Polestar just confirmed something no EV shopper wants to hear. Starting with the 2027 model year, you won’t be able to buy a new one in the United States. The federal government blocked the brand outright. Now dealers are dumping remaining inventory with discounts as steep as $25,000. That’s a real bargain on paper. Whether it’s actually a smart buy is a different question.
Why is Polestar leaving the U.S. in 2027?
Polestar isn’t choosing to leave — it got kicked out. The U.S. Department of Commerce’s Bureau of Industry and Security refused to grant Polestar an exemption. The rule in question, the Connected Vehicle Rule, blocks sales of connected cars tied to Chinese ownership or software.
Polestar is majority-owned by China’s Geely, and that ownership structure is what sank it. The frustrating part for Polestar fans: sibling brand Volvo, also Geely-owned, applied for the same kind of exemption. Volvo got it. Polestar’s CEO said the brand would instead lean into Europe as its primary growth engine. The company confirmed it won’t appeal the U.S. decision. Notably, the U.S. wasn’t a huge chunk of Polestar’s business to begin with. America made up only about 6% of its global sales in 2025.
How big are the leftover Polestar deals right now?
Polestar is slashing prices hard to clear its roughly 32 U.S. dealerships of remaining stock. On the Polestar 3, discounts run about $23,000 off MSRP. On the Polestar 4, cash buyers can get up to $25,000 knocked off the sticker.
Here’s how that shakes out on actual trims:
| Model & Trim | Original MSRP | Discount | Discounted Price |
|---|---|---|---|
| Polestar 3 Long Range Single Motor | ~$67,500 | $23,000 | $44,500 |
| Polestar 3 Long Range Dual Motor | ~$73,400 | $23,000 | $50,400 |
| Polestar 3 Dual Motor Performance Pack | $79,400 | $23,000 | $56,400 |
| Polestar 4 (cash purchase, any trim) | up to ~$75,000 | up to $25,000 | as low as ~$31,000 |
There’s also a lease angle worth knowing about. Polestar has advertised a Polestar 4 lease around $399 a month for 39 months. That deal is built around a $19,000 incentive. For shoppers who don’t want to own the depreciation risk, that lease number is genuinely attractive. Compare it to almost anything else in the luxury EV space right now — see our roundup of the best EV cash-back deals for context on how unusual that discount is.
What happens to your warranty and service after Polestar leaves?
Polestar says warranties and service will continue uninterrupted, even after new sales stop. The company has publicly committed to keeping its U.S. service network open. It’s also promising to honor existing warranty terms and keep pushing over-the-air software updates to cars already on the road.
That’s a meaningfully different situation than a bankruptcy. Polestar isn’t going out of business. It’s simply barred from selling new cars here while it keeps operating profitably in Europe and other markets. Want a deeper look at how these promises typically play out over the life of an EV? Our guide to how EV battery warranties actually work is a good next read before you sign anything.
Will leftover Polestar deals tank resale value?
Yes, almost certainly. That’s the real cost of a “discounted” Polestar. Once a brand exits a market, resale values typically fall fast. Future buyers worry about parts, software support, and dealer availability — even when the manufacturer insists everything will keep running smoothly.
Current owners are already nervous about this. Some are drawing comparisons to Fisker’s 2024 collapse. But Polestar’s situation is structurally very different. Fisker went bankrupt and had no company left standing to honor anything. Polestar remains solvent and selling strongly overseas. Still, market sentiment doesn’t wait for nuance. A car with no U.S. sales future will simply be worth less at trade-in time than a comparable Tesla, BMW, or Cadillac. That’s true regardless of how good the hardware actually is.
Should you actually buy one?
Here’s my honest take: lease, don’t buy. At $399 a month with $19,000 of incentive baked in, you get a genuinely quick, well-built luxury EV. Better yet, you never own the resale problem. You just hand the keys back at lease-end and let Polestar (or its lender) eat the depreciation.
Buying outright is a tougher call. Say you’re planning to drive the car for eight-plus years and don’t care about resale. In that case, a $44,500 Polestar 3 or a sub-$35,000 Polestar 4 is a lot of EV for the money. The shared Volvo service network is a real safety net, too. But if you might want to sell or trade in within three to five years, skip it. The discount you’re getting today could easily be smaller than the resale hit you take later. For a broader look at whether buying outgoing inventory ever makes sense, check out our piece on leftover model-year cars worth buying before the next generation arrives.
FAQ
Is Polestar going bankrupt?
No. Polestar remains a functioning, profitable automaker. It continues selling strongly in Europe and other markets. It’s being blocked from selling new vehicles in the U.S. specifically because of a federal rule targeting its Chinese ownership, not because the company is failing financially.
Can I still buy a Polestar after 2027?
Not new. Polestar will stop selling new vehicles in the U.S. once its 2026-model-year inventory runs out. It won’t bring the Polestar 5, 6, or 7 to American dealers, either. You’ll still be able to buy one used, though. Existing owners keep full service and warranty support.
Will my Polestar still get software updates?
Polestar says yes. The company has committed to continuing over-the-air updates and full service support for U.S. owners indefinitely. Some owners remain skeptical, though. They worry that update priority will quietly shift toward markets where the brand is still actively selling new cars.
Why did Volvo get an exemption but not Polestar?
The Commerce Department hasn’t fully explained the split decision. Volvo and Polestar share ownership, engineering, and even a factory. Volvo demonstrated its data-handling and cybersecurity practices to regulators and won approval. Polestar applied for the same thing and was denied, then chose not to appeal.