Electric car manufacturer Polestar produces new SUV in Europe

Swedish electric car manufacturer Polestar plans to build its new Polestar 7 SUV model in Europe due to the European Union's punitive tariffs on electric cars from China. The car is scheduled to roll off the production line at Volvo's Košice plant in Slovakia starting in 2028, the company announced on Thursday. Volvo and Polestar are owned by the Chinese automaker Geely.

The loss-making electric car brand Polestar initially produced in China. However, the associated cost advantage has been shrinking since imports into the EU were subject to a 28.8 percent tariff. To avoid high US import duties, Polestar also manufactures models in the US and South Korea.

APA/Reuters