Poonam Nath

Good news for cruisers and tourers: Harley Davidson gets cheaper - Government reduces import duties on high-capacity bikes

Digital Desk: The Indian government unveiled the Union Budget 2025, which includes measures to support the expansion of the nation's EV sector.

The government has also reduced import taxes on motorcycles with large capacities. It is anticipated that several motorbike manufacturers will gain from this government action. In particular, fully built-up units (CBUs) with engine sizes above 1600 cc will be affected.

The import duty will be lowered from 50% to 30% for CBUs having a capacity of more than 1600 cc.

At the same time, the percentage of semi-knocked down units (SKDs) will be lowered by 5%, reaching 20% from 25%.

Meanwhile, the tax on completely knocked down units (CKDs) will be reduced from 15% to 10%.

The action follows US President Donald Trump's criticism of the nation as a "tremendous tariff maker." As a result, the move to lower import taxes is seen as a good gesture toward the US.

Yet as stated by Finance Minister Nirmala Sitharaman, the customs duty adjustment was made to encourage independence in the Indian economy rather than in reaction to Mr. Trump's tariff declarations.

Few brands anticipated that their product prices would drop in India. This includes Harley Davidson, a well-known American motorbike company. Additionally, several manufacturers in the UK and Italy are anticipated to gain from lower import taxes.