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The company is discontinuing sales and manufacturing operations as part of additional restructuring measures that were reported to employees on September 24.
As a result, about 70 people will be fired.
The costs associated with the termination of operations in India are expected to be in around $ 75 million, and the total restructuring costs will reach about $ 169 million this year.
Harley's withdrawal from India seriously undermines Prime Minister Narendra Modi's efforts to attract and retain foreign manufacturers in the midst of the country's worst economic downturn in decades, Bloomberg said.
A few weeks ago, the Japanese automaker Toyota Motor Corp. said it had no plans for further expansion in India due to high taxes. American automaker General Motors left the country in 2017, while Ford Motor, which has struggled to gain a foothold in the market for over two decades, last year agreed to transfer most of its assets to a joint venture with Mahindra & Mahindra Ltd.
At the end of July, Harley warned of changes in the business structure that would lead to the company's withdrawal from several markets and the optimization of its product line. The company posted its first quarterly loss in more than a decade in the second quarter ended June.
source: bloomberg.com
As a result, about 70 people will be fired.
The costs associated with the termination of operations in India are expected to be in around $ 75 million, and the total restructuring costs will reach about $ 169 million this year.
Harley's withdrawal from India seriously undermines Prime Minister Narendra Modi's efforts to attract and retain foreign manufacturers in the midst of the country's worst economic downturn in decades, Bloomberg said.
A few weeks ago, the Japanese automaker Toyota Motor Corp. said it had no plans for further expansion in India due to high taxes. American automaker General Motors left the country in 2017, while Ford Motor, which has struggled to gain a foothold in the market for over two decades, last year agreed to transfer most of its assets to a joint venture with Mahindra & Mahindra Ltd.
At the end of July, Harley warned of changes in the business structure that would lead to the company's withdrawal from several markets and the optimization of its product line. The company posted its first quarterly loss in more than a decade in the second quarter ended June.
source: bloomberg.com
