Rewire” – was likely to incur more charges.
India, still far cheaper and poorer than many of the developing economies with which it competes for investment, has proven an inhospitable market for other auto industry players.
Growth in domestic sales has slowed of late – with sales of cars and motorbikes falling 18% in the last fiscal year to March 31 from a year ago, reports news agency Reuters.