Polestar has been banned from selling cars in the US
Published on Jun 26, 2026 at 4:09 PM (UTC+4)
by Daisy Edwards
Last updated on Jun 26, 2026 at 4:12 PM (UTC+4)
Edited by
Mason Jones
Polestar has been banned from selling cars in the US after a major government ruling that will stop the EV brand from offering new models from 2027.
The Swedish automaker has been steadily growing its presence in America, with one of its SUVs even being built there.
But a decision linked to national security concerns has thrown a huge spanner in the works.
It means the brand’s future in one of the world’s biggest car markets is now hanging in the balance.
Why Polestar has been banned from selling cars in the US
The surprising decision comes as part of the US government’s Connected Vehicle Rule, which aims to limit the sale of cars containing certain Chinese-linked software and hardware in the country.
While the brand itself is based in Sweden, it is majority owned by Chinese automotive giant Geely, meaning it falls within the scope of the regulation.
The US Department of Commerce denied the company authorization to continue selling vehicles from the 2027 model year onwards.
Current inventory is unaffected, so customers can still buy Polestar vehicles that have already been imported. Existing owners will also continue to receive warranty coverage and servicing through the company’s network.
One surprising detail is that the Polestar 3 is assembled in South Carolina, and even though the SUV is built in the US, the ownership structure means it is still caught by the new rules.
What Polestar’s ban from selling cars in the US means for the company
The ruling is a setback, but it doesn’t spell the end for Polestar.
The US accounted for just six percent of the company’s global sales during the first quarter of 2026, with Europe remaining its strongest market.
Polestar has already said it will focus more heavily on Europe and other international markets as the automotive industry becomes increasingly regional.
Interestingly, Geely owned sister brand Volvo was granted authorization to continue selling vehicles in the US, showing that each manufacturer is assessed individually.
For American buyers, though, once the remaining Polestar models have been sold, there won’t be any new ones arriving unless the company’s authorization status changes.
Daisy is a technology and automotive journalist covering artificial intelligence, consumer tech, Apple news, cryptocurrency, emerging technologies, and transportation innovation. Since joining the team in 2025, she has reported on everything from AI-powered startups and major iOS updates to viral car stories and the latest developments shaping transportation and the digital economy. Drawing on her background in automotive journalism and a degree in History and Journalism from Goldsmiths, University of London, Daisy specializes in breaking down complex topics into clear, engaging reporting for a global audience. Her work spans cutting-edge technology, innovative vehicles, and the people driving change across both industries. Daisy has gained first-hand access to some of the world's most talked-about technologies and innovators, including meeting Tesla's Optimus humanoid robot during its first European appearance in London. She has also discussed the future of space exploration with an astronaut, bringing unique insights and real-world perspectives to her coverage of emerging technology.
