Canada Imposed 50 Percent Tariffs on US Motorcycles
New import taxes on bikes with engines over 800cc may significantly increase costs for Canadian buyers.
Updated on Sept. 29, 2026 in Motocycles
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Canada implemented a 50 per cent tariff on motorcycles built in the United States with engines larger than 800cc starting September 8, 2026. The move affects most models from Harley-Davidson and Indian Motorcycle, potentially leading to higher retail prices.
Why it matters
The tariffs resulted from a breakdown in trade negotiations between Canada and the United States, directly impacting the cost of ownership for prospective buyers. With the tax applying to the customs value of imported bikes, final retail prices in Canada could rise substantially.
The 50 per cent tariff applies to Harley-Davidson and Indian Motorcycle models over 800cc. Sales trends show 3,735 Harley units were sold in Canada during the first six months of 2026, compared to 3,912 during the same period in 2025.
The players
Harley-Davidson
An American manufacturer known for large-displacement cruiser motorcycles that currently face significant import duties in Canada.
Indian Motorcycle
A historic American motorcycle brand whose current line-up is largely subject to the new Canadian import tariffs.
The details
The tariff is calculated based on the customs value of motorcycles manufactured in the United States and imported into Canada. Because the levy is applied at the border, manufacturers and dealers must now decide how much of this cost to absorb versus how much to pass on to the customer. Consequently, retail prices for these motorcycles could double in the Canadian market, creating a significant hurdle for brand loyalists.
Timeline
Harley-Davidson sold 6,434 motorcycles in Canada throughout 2025.
During the first six months of 2025, Canadian sales reached 3,912 units.
Sales for the first six months of 2026 totaled 3,735 units.
The retaliatory tariffs were officially introduced on September 8, 2026.
The Home Front
These new tariffs represent a major shift in international trade costs for imported recreational vehicles. The move follows the breakdown of bilateral negotiations and suggests a challenging period ahead for Canadian dealers who rely on US-manufactured inventory.
If you are planning to purchase a new motorcycle, expect significantly higher prices or limited availability for US-made models over 800cc. Check with local dealerships regarding their current pricing strategies before finalizing any purchase agreements.
The takeaway
The recent tariff increase will likely dampen 2026 sales numbers, making it difficult to match the 6,434 units sold in Canada during 2025. Monitor local dealership inventory and pricing disclosures closely if you are considering a new motorcycle purchase.
Further reading
For more on market trends and industry news, visit our Motorcycles section.
Source note: This article includes information reported by Visordown.
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