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India-US Trade Pact Eliminates Tariffs on Select Premium Harley-Davidson Motorcycles

TL;DR

India and the U.S. have agreed to eliminate tariffs on premium Harley-Davidson motorcycles (800cc and above) as part of a new trade framework.

A recent trade framework between India and the United States will grant zero-duty access for certain premium Harley-Davidson motorcycles in India. This agreement, expected to be signed by mid-March 2026, will eliminate tariffs on U.S. motorcycles in the 800cc to 1,600cc segment and above.

The move follows previous criticisms from the U.S. regarding India's high import duties on Harley motorcycles, which were seen as hindering market competition. While India had reduced duties on motorcycles up to 1,600cc from 50% to 40% last year, the new framework provides full tariff elimination for qualifying bikes. Although this is a significant development, experts suggest that volume gains for Harley-Davidson in India's niche high-capacity segment might not be substantial, as the broader Indian motorcycle market is dominated by sub-500cc bikes.

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