India and US Accelerate Trade with Zero-Duty Motorcycle Access

India has announced zero-duty access for US motorcycles, particularly benefiting Harley-Davidson, as part of an interim trade agreement. The pact includes duty concessions on US cars and reduced import duties on motorcycles. This agreement is part of a broader US-India trade initiative to boost market collaboration.

India is set to provide zero-duty access to American motorcycle manufacturers for bikes with engine capacities of 800 to 1,600 cc and above, an initiative likely to benefit the renowned brand Harley-Davidson. This move comes as part of an interim trade agreement with the United States, as announced on Saturday.

Previously, India's import duties on motorcycles with engine capacities of up to 1,600 cc were reduced from 50 percent to 40 percent, while duties on those exceeding 1,600 cc dropped to 30 percent from 50 percent. The new zero-duty policy will activate upon the agreement's implementation, expected by mid-March.

In a related development, Hero MotoCorp and Harley-Davidson revealed a partnership aimed at expanding the Harley brand within India, which will involve Hero developing, selling, and servicing Harley models. The agreement also includes duty reductions on US cars and reciprocal tariff adjustments on certain auto parts.

(With inputs from agencies.)