Polestar expects a slowdown in delivery growth this year, adjusting sales targets to a volatile electric vehicle market. The electric vehicle maker is now targeting sales growth in the low double-digit range, a significant reduction from previously announced annual growth of up to 35 percent over three years.
Despite this, the company that makes the Polestar 4 crossover increased deliveries by 34 percent to 60,100 units last year, thanks primarily to growth in the United Kingdom.
“Of course we want to grow, we want to reach the figure of 100,000 vehicles as soon as possible. But the most important thing is to establish Polestar as a premium company”, said the CEO of MIchael Lohscheller at the company’s headquarters in Gothenburg, Sweden.
Polestar, which normally shares power plants with sister brand Volvo, is showing signs of recovery, with parent company Zhejiang Geely helping it survive with several “cash injections”. Polestar’s current boss has restructured the business to cut costs, also taking into account slower growth in demand for electric vehicles and US tariffs.
Focus on new models and profitable segments
Although the company has relaxed its shipment growth targets for now, it is still planning its biggest product offensive yet, speeding up model launches and expanding production to compete in more segments. According to the updated strategy, Polestar will present four new models in the next three years and plans to continue expanding its retail network.
“We are now targeting the big profit sources in the battery segment, and we should have done that from the start,” Lohscheller told reporters, referring to compact SUVs, the fastest-growing segment of the market.
The range will include a new variant of the current bestseller, the Polestar 4 model, which arrives later this year and will combine the characteristics of a wagon and an SUV. The next-generation Polestar 2 sedan is scheduled for early 2027, while the compact premium SUV, Polestar 7, is slated for 2028. The new Polestar 4 derivative will be built in Busan, South Korea, at a facility shared by Renault and Geely, while the successor to the Polestar 2 will be built at Geely’s China plant before reaching European markets.