Polestar is ending production of the Polestar 2 in China
After nearly six years, production of the Polestar 2 in China comes to an end. More than 200,000 units of this electric fastback have been manufactured. A completely new successor is set to launch in early 2027. For Polestar, this model change occurs during an already challenging transition period.
The Polestar 2 was the brand’s first fully electric production model.
Image: Polestar
The last units of the Polestar 2 are said to have already rolled off the assembly line in China’s Luqiao. The company has not yet announced an end to production separately, but in several European markets it is already referring to available inventory vehicles rather than new orders that can be customized.
The Polestar 2 has been manufactured in Luqiao since March 2020. According to media reports, slightly over 200,000 vehicles were produced there in total. Polestar itself previously stated that more than 190,000 units had been sold.
The model was particularly important for Norway. There, over 16,000 Polestar 2 vehicles were sold. Polestar Norge recently described the two-seater as crucial for the brand’s strong market launch. This is because the roots of the Polestar 2 trace back to the Volvo era. In 2016, Volvo unveiled the two concept cars, 40.1 and 40.2. While 40.1 later evolved into the XC40, 40.2 became the Polestar 2.
The most significant technical update came in 2024. At that time, Polestar switched from front-wheel drive to rear-wheel drive in key variants and overhauled the powertrain comprehensively.
From a Volvo concept to a Polestar bestseller
A completely new successor is set to arrive in early 2027. Polestar has already announced that it will develop the next generation not as a mere facelift but as a fundamentally new vehicle. The Norwegian TV channel TV 2 Broom refers to it as a new crossover. However, Polestar has not yet officially confirmed the vehicle’s body style, platform, or production location. In markets such as Norway and Sweden, no new configurations will be accepted anymore, with buyers directed to existing stock vehicles. This means one of the most important models of the young brand will be phased out before its successor is available.
The model change also coincides with a period in which Polestar is reorganizing its model lineup and regional focus. In the first half of 2026, global sales rose only slightly by 0.4 percent to 30,423 vehicles, while revenue dropped by about four percent to $1.36 billion. At the same time, Polestar significantly reduced its operating loss.
For the full year, the company lowered its growth forecast from a low double-digit range to a low to mid-single-digit percentage range. Polestar cited factors such as the end of the Polestar 2’s lifecycle and changes in its U.S. business as reasons for this adjustment.
Starting in the 2027 model year, Polestar will no longer be allowed to sell new vehicles there due to the Connected Vehicle Rule. Around 80 percent of its sales now come from Europe, making it even more important for the brand in the next model generation. Despite these challenges, Polestar had a strong start in 2026: With 13,126 vehicles sold, the brand achieved its best first-quarter performance to date. However, as the year progressed, it became clear that the model change for the Polestar 2 and restructuring in the U.S. were slowing down growth.
For Polestar, the end of production is therefore more than just a regular model change. The Polestar 2 was the foundation of the brand and its most important volume model for years. Its successor must now not only impress technically but also fill a gap as Polestar expands its portfolio and shifts its focus more toward Europe.