The Milwaukee-based company Harley-Davidson announced its Q2 earnings on Tuesday 24 July.
Compared to 2017, the company reported a 0.7% increase in global retail motorcycle sales. US retail sales, however, dropped 6.4%, while worldwide retail sales fell by 3.6%.
The 2018 results turned out better than expected, regardless of European raw materials tariffs raised by Trump, as well as increased tariffs on American bikes imported in Europe. Harley has outpaced analysts’ expectations, which resulted in a 9% boost of HOG shares on Tuesday.
The US motorcycle producer expects to incur $45-55 million in increased costs in 2018 due to the ongoing global trade war.
Recently, Harley has announced their intention to move production of motorcycles for European markets outside the US, a plan which has caused threats of even higher taxes from President Trump.