Harley-Davidson Inc. has slashed its profit margin forecast for this year due to the expected damage from tariffs prompted by President Trump Donald John TrumpBiden on Trump's refusal to commit to peaceful transfer of power: 'What country are we in?' Romney: 'Unthinkable and unacceptable' to not commit to peaceful transition of power Two Louisville police officers shot amid Breonna Taylor grand jury protests MORE.

Bloomberg reports that the company's operating margin will drop to roughly 9.5 percent, after initially projecting a margin of as much as 10 percent.

The change in profit forecast comes after the company announced it would move production of motorcycles bound for European countries out of the United States due to high European Union (EU) tariffs.

Harley-Davidson Inc. said at the time that it would not raise its prices due to “an immediate and lasting detrimental impact to its business in the region," according to the AP.

The EU announced in June that it would implement retaliatory tariffs on U.S. goods in response to steep steel and aluminum duties imposed by the Trump administration.

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Trump has also imposed tariffs against Canada, Mexico and other U.S. allies, as well as China. Domestic and foreign lawmakers have expressed concerns that the president's policies are fueling a global trade war.

Trump attacked Harley-Davidson in June for its decision to move production abroad and accused the company of using tariffs as an "excuse" to relocate.

"Surprised that Harley-Davidson, of all companies, would be the first to wave the White Flag. I fought hard for them and ultimately they will not pay tariffs selling into the E.U., which has hurt us badly on trade, down $151 Billion. Taxes just a Harley excuse - be patient!" Trump wrote on Twitter.

Trump has fiercely defended his tariffs, taking to Twitter on Tuesday morning to say that "tariffs are the greatest."

"Tariffs are the greatest! Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs," Trump wrote. "It’s as simple as that - and everybody’s talking! Remember, we are the 'piggy bank' that’s being robbed. All will be Great!"