Polestar to halt US sales as China-linked car rules tighten

Polestar to halt US sales as China-linked car rules tighten, after the U.S. Department of Commerce refused authorization under the Connected Vehicles Rule. The Swedish electric-vehicle maker said on June 25 it will stop selling vehicles in the United States starting with the 2027 model year, following the Trump administration’s decision. The rule restricts imports and sales of cars using certain connected-car technologies linked to China, citing national security concerns about sensitive data collection from U.S. vehicle owners. It covers Bluetooth, Wi‑Fi, cellular connectivity, and some satellite communications. Polestar said it will keep selling existing Polestar 3 and Polestar 4 models and maintain its service network. Shares fell 5.7% in early trading. Adopted in January 2025 under the Biden administration, the rule remains in force under Trump. Polestar is majority-owned by China’s Geely Holding and has relied on repeated capital injections.