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Harley-Davidson Slashing Jobs as Tariffs Erase Profits
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Harley-Davidson notified an undisclosed number of workers that it would reduce its global workforce, Wisconsin Public Radio reported. A company spokesperson confirmed the layoffs but did not specify the number of impacted workers or where they work. WPR cited the sub-district director of the United Steelworkers District 7, who stated that none of the union’s 500-plus members at Harley-Davidson facilities in Milwaukee or Menomonee Falls, Wisconsin, will be affected by the job cuts. Most Read in Manufacturing Hyundai Halts Palisade SUV Sales After Fatal Power Seat Incident Volvo to Close 40-Year-Old Business, Cites Rising Supply Chain Costs New Ferrari Has Old Mazda's Name, Setting Up Trademark Battle Podcast: Seafood Robots; Yamaha Leaves CA; Honda Kills 3 EVs The motorcycle manufacturer recently reported a 26% drop in profits from 2024 and an operating loss of $29 million in 2025. It added that new or increased tariffs cost the company $67 million in 2025 and posted a fourth-quarter gross profit loss of $30 million, compared to a $3 million loss in the same period in 2024, which it partially attributed to rising tariff costs. The company estimates that tariffs will cost it between $75 million and $105 million in 2026. During Harley-Davidson’s February earnings call, CEO Artie Starrs said the company’s “manufacturing capacity and overall operating expenses are built for materially higher volumes than today’s demand” and added that it plans to address the “mismatch,” with more details expected in May. Starrs, who took the CEO role last October, said Harley-Davidson remains in the early stages of a reset and anticipates at least $150 million of annual run-rate savings beginning in 2027. He also said the company’s broad realignment will focus on “healthier inventory levels, improved product mix, simpler and more effective rider engagement programs and greater flexibility to reflect local market conditions.” Click here to subscribe to IEN's daily newsletter for manufacturing news you won't read anywhere else.
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