Polestar’s US future at risk after federal import ban from 2027

Polestar’s ambitions in the US market face a major setback after federal regulators denied the Swedish electric vehicle (EV) brand authorization to import vehicles starting in model year 2027. The decision stems from a Commerce Department rule targeting connected car technologies from automakers with ties to China, a move designed to address national security concerns.

In an official statement, Polestar confirmed it would continue selling its existing inventory, including the Polestar 3 and Polestar 4 SUVs, while maintaining customer support and service access. However, future models such as the upcoming Polestar 5 sedan and Polestar 6 roadster will not be available in the US under the new restrictions. The company did not specify whether it would explore legal or regulatory avenues to challenge the decision.

The denial highlights the growing scrutiny facing international automakers with Chinese ownership in the US market. Polestar was originally spun off from Volvo Cars, itself owned by Zhejiang Geely Holding, a Chinese conglomerate that also controls brands like Lynk & Co and Zeekr. Despite these connections, Volvo secured federal approval in May to bypass the ban for its 2027 models, raising questions about the criteria applied to Polestar’s case.

Polestar had previously indicated it was collaborating with US authorities to comply with regulations, but those efforts ultimately proved unsuccessful. The company’s reliance on Chinese-linked supply chains and technology may have played a role in the decision, as federal guidelines increasingly prioritize domestic security over market access for foreign-owned brands.

For Polestar’s US customers, the immediate impact is limited since existing vehicles remain on sale and supported. However, the absence of new models could erode long-term competitiveness in a rapidly evolving EV landscape. Competitors like Tesla and Rivian, which operate with different ownership structures, may benefit from the regulatory gap, potentially reshaping the premium EV segment in America.

Looking ahead, Polestar’s ability to navigate these restrictions will depend on its relationship with both US regulators and its Chinese parent company. Whether the brand can adapt its supply chain or technology partnerships to meet federal standards remains an open question—one that could determine its future in one of the world’s largest automotive markets.