In September 2024, the world-famous motorcycle manufacturer Harley Davidson announced the closure of its dealerships in New York. For many, this was an unpleasant surprise, and for owners of the brand’s products, it was also a serious problem. Several objective and non-objective reasons caused this decision by the company’s management. Some took it with a smile, while others – with a feeling of concern for the future of the legendary manufacturer. There is no certainty yet, so Harley Davidson experts and customers have the opportunity to speculate on the company’s current state and try to predict the events of the first months of 2025. However, only by fully immersing themselves in this topic can one draw certain conclusions and understand the prospects of the popular American brand.
Briefly about Harley Davidson
Harley Davidson is the most famous motorcycle manufacturer. It began work in 1903, after which it survived two world wars, the Great Depression and many other complex events. Despite this, throughout its 122-year history, the company has always remained ahead of the competition and offered the best two-wheeled transport in the world.
For many generations, the iconic American brand has become a symbol of freedom and adventure. It was the first to create motorcycles with a unique design and became the author of the Chopper style. Harley Davidson is often associated with large and heavy two-wheeled transport. Its model range has always included cruisers, distinguished by large-volume engines and air cooling. These motorcycles also stood out for their versatility, safety, comfort and the presence of many valuable additions.
Harley-Davidson produces its motorcycles in the USA, Brazil, and Thailand factories. The manufacturer also has several subsidiaries on different continents. In addition to two-wheeled transport, the Harley Davidson brand produces various components, clothing and valuable accessories for motorcyclists, decorative items, toys and much more. Thanks to this, the company simultaneously develops several directions and strives to popularize its primary products. Among the most famous models are Model 5 Series (1909), 11F (1915), Model D (1929), EL Knucklehead (1936), WR Racer (1946), XL Sportster Ironhead (1957), Electra-Glide (1965), XLCR 1000 (1977), FXRP (1985), Fat Boy (1990), FXSTB Night Train (2009), Switchback FLD (2016) and others.
The situation with the closure of dealerships in New York
The state-famous dealership at 4211 Northern Boulevard (Long Island City, Queens, New York) closed its doors on September 28, 2024. After that, two-wheeled transport and various branded accessories could be bought only from local company dealers. The wrecked Ford auction sold cars from different manufacturers and Harley-Davidson motorcycles. A week after the establishment closed, the service department also stopped working. During this time, it managed to complete all previously opened orders.
Before the dealership closed, Harley-Davidson sold almost all of its used motorcycles. This was possible because the company significantly reduced the cost of two-wheeled transport. The company also reduced interest rates and eliminated the need for a down payment. Customers also received discounts on branded clothing, motorcycle accessories, and other goods.
Reasons for making radical decisions
As soon as the closure of the Harley-Davidson dealership in New York was announced, the owner of this establishment, Paul Veracka, published his comment on the website. In it, he clarified some critical points and named several reasons for making a radical decision. The main one was the economic situation. Harley-Davidson did not have enough funds to maintain its dealerships, and the company’s management decided to close most of them.
The company’s difficult situation explains the lack of money to maintain the dealership in New York. According to a report published at the end of 2024, the problem is quite serious, and Harley Davidson representatives predict further deterioration. Therefore, they decided to reduce costs as much as possible and stabilize the situation.
Paul Veracka stated that the second significant reason was the lack of suitable premises in New York for moving the dealership. Harley Davidson representatives considered moving to another address as the primary option for reducing the costs of maintaining the establishment. However, having failed to find optimal solutions, the company agreed to take radical measures.
In addition to the announced reasons for the dealership’s closure in New York, others can be easily found. All of them, one way or another, influenced the situation and led to such a negative outcome. The main reason, unnamed by Paul Veracka, is a sharp decline in Harley Davidson motorcycle sales. If we look at the numbers, then in the third quarter of 2024, this figure was -10% compared to the previous reporting period and -13% – compared to 2023. In the last quarter of 2024, the situation remained approximately the same. At the beginning of 2025, Harley Davidson representatives expect a decline of another 6%-8%. Also, during these periods, there was a drop in spare parts sales by 6%-7%.
Reaction of experts and fans of the brand
The fact that Harley Davidson is closing its dealerships in New York and other states has become a real sensation. This event has divided fans of the brand into optimists and pessimists. The former saw in this decision a real benefit to the company and an opportunity to improve its financial situation. At the same time, the latter called the closure of dealerships the first stage of the liquidation of Harley Davidson. Both options have the right to exist, but the actual development of events will be seen closer to the end of the first quarter of 2025. The company’s income/loss report will be generated, and a further action plan will be announced.
Experts’ opinions on current events were also divided. All expressed their hypotheses or repeated the words of official Harley Davidson representatives. In some cases, experts saw positive aspects; in others, they saw negative ones. At the same time, most experts still believe that the famous American motorcycle manufacturer will continue its activities. Still, it will do so a little differently than it did before last fall.
The closure of dealerships in New York and other American states is not the end of Harley Davidson. The company’s management sees a way out of the current situation and plans to return to the top of the world. For experts and fans of the brand, this is good news, but it is still too early to relax. The difficult economic situation and low demand for motorcycles can ruin any plans. If this does not happen and Harley-Davidson can solve the problem, then the resumption of work for dealerships throughout the United States will only be a matter of time.
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