Polestar launches electric SUV in China with $29k price cut
Investing.com | Author Michael Elkins
Published Mar 20, 2023 20:26
Swedish electric automaker, Polestar (PSNY) officially launched their Polestar 3 electric SUV in China on Friday. However, the EV maker has slashed its starting price by roughly $29,000.
When the Polestar 3 was first advertised to Chinese consumers at its global reveal event, it had a starting price of 880,000 yuan ($127,756), almost twice the NIO ES7's starting price of 468,000 yuan, placing it firmly within the luxury segment. The Polestar 3 now starts at 698,000 ($101,333), and the performance model starts at 789,000 yuan ($114,544), a 182,000 yuan ($26,422) and a 232,000 yuan ($33,681) price cut, respectively.
Polestar did not give a reason for the price cuts but presumably they were done so the 3 would be more competitive with rivals. Interestingly, the price reduction comes just a few weeks after Polestar CEO Thomas Ingenlath stated the brand would not engage in price wars.
Polestar expects to begin production at its Chinese factory in the middle of this year, with deliveries starting at the end of the year. The Polestar 3 will also be produced at a shared production facility with Volvo in South Carolina, starting mid-2024, and deliveries will follow shortly afterward.
It remains unclear if Polestar intends to use this new pricing in the United States. However, with a new starting price of ~$114,000, it would be price competitive with the likes of Tesla (TSLA) and Rivian (RIVN).
Shares of PSNY are down 4.17% in afternoon trading on Monday.
By Michael Elkins | Michael.Elkins@streetinsider.com
Get The App
Written By: Investing.com
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.