Polestar loses US clearance for 2027 model-year vehicle imports
The Commerce Department decision blocks Polestar from bringing new 2027-and-later models to the US under connected-car rules tied to China.
By Hana Yoshida · Markets Reporter
2 min read
The US Commerce Department has declined to authorize Polestar to import new vehicles for the 2027 model year and beyond, Polestar said. The decision puts the electric-vehicle brand’s future US sales under pressure because it applies to federal rules restricting connected cars from automakers with Chinese ties.
Polestar said it will keep selling its current inventory of Polestar 3 and Polestar 4 SUVs in the United States. The company also said it will continue supporting existing customers through its service network.
The ruling means future Polestar vehicles, including the Polestar 5 sedan and Polestar 6 roadster, are not expected to reach the US market under the current authorization status. Polestar had been seeking approval from US authorities to comply with the new rules, according to Ars Technica.
China-linked ownership drove the review
Polestar was separated from Volvo Cars several years ago as an EV-focused brand. Its corporate parent is Zhejiang Geely Holding, a Chinese company that also owns auto brands including Lynk and Co and Zeekr, according to Ars Technica.
The Commerce Department rules target connected-vehicle software and hardware from automakers with Chinese links, citing security concerns. The department had approved Volvo to import 2027 model-year vehicles only weeks before Polestar disclosed that its own request had been denied, according to Ars Technica.
The decision comes despite some Polestar production being outside China. The Polestar 3 SUV is assembled at Volvo’s plant near Charleston, South Carolina, while US-bound Polestar 4 SUVs were built in South Korea, according to Ars Technica. Much of Polestar’s manufacturing remains in China.
Company points to growth outside the US
Polestar Chief Executive Michael Lohscheller said the auto industry is shifting along regional lines and that the company’s plans reflect that change. He said Europe is Polestar’s main growth driver and cited the company’s plan to build the 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,” Lohscheller said. He added that Polestar will continue investing in markets where it sees room to expand, including Southeast Asia, Eastern Europe, Latin America and Canada.
The company did not say that it would stop operating in the United States altogether. Its statement focused on selling existing vehicles and maintaining customer support, while pointing future growth efforts toward other regions.
This story draws on original reporting from Ars Technica.