Polestar exits US as Chinese software banned from 2027 models

Auto Jul 21, 2026

Polestar, the Swedish electric vehicle brand owned by China's Geely, is pulling out of the US because new rules ban Chinese software in cars starting with the 2027 model year.

The move comes after the Commerce Department raised concerns over tech such as cameras and GPS in connected vehicles.

Polestar's request denied, pivots to Europe

Polestar tried to get special permission to stay but was turned down. Spokesperson Michael Ofiara said talks with officials made it clear an appeal would not work.

Now, Polestar is shifting focus to Europe, where it sees better growth chances.

For US owners, this exit could mean lower resale values; meanwhile, Polestar is clearing out remaining cars with discounts up to $25,000.