Legendary US motorcycle manufacturer Harley-Davidson has announced plans to move some of its production activity out of the US, to avoid newly introduced European Union tariffs.

The EU has imposed a 25% tariff on US manufactured motorcycles, and other goods, in response to new US tariffs on steel and aluminium coming from EU member-states.

Harley-Davidson is concerned that the increased cost resulting from the tariff will be detrimental to sales in its international market, which it has been actively trying to expand.

Many view US trade policy under Donald Trump as increasingly hostile and aggressive. Observers will be wondering what impact this backlash by such a prominent US brand will have.