Harley Narrows Plant Options

Harley-Davidson Inc. management said Wednesday that Shelbyville, Ky., now is the only location being considered for a new factory should the Milwaukee heavyweight motorcycle manufacturer decide to close its assembly plant in York, Pennsylvania.

Harley-Davidson has been conducting an assessment of how best to achieve long-term competitiveness and sustainability for its Touring and Softail motorcycle production operations, either through restructuring and maintaining the operations in York, or relocating them to an alternate location in the United States.

The company has now narrowed the focus of its alternate site analysis to Kentucky, and expects to make a final decision on whether to relocate or remain in York by the end of the year, Harley-Davidson management said.

Company representatives met this week with Kentucky officials to further explore plans and options. At the same time, Harley-Davidson management said that a joint union-management task force has developed a plan to restructure the York operations that provides a “viable path to competitiveness,” pending the ratification of a new contract that aligns with restructured operations.

Company management and the union representing hourly workers at the York plant are currently engaged in contract negotiations.

Harley-Davidson initially had considered four alternate locations: Kansas City; Shelbyville, Ind., near Indianapolis; Murfreesboro, Tenn., in suburban Nashville; and Shelbyville, Kentucky, near Lexington.

Shelbyville has a population of 10,000 and is located in the north central portion of the state.