https://www.cnet.com/roadshow/news/polestar-ev-ban-commerce-department-volvo-china/
Polestar, the Swedish maker of electric vehicles, will not be allowed to sell new vehicle models in the US. It says it will continue to sell existing stock of Polestar 3 and Polestar 4 models.
The Swedish manufacturer of electric vehicles, which became a distinct brand in 2017, revealed the ban in an SEC filing, which it paired with a press release this week announcing that it's shifting manufacturing to Europe.
It said in the release that it will continue to sell existing stock of its Polestar 3 and Polestar 4 vehicles in the US and to support customers through its service network.
A representative for Polestar told CNET in an email that, because of the Commerce Department's decision, the company has no plans to sell new cars in the US from model year 2027 onward, including the planned Polestar 7.
The company has marketed the Polestar 7 as a premium compact SUV. It's due out in 2028.
This decision isn't surprising: A 2024 letter from Polestar (PDF) to the Bureau of Industry and Security foreshadowed what would eventually happen. It said at the time that the agency's prohibitions could eventually lead the company to stop selling vehicles in the US, even ones it manufactures in South Carolina.
The US ban has not been posted on the Commerce Department's website or social media, but it's in line with the agency's directive to police technology from China that the government considers a potential security threat. This month, the department issued a $36 million penalty against Bosch for exporting sensors and auto software to Huawei.
In May, however, the Bureau of Industry and Security granted Volvo special authorization to sell its vehicles in the US after the auto company said it discussed its connected technology with the department.
A representative of the Bureau of Industry and Security did not immediately respond to a request for comment.
US agencies aren't just looking at the auto industry. The Federal Communications Commission has targeted consumer products including routers and drones that have technology made in China.
Polestar is not one of the top 10 EV manufacturers, lagging behind larger companies including Tesla, BYD and Volkswagen.
Electric vehicles only account for about 6.5 percent of the US auto market, according to industry watcher Edmunds. In the US, EVs are typically priced higher, and federal rebates to purchase these types of vehicles have been phased out.
With gas prices high this summer, consumers may be giving EVs another look, but concerns remain about pricing and range.
Some automakers are trying to boost the appeal of electric vehicles through lower-cost models. Slate is taking preorders for a basic, modular EV truck that costs $24,950 before delivery fees. Other EV models, such as the Chevrolet Bolt, can be found for about $30,000.
(Score: 4, Insightful) by Barenflimski on Friday July 03, @06:56PM (2 children)
I for one would be happy to invite the world market in. It would do these companies in 'merica some good to have some real competition. Feels like its been decades since they've had their feet to the competition fire.
These American cars are expensive, huge, and as connected or more connected than any imports would ever be. Heck, starting next year they'll be able to shut off all new cars remotely.
Pretty sure there are ways to block internet and mobile traffic to places you don't want it. Pretty sure if we can work out TikTak, we can work out data for other companies.
(Score: 2) by mcgrew on Sunday July 05, @03:37PM (1 child)
I must be missing something. I agree with you, more competition means lower prices. How is my buying a Polestar endangering national security?
Granted I only quickly scanned all the linked info, and it was noisy all night so my brain is quite lower than 100%, but is "national security" their "we can do whatever we want, fuck democracy" card? Or are the Swedes supporting Polestar monetarily like the Chinese are alleged to do with their cars? Is it because Sweden is a socialist country (I'm jealous of the Swiss, except their climate)?
Not enough data, let alone information.
The Epstein Memorial Golden Presidential Ballroom: Let them eat cake.
(Score: 2) by Barenflimski on Sunday July 05, @05:08PM
Got me, but word on the streets is the dear leader heard they had database technology.
(Score: 3, Informative) by corey on Friday July 03, @10:29PM (3 children)
So the summary doesn’t include the reason why so I read the CNET (urgh ) article to find out:
> Automaker Polestar will not be allowed to sell its 2027 models and beyond in the US after the US Department of Commerce's Bureau of Industry and Security banned those sales over concerns about Chinese-made connected technology. And the company has no plans to return.
>
> The crux of the issue is Polestar's ownership by Volvo and Volvo's own parent company, China-based Geely.
Are the US banning all Chinese manufacturers? Why just these guys, who aren’t entirely Chinese with a layer of Europeans in the hierarchy? I thought that would be better than a 100% Chinese manufacturer?
(Score: 3, Informative) by looorg on Saturday July 04, @02:16PM (1 child)
"Volvo" and "Volvo cars" are two different companies. Volvo is still Swedish in that regard but they only make engines, trucks, buses and heavy machinery. Volvo Cars make the cars and they are owned by (or merged with) Geely. So they are technically Chinese, after FORD sold their part of it. It's complicated. But it's not Swedish anymore, even tho they still make some of the their cars here. Clearly they want everyone to think they are still Swedish and that is part of the brand. But they are not. I guess Swedish car sells better then Chinese Car.
(Score: 3, Interesting) by Rich on Saturday July 04, @04:46PM
I wonder how Lotus, who are also a Geely subsidiary now, will be affected. The Emira is from Hethel for the most part, but the Eletre and Emeya are badge-blessed Geely Wuhan designs that might have seen the Norfolk countryside for a ride & handling tuneup at best.
(Score: 2) by DadaDoofy on Saturday July 04, @03:53PM
"Why just these guys, who aren’t entirely Chinese with a layer of Europeans in the hierarchy? I thought that would be better than a 100% Chinese manufacturer?"
As long as the parts are designed and manufactured in China, the fact there are European middle-men hardly solves the problem.