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 The European Union has revoked Harley-Davidson's import status, raising its tariff from 6% to 56%. ... [+] Photo: Robert Alexander/Getty Images 
 
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American motorcycle manufacturer Harley 
 
 HOG 
 -Davidson will launch an immediate appeal after being stung by a crippling European Union tariff of 56%. 
 
Sales of the distinctively warbling two-cylinder bikes have been subject to a 6% tariff, but the Economic Ministry of Belgium notified Harley-Davidson that its tariff status has changed, effective from June this year. 
The Milwaukee-based company’s tariff rate has changed because the EU has revoked its Binding Origin Information (BOI) credentials, with immediate effect. 
&#34;This is an unprecedented situation and underscores the very real harm of an escalating trade war to our stakeholders on both sides of the Atlantic,&#34; Chief Executive Jochen Zeitz said in a statement. 
 
&#34;The potential impact of this decision on our manufacturing, operations and overall ability to compete in Europe is significant. 
“Imposing an import tariff on all Harley-Davidson motorcycles goes against all notions of free trade and, if implemented, these increased tariffs will pose a targeted competitive disadvantage for our products, against those of our European competitors.&#34; 
 
(Despite the impassioned statement, this is the same Harley-Davidson that applied to the US Tariff Commission for a 40% import tax on motorcycles in 1952.) 
The BOI credentials allowed Harley to operate at the lower tariff with bikes from its international plants, but their removal creates a crisis for the brand. 
 
In June, 2018, the EU levied a 25% incremental tariff on motorcycles imported from the EU. It now sits at 31% and is slated to reach 50% on June 1, 2021. 
On the flip side, the United States import tariffs on European motorbike makers, ranging from Ducati to BMW, sit at 1.2% for engines of up to 800CC and 2.4% for larger engines. 
 
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American motorcycle manufacturer Harley-Davidson will launch an immediate appeal after being stung by a crippling European Union tariff of 56%.

Harley-Davidson Smashed With 56% EU Tariff, Will Appeal