Harley-Davidson net income drops 81% amid tariff costs

Harley-Davidson's net income plunged 81% to $25 million in the latest quarter, down from $133 million a year earlier, despite a rise in motorcycle sales. The steep decline was driven by tariff costs and a restructured financial services division. The company faced higher expenses from steel and aluminum tariffs imposed by the Trump administration, as well as retaliatory tariffs from the European Union. Harley-Davidson has been shifting some production overseas to mitigate the impact, but the costs continue to weigh on profitability. The financial services division also underwent restructuring, affecting earnings. The results highlight the challenges traditional manufacturers face amid global trade tensions.