Archived posting to the Leica Users Group, 1997/02/22

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Subject: Re: Harley Davidson thrives (off topic)
From: creadick@mindspring.com (Nowell & Jennifer Creadick)
Date: Sat, 22 Feb 1997 11:41:05 -0500 (EST)

Don...do you remember how "sliding" that scale was and for how long it
lasted?   Chrysler did repay their loans..on time I think, and they have of
course recovered well also.  Pricks holes in my intuitive skepticism of
government involvement in such things.  It is my understanding that Germany
invokes pretty high tarrifs on many things in order to try to protect local
producers.  I know Mercedes are used as taxis!   Does anyone know the
tarrif rates on non-German cameras?

At 9:00 AM 2/22/97, Don Bledsoe wrote:
>Hello Nowell,
>
>>> Don Bledsoe wrote about Harley Davidson upgrading their product to
>compete  successfully in today's market...Actually Don they got the US
>government to pass such high import taxes on Japanese motorcycles ( 50%
>range I think)<<
>
>It was 45% on motorcycles over 750cc (nothing on smaller models) and lasted
>at that rate only a year with a sliding scale downwards.  It was known as
>the infamous "protect act."  As you suspect, it did no more than give them
>a bit of breathing room, and even that is doubtful.  The Japanese were
>already in the process of moving motorcycle production facilities into
>north America.  The Japanese tried every trick in the book to thwart it,
>making all their then most popular best selling size (750cc) motorcycles
>into 700cc jobs and producing the bigger models that were aimed
>specifically at the HD market class here.  The point that needs to be made
>about that little bit of Government interference on behalf of HD is that HD
>did not rest on their laurels, they got a small break and took full
>advantage of it.
>
>I suspect the German government would do something similar for Leica though
>it would have little meaning in the US.  But Leica is in nowhere near as
>bad of shape as HD was.
>
>HD's help from the Government was nothing compared to the Chrysler bailout.
> That one put cash in the automakers pocket, direct from the taxpayers.
>
>Regards, Don

Chapel Hill, NC

Although love may fail, courtesy should prevail.