Harley-Davidson’s $67 million tariff cost in 2025

Tariffs imposed by the Trump administration cost Harley-Davidson approximately $67 million in 2025.
The company anticipates tariffs will cost between $75 million and $105 million in 2026.
A 50% tariff on steel and aluminum accounted for roughly $31 million of the total cost.
Harley-Davidson is taking steps to mitigate the financial impact of the tariffs.
Tariffs imposed by the Trump administration cost Harley-Davidson Motorcycle Co. roughly $67 million in 2025.
A 50% tariff on steel and aluminum cost Harley-Davidson roughly $31 million. The country with the highest tariff impact was Canada, at 35%, which cost $8 million. Tariffs on China, Mexico, India, Thailand and the European Union cost the company $17 million.
“In 2025, the global tariff environment was more volatile and uncertain than we expected in the beginning of the year,” Jonathan Root, CFO and chief commercial officer at Harley Davidson, said during the company’s quarterly call on Feb. 11.
“In Q4 of 2025 the cost of new or increased tariffs was $22 million and for the full year of 2025 the cost of new or increased tariffs was $67 million.”
Tariffs on the rest of the world cost the company $11 million.
That total of $67 million is far below what the company was expecting last May when the company thought tariffs could be as high as $175 million.
The company does get some parts from China, which concerned company leaders as the Trump administration spoke about increasing tariffs. However a 90-day pause in China tariffs in May helped save the company millions of dollars.
Harley-Davidson expecting tariffs to continue to impact company
For 2026, the company is expecting tariffs to cost the company $75 million to $105 million.
“Harley-Davidson as a business is very centered in the United States,” Root said. “Three of our four manufacturing centers are U.S. based and 100% of our U.S. core product is manufactured in the U.S.”
Root added the company has a “U.S. centric approach to sourcing” with about 75% of component purchasing coming from the U.S.
Root said the company is taking steps to mitigate the impact of tariffs but is expecting the situation to remain fluid.
In its presentation to shareholders and analysts, the company said it is