(Updates with Polestar's response in the last paragraph.)
Polestar Automotive (PSNY) said it still does not understand why it must stop US sales while its corporate cousin, Volvo Cars, was allowed to continue, The Wall Street Journal reported Monday, citing an Aug. 18 letter from Polestar to its US dealers.
The Trump administration is implementing a new rule to prevent China from spying through connected-vehicle technology, with Polestar becoming the first auto manufacturer effectively blocked from selling vehicles in the US under the rule, the report said.
Polestar said the US Commerce Department had indicated that it would be allowed to sell in the US, like Volvo Cars, as the automakers share a Chinese majority owner and have nearly identical hardware and software in two of their models, the report said.
In response to, a Polestar spokesperson referred to the company's June 25 statement, it which it said it is now focused on Europe, which represents nearly 80% of its retail sales volumes, following the US Department of Commerce's decision to not grant Polestar an authorisation to sell vehicles in the US from model year 2027 onwards.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
Price: $12.81, Change: $-0.52, Percent Change: -3.93%