U.S. Bans Polestar From Selling Cars As It Stretches The Definition Of 'Chinese EV'

The federal government's fear of Chinese EVs has pushed a manufacturer out of the American market. Polestar announced on Thursday that the U.S. Department of Commerce did not grant authorization for the automaker to continue selling vehicles in the United States. The Chinese-owned Swedish EV manufacturer will sell its existing stock of Polestar 3 and Polestar 4 vehicles, with the ban taking effect for the 2027 model year. It should also be noted that the Polestar 3 is exclusively produced in Ridgeville, South Carolina, and the 4 is built in South Korea.

According to the Department of Commerce's Bureau of Industry and Security, Polestar has fallen foul of its Connected Vehicle Rule, which prohibits connected vehicles with hardware or software tied to China or Russia from being sold in or imported into the United States. The rule was enacted during the Biden administration's final days in January 2025. Polestar is based in Sweden but is majority-owned by the Chinese auto giant Geely. Volvo (also majority-owned by Geely) was in the exact same predicament, but received approval from the Trump administration last month to continue U.S. sales.

Polestar emphasized that it will shift its focus to Europe and noted that 94% of its 2026 Q1 retail sales volume was outside the United States. However, if a Polestar is sitting in your garage, you won't be left high and dry by the brand's sudden exit from the market. The automaker stated that owners will still have access to its service network. A Polestar spokesperson told Jalopnik:

"Supporting our customers remains our highest priority. Existing Polestar owners and lease customers will continue to receive the same level of support and access to service as they do today. All existing warranties remain in effect and will continue to be honored in accordance with their terms and conditions."

Don't expect Washington's hostility to Chinese electric vehicles to end anytime soon, regardless of which party controls Congress. In April, Democratic Senators Chuck Schumer, Tammy Baldwin and Elissa Slotkin pushed back against comments made by President Trump suggesting that Chinese automakers could build factories on American soil. The lawmakers claimed that it would threaten national security, while other foreign automakers are allowed to collect a torrent of data from U.S.-built cars.