For the moment, only prices in Europe will increase an average of $US2200 (almost $A300, €1880) in the northern autumn after the European Union placed a 25% tariff on American goods, including American-made bikes.
This was in retaliation to President Donald Trump placing import tariffs of 25% on steel and 10% on aluminium.
That means Harley and Indian are getting hit at both ends – by more expensive steel and aluminium at the manufacturing end and tariffs at the sales end.
So far only Harley has announced it will lift prices in Europe.
While Harley sells about 40,000 motorcycles a year in Europe, Indian still has negligible sales on the continent, although it is a big market for off-road vehicles and snowmobiles from parent company Polaris.
A price hike in Europe would be a disaster for Harley as it is one of only two regions in the world where sales rose last year. They were up 6.8% in the Europe/Mid East region and up 7% in Latin America.
Worldwide, Harley’s sales dipped 7.2% last year and rose just 0.2% in international markets.
Trump seems determined to end the era of globalisation and the fallout is still very uncertain.