In this Epoch Times article, Kimberly Hayek reports that the U.S. Commerce Department has denied authorization for Swedish EV maker Polestar to sell new vehicles in America starting with the 2027 model year due to its majority ownership by China’s Geely Holding and national security risks from connected vehicle technologies.
- Polestar, which will not appeal the decision, falls under the Connected Vehicles Rule banning imports and sales of vehicles with Bluetooth, Wi-Fi, cellular, and satellite systems tied to China over concerns of data collection on U.S. drivers and infrastructure vulnerabilities.
- Existing Polestar 3 and Polestar 4 models can continue to be sold, with service networks maintained for current owners, but no new models will be authorized after 2026.
- Only 6 percent of Polestar’s first-quarter sales came from the U.S., compared to 78 percent from Europe, and company shares dropped 6.3 percent following the announcement.
- Polestar CEO Michael Lohscheller emphasized a shift toward Europe as the primary growth market, with plans to manufacture the Polestar 7 there amid regional industry dynamics.
- The Polestar 3 is currently assembled in South Carolina by sister brand Volvo Cars, also owned by Geely, though Chinese production has not fully stopped and future plans remain under review.
- The rule, adopted in January 2025, is part of broader U.S. efforts to counter threats from Chinese and Russian-linked vehicle software and hardware that could enable foreign access to sensitive geolocation, mapping, and video data.
- Bipartisan legislation in Congress aims to further tighten restrictions, including scrutiny of vehicles routed through third countries, to protect national security from adversarial data harvesting.
Read the full story:
https://www.theepochtimes.com/us/us-blocks-polestar-from-selling-new-vehicles-in-2027-over-china-connections-6053727
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