Polestar to Exit US Market Starting with 2027 Model Year

Polestar has confirmed it will stop selling cars in the United States beginning with the 2027 model year due to a new US regulation that blocks the import and sale of connected vehicles tied to China or Russia. The restriction, part of the US Connected Vehicles Rule announced in 2025, specifically targets vehicles with connected technology linked to those countries. Polestar, which is co-owned by Volvo and China’s Geely Holding Group, will still be allowed to sell its current inventory of Polestar 3 and Polestar 4 models in the US.

The company will also maintain its service network for existing customers. According to Polestar’s press release, 94 percent of its retail sales in Q1 2026 came from markets outside the US. The automaker did not specify whether it plans to introduce new models in the US after 2027 or if it will shift focus entirely to other regions.

Volvo, also owned by Geely, has already secured authorization to continue selling vehicles in the US under the same rule. Meanwhile, Ford is reportedly seeking approval for its China-built Lincoln Nautilus SUV. Polestar’s exit marks a significant setback for the brand, which launched as a standalone entity less than a decade ago and had gained traction in global markets despite modest US sales.

The company has not disclosed financial impacts or long-term strategy adjustments related to the US market exit.