Thursday, December 18, 2008

AMA Fighting Proposed Tariffs Against Euro Motos

Not sure why the Bush Administration is doing anything a month before it is booted out of office. Can't they just stand in the center of the room with hands on noses so they don't mess anything else up? This might give the Chinese another advantage in the scooter price wars....

Here is a news item from the American Motorcycle Association on it:

AMA fights possible 100 percent tariffs on certain European motorcycles

The AMA announced today (12/5) that it has written to the Office of the U.S. Trade Representative opposing a plan that could double the cost of some European motorcycles imported into the United States.

The plan being considered by U.S. trade officials would impose a 100 percent import duty on more than 100 European goods -- including two engine displacement categories of motorcycles, 51cc to 250cc, and 251cc to 500cc.

The federal measure is designed as retaliation to the 27-member European Union's continuing import ban on American beef treated with growth hormones. EU officials haven't lifted that 20-year-old ban, despite a World Trade Organization (WTO) order to end it.

If U.S. officials impose the retaliatory tariff, it would double the price of a host of under-500cc on- and off-highway machines from brands such as Aprilia, Beta, BMW, Fantic, Gas Gas, Husaberg, Husqvarna, KTM, Montesa, Piaggio, Scorpa, Sherco, TM and Vespa.

"There is no logical link between European motorcycles and the dispute over beef," said Ed Moreland, AMA vice president for government relations, in his comments submitted to the Office of the U.S. Trade Representative. "Imposing these stiff tariffs on motorcycles would do nothing to resolve the trade dispute, but would punish American buyers of European motorcycles."

The AMA's comments make a strong argument that motorcycles have no business being used as a lever in a dispute over beef.

Read more about it here.

No comments: