In a recent statement, Sweden-based electric vehicle manufacturer Polestar confirmed they have been stopped from selling vehicles in the U.S. from model year 2027 onwards.
This follows the recent decision from the U.S. Department of Commerce’s Bureau of Industry and Security, which did “not grant Polestar an authorization under the current Connected Vehicle Rule to sell vehicles in the U.S. from model year 2027 onwards.” Polestar will continue to sell its existing stateside stock of vehicles, including the U.S.-made Polestar 3 and South Korean-made Polestar 4, and supporting customers beyond the point of sale.
Polestar, along with its sister company Volvo, are owned by Geely, an automotive company based in China. The U.S. has been cracking down on imported technology from China, holding it to new security requirements enacted last year. Volvo was recently given the greenlight; however, the same pass was not handed to Polestar.
The center display in a Polestar 2.
This was framed by Polestar as “increasing its strategic focus on Europe, which currently represents close to 80% of the Company’s retail sales volumes, by continuing to expand its sales network and preparing to localize the manufacturing of future models.” According to Polestar, 94% of the company’s sales in the first quarter of 2026 are from non-U.S. markets, indicative of the brand’s ability to bolster itself in other regions.
“The automotive industry is entering a new phase, based on regional dynamics,” said Polestar CEO, Michael Lohscheller. “Our strategy reflects that, with Europe being our largest growth engine and our plan to manufacture Polestar 7 in Europe. Our record sales in 2025 and the first quarter of 2026 show that we are making strong progress, with several new market launches taking place in Europe this year. In addition, we will continue to invest in markets where we have opportunities to continue to grow, like Southeast Asia, Eastern Europe, Latin America and Canada.”
How this shakes down for Polestar is anyone’s guess, but it’s most likely not the end of the automaker. And it’s not to say that recertification efforts in the future could lead to a U.S. return.
