Tag Archives: Polestar

Polestar Gives China the Cold Shoulder — From the Middle of Its Own Factory Floor

Imagine throwing a party, stocking the fridge with champagne, baking a cake, and… no one shows up. That’s roughly the situation Polestar has just endured in China — except instead of cake, it was electric cars.

The Chinese–Swedish EV brand, co-owned by Volvo and Geely, has decided to pull out of its main market. Yes, the very same market where it builds its cars. The numbers tell the grim tale: in the first half of 2025, Polestar sold just 69 cars in China. That’s not a typo. Sixty-nine. In a country with 1.4 billion people, that’s statistically closer to zero than it is to “doing well.”

April and May were particularly tragic — with zero sales. None. Nada. Polestar might as well have tried selling snow to penguins. Meanwhile, the rest of the world seemed to quite like what they were offering: 30,000 Polestars sold globally in the same period, up 51 percent from last year.

In China, the brand’s physical presence has withered to just one lonely showroom in Shanghai. The online store — once touted as the main sales channel — has also been shut. And attempts to hitch a ride with local retail partners? Missed. Completely.

Currently, Polestar sells three EVs, with three more promised over the next few years. The Polestar 3, which currently rolls out of plants in both China and the US, will soon get a Slovakian production line. Whether the Chinese factories will stay open now that their home market has shown all the enthusiasm of a cat for bath time remains to be seen.

For now, Polestar’s breakup with China is official. They came, they built, they… didn’t sell anything. Sometimes the writing on the wall is in big, neon-lit Chinese characters — and you just have to read it.

Source: Polestar

Polestar to Build Upcoming Polestar 7 SUV in Europe Through Volvo Partnership

In a strategic move to broaden its global manufacturing network, Polestar has announced plans to produce its upcoming Polestar 7 at Volvo Cars’ new factory in Košice, Slovakia, marking the brand’s first contract manufacturing venture in Europe. The decision aligns with Polestar’s long-term strategy to deepen collaboration within the Geely Holding Group, leveraging advanced shared technology and production capabilities.

The premium compact SUV, Polestar 7, is slated for launch in 2028 and will be built using Volvo’s technology base, drawing on next-generation cell-to-body battery technology, in-house developed electric motors, and a shared component architecture from within the group. This partnership is expected to yield both performance and cost-efficiency benefits, while maintaining the distinctive design language and dynamic driving experience Polestar is known for.

Michael Lohscheller, CEO of Polestar, emphasized the importance of this collaboration:

“Working with Volvo Cars to develop and manufacture Polestar 7 in Europe is a unique opportunity that will strengthen our position in our home market. Our strategy of utilizing Group architectures as the base for our future model line-up gives us access to the best, latest technologies, in a cost-efficient manner.”

Polestar 7 represents the brand’s latest step in redefining the premium electric SUV category, building on the success of its previous models while embracing cutting-edge innovation from within the Geely-Volvo ecosystem.

Håkan Samuelsson, President and CEO of Volvo Cars, added:

“Our collaboration with Polestar on the development and manufacturing of the Polestar 7 underscores how Volvo Cars and Polestar continue to leverage synergies to efficiently deliver outstanding vehicles built for our distinct customer segments.”

Volvo Cars began construction of the Košice plant in 2023, strategically chosen for its strong supply chain infrastructure and proximity to key European markets. Once operational, the factory will serve as a critical hub for Polestar’s European ambitions, reinforcing the brand’s presence in a highly competitive segment.

As the automotive world watches the evolution of premium EVs, the Polestar 7 looks poised to make a significant impact, combining Scandinavian design, sustainable innovation, and precision European manufacturing.

Source: Polestar

Hertz Car Rental is selling over 30,000 EVs

Hertz Car Rental announced that it is selling almost 30,000 electric vehicles due to increased losses. A few years ago, the rental company acquired a large number of electric vehicles, but in the end this experiment was not successful.

The company aims to sell a certain number of cars by the end of the year, including the Tesla and Polestar models. A number of vehicles will remain in the fleet to meet the needs of customers booking trips in electric cars. The reason for this decision is low earnings, and electric vehicles that are not in use quickly lose value.

Three years ago, the company ordered 100,000 units of the Tesla Model 3, which at the time seemed like a good business move. Customers liked the car, and the company only had to pay for simple interventions such as tire repair, windshield wiper fluid, etc. Luckily, all the vehicles were not even delivered, so the losses are smaller.

The biggest problems appeared when Tesla started cutting the prices of the vehicles. This forced Hertz to start thinking about selling, as the price of the vehicle they owned was higher than the price of a new car, causing them to quickly lose money.

To make matters worse, the analysis showed that Tesla cars are not as economical as the company thought. There were also transport problems caused by accidents, leading to high repair costs and long deliveries.

Hertz will continue selling EVs in 2025.

Source: Hertz Car Rental; Photo: EPA-EFE