recently,As a new luxury brand that once rivaled Tesla, rumors have resurfaced that Polestar Motors may withdraw from the Chinese market.Although Polestar insiders have repeatedly denied the rumors, judging from Polestar China's recent sales, the rumors of withdrawing from the Chinese market are not groundless.
According to the report,The latest data shows that in June this year, Polestar car sales fell to single digits, only 6 vehicles;In April and May this year, the sales volume of Polestar cars could not be displayed, while the sales volume in March was only 1 vehicle. In the first half of this year, the brand’s cumulative retail sales data were less than 70 vehicles.
For a car company, the market sales volume in half a year has been less than 100, and it is already on the verge of exiting the market. For comparison, before the crash of Jiyue Auto, monthly sales were around 1,000 to 3,000 vehicles. Polestar's current sales status can be described as extremely bleak.
In addition to the collapse in sales, multiple media reports stated that Polestar Technology, the main sales entity of Polestar Motors in China, had begun to lay off employees around the Spring Festival, and Polestar Motors' local R&D supporting development in China came to a standstill.
In addition, old Polestar car owners also encountered difficulties in after-sales and maintenance. Many car owners broke the news online that no one was waiting at the Polestar 4S store, and the vehicles were sent back without actual maintenance.
It is understood that Polestar Automobile was established in 2017. Initially, the European team was responsible for R&D and design, and China was responsible for production. As the largest financier, Volvo has invested more than 1 billion yuan in the Polestar brand.But starting from February last year, Volvo began to reduce its holdings and stated that it would no longer provide funds in the future.
After Volvo signaled its withdrawal, Geely Holding Group became the second largest shareholder of Polestar Motors. In June this year, Geely Holdings invested US$200 million in Polestar.
But for Polestar Motors, the US$200 million investment has been unable to quench the thirst for huge losses over the years. From 2020 to 2024, Polestar Motors' cumulative losses exceeded US$5.1 billion, of which the net loss in a single year in 2024 reached US$2 billion.
As of the end of 2024, Polestar Automobile has total assets of US$4.054 billion, total liabilities of US$7.383 billion, and net assets of negative US$3.329 billion, making it insolvent.
