Harley-Davidson will open an assembly plant in Haryana, India

Harley-Davidson will open an assembly plant in Haryana, India and plans to have it running by the middle of next year to feed the Indian market.

Workers will build bikes from component kits supplied by U.S. plants. The company expects the CKD (complete knock-down) assembly facility to be operational in the first half of 2011.

“CKD assembly operations in India are a natural next step for Harley-Davidson as we build our brand presence around the world,” said president and COO Matthew S. Levatich. “This investment will allow us to improve our market responsiveness and production flexibility while reducing the tariff burden, which we expect will drive growth over time by making our bikes more accessible to India’s consumers. Given the strong response we have received in the initial months of retail operations, we believe this is the right investment for this important market.”

The company opened its first Indian dealership in August and plans to have five open by the end of the year. Those stores have been selling American-made bikes. Some models will continue to be imported as completely built motorcycles “for now,” the company says..

The Motor Co. also has a CKD plant in Brazil.

Posted by Holly Wagner at Dealer News

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