Barring further turnarounds, Chinese-owned EV maker Polestar will have to exit the U.S. market. This is the latest development in the ongoing tariff conflict between the United States and China.
According to a report by Reuters earlier today, the automaker did not secure permission from U.S. authorities to sell 2027 model-year vehicles in the United States.
While Polestar was established by Volvo and is based in Sweden, the automaker is owned by Chinese auto giant Geely. As it happens, the Polestar 3 is built in South Carolina, but that isn’t saving the company’s hide stateside - the company won’t be able to sell the vehicle within its country of assembly.
A small silver lining is that the company will be allowed to continue liquidating its existing U.S. inventories of the Polestar 3 and Polestar 4.
Also as per Reuters, Polestar has had little success making inroads into the U.S. market to date. Generally speaking, the automaker has concentrated its primary development efforts in Europe.
Meanwhile, Polestar is continuing its operations in Canada, where its corporate headquarters are located in Mascouche, Quebec.
Service to remain available for owners
Despite the decision by U.S. authorities, Polestar will continue to provide support to American owners of its vehicles. Those who already own a Polestar vehicle can continue to have it maintained and serviced at their local dealership.
The Polestar 2 returns to Canada
Auto123 recently learned that the Polestar 2 is making a comeback in Canada. The manufacturer’s Canadian division had previously removed the model from its vehicle lineup due to the 100-percent surtax imposed by the Canadian government on Chinese-made electric vehicles. Now that the surtax has been lowered to 6.1 percent (on a limited number of vehicles), the automaker is bringing the product back to the market. This time, only a dual-motor, all-wheel-drive configuration will be offered.
The 2027 Polestar 2, which will thus not be offered in the U.S., features a starting price of $69,900 in Canada. Aside from a more powerful processor, the model is essentially identical to the one sold prior to the inventory interruption.