Hero MotoCorp Could Take Over Harley-Davidson’s Distribution Network In India
Modified On Sep 28, 2020 05:51 PM By Benjamin Noel Gracias
The American bikemaker will be exiting India after a decade-long presence
Harley-Davidson is reportedly in talks with Indian giant Hero MotoCorp to take over its distribution network in India. Last week, the bikemaker announced that it would be exiting India after over a decade of operations here.
According to Reuters, Hero MotoCorp could take over Harley-Davidson’s 33 dealerships and become its primary distributor in India. This would allow the American bikemaker to continue selling and providing service support to its Indian customers even after its official exit. The negotiations, however, make no mention of Harley’s Bawal manufacturing facility -- its only production plant outside the US. In all likelihood, the plant could be shut down after the bikemaker’s departure.
The exit from India is part of Harley-Davidson’s global Rewire strategy. Harley-Davidson India has struggled to find a firm foothold despite over a decade of operations primarily due to the high import taxes levied on the lineup. The bikemaker has also axed its Sportster lineup in Europe.
The Harley-Hero partnership will be good news for existing customers who were worried about future service support. A tie-up with Hero will also allow Harley Davidson to introduce small-capacity motorcycles in India despite not having an official presence here.