Harley-Davidson and Hero MotoCorp Announce Distribution Agreement for India

Marco Green
October 27, 2020

In September, Harley Davidson called it quits in India. The press release states that as per a new licensing agreement, Hero will develop and sell a range of premium motorcycles under the Harley-Davidson brand. The statement goes on to say that retail will be via brand-exclusive, Harley-Davidson dealerships as well as Hero's existing dealers in India. ("Harley-Davidson"), the legendary motorcycle manufacturer and Hero MotoCorp, the world's largest maker of motorcycles and scooters in terms of unit volumes, today announced that the two will ride together in India.

Earlier this year, HD joined forces with Chinese motorcycle maker, Zhejiang Qianjiang, which is the mother company to Benelli.

Embarking on a new journey together, Harley-Davidson, Inc. The new premium motorcycles which will be developed as a part of this agreement will most probably be small to mid-capacity motorcycles and should be built in India, giving Harley the edge in terms of development and manufacturing costs. We believe there are strong chances of the latter. Watch this space for further developments. Hero MotoCorp now sells its products in more than 40 countries across Asia, Africa, Middle East, and South and Central America.

From its entry to exit, Harley Davidson's journey in the country witnessed the governments of India and the USA using the company as a bargaining chip. We believe this will also give leverage to Harley-Davidson to enter these markets using the Hero MotoCorp network. Further, we also believe that Harley-Davidson will retail the Hero developed motorcycles through its dealership network in the global markets as well.

Harley-Davidson and Hero MotoCorp have officially confirmed a distribution agreement that will now allow Hero MotoCorp to sell and service bikes of the former in the Indian market. However, it does not mention details of what happens to the existing Harley-Davidson dealers in the country.

We have to wait and see if Hero takes over all of Harley's dealerships or begins new ones in their place.

Other reports by Click Lancashire

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