Yes, a brand-new luxury electric SUV for the price of a loaded Toyota Camry is really happening right now. The Polestar 4 discount has climbed to $25,000 off MSRP for cash buyers. It’s not a marketing gimmick, either. It’s a going-out-of-business sale forced by the U.S. government.
Polestar can no longer sell new vehicles in the U.S. after 2027. The reason is a Commerce Department ruling targeting connected-vehicle software built in China. Dealers are sitting on inventory they need gone, and the discounts prove it.
Why is the Polestar 4 discount so big right now?
The discount exists because Polestar has been ordered to stop selling new vehicles in the U.S. once its current allowance runs out after 2027. Dealers are clearing remaining stock fast. That urgency is pushing incentives to levels rarely seen outside a bankruptcy liquidation.
The Commerce Department decided that connected-vehicle hardware and software built in China posed a national security risk. It barred Polestar from continuing new-vehicle sales in the U.S. Polestar is majority-owned by China’s Geely. Notably, Volvo, also owned by Geely and sharing parts with Polestar, was allowed to keep selling here. That decision struck plenty of industry watchers as inconsistent.
How much does the Polestar 4 actually cost after the discount?
A rear-motor 2026 Polestar 4 starts at $57,800. The $25,000 Clean Vehicle Incentive drops that to roughly $32,800 for cash buyers. The dual-motor version starts higher but sees a similarly steep cut. It lands well under $40,000 for a car that normally competes with the Audi Q8 e-tron and BMW iX.
Here’s how the numbers break down across the main ways to buy one:
| Buying Method | Starting MSRP | Incentive | Effective Price |
|---|---|---|---|
| Cash purchase (RWD) | $57,800 | $25,000 cash | ~$32,800 |
| Cash purchase (Dual Motor) | $64,300 | $25,000 cash | ~$39,300 |
| 0% APR financing | $57,800 | $18,000 | ~$39,800 |
| Lease (27-month, Dual Motor) | $64,300 | $19,000 non-cash | ~$499/mo, $499 down |
Former or current Polestar owners can stack an extra $1,000 loyalty bonus on top of the cash deal. That pushes total savings close to $26,000. The catch: the $25,000 cash offer can’t be combined with 0% financing. You have to pick your lane.
Should you actually buy one before it’s gone?
If you can pay cash and don’t mind an EV from a brand exiting the country, yes. This is one of the best dollar-for-dollar EV deals on the market right now. The tech, performance, and interior quality genuinely punch above a $33,000 price tag.
That said, go in with eyes open. Polestar says warranty coverage and service will continue, but details on long-term parts and support remain thin. Resale value on an orphaned brand is going to take a hit no matter what. If you’re cross-shopping, our breakdown of the Polestar 4 SUV vs the coupe is worth a look before you pick a body style, since the discount applies to both.
What about leasing instead of buying outright?
Leasing isn’t the bargain the cash deal is. Read the fine print carefully before signing anything. The advertised $399-to-$499 monthly payments look tempting, but stretched-out terms and steep due-at-signing costs can make the real math less attractive than it first appears.
Shorter 27-month leases with the $19,000 incentive tend to pencil out better than 39-month terms. Polestar’s exit timeline makes long leases riskier anyway. You don’t want to be locked into a car from a brand that may not have dealers to service it toward the end of your term. If you’re weighing whether any leftover Polestar deal makes sense at all, we’ve also covered whether leftover Polestar deals are worth it before 2027 in more detail.
How does this compare to other EV exits or discontinuations?
Polestar isn’t the first EV brand forced into a fire sale this year. We’ve seen similar buy-now-or-wait situations play out with the Honda Prologue’s discontinuation and the VW ID.4’s phase-out. The pattern is consistent. Steep discounts show up right before a model disappears, and early movers get the best terms before dealer stock dries up.
Before you commit real money, it’s worth running the numbers through a broader lens. Our EV buying decision framework for 2026 walks through how to weigh depreciation risk, charging access, and service concerns against a steep discount like this one. All of that matters more with an orphaned brand than a mainstream one.
FAQ
Is the Polestar 4 discount only for cash buyers?
The full $25,000 offer applies only to cash purchases. Financing buyers can get up to $18,000 off with 0% APR. Lessees get a separate $19,000 non-cash incentive baked into monthly payments.
Will Polestar still service my car after it stops selling new vehicles?
Polestar has stated that warranty coverage and vehicle support will continue for existing owners. Specifics on long-term servicing and parts availability haven’t been fully spelled out yet.
Can I still buy a Polestar 3 with a similar discount?
Yes. Polestar is also discounting the Polestar 3 by up to $23,000. That drops its starting price from around $68,900 to roughly $45,900 for cash buyers.
Why did Polestar get banned but Volvo didn’t?
Both brands are owned by Geely. Regulators determined Polestar’s Chinese-built vehicles used connected software flagged as a national security risk. Volvo’s U.S. models were cleared to continue sales.