News On Japan

Fair Trade Commission Raids Harley-Davidson Japan

TOKYO, Jul 30 (News On Japan) - The Fair Trade Commission has launched an on-site investigation into the Japanese subsidiary of the American motorcycle giant Harley-Davidson, suspecting it of imposing excessive sales quotas on its dealers in violation of antitrust laws.

According to sources, Harley-Davidson Japan allegedly set unreasonably high sales targets for its authorized dealers starting around 2020 to 2021. These quotas were reportedly difficult to meet through normal business operations. Dealers were informed that failure to meet these targets could result in the non-renewal of their dealership contracts.

Some dealers resorted to purchasing motorcycles themselves to meet the quotas, while others faced financial strain and eventually went out of business. Additionally, there are allegations that dealers were forced to buy models they did not want.

The Fair Trade Commission is investigating the details, believing that Harley-Davidson Japan exploited its strong position over the dealers to enforce these practices repeatedly.

Source: ANN

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