The Swedish electric vehicle producer Polestar, which is a subsidiary of the Chinese automotive company Geely, announced on Thursday that it will not be able to market its new cars in the U.S. following a denial of authorization from the Trump administration’s Department of Commerce.

This determination was part of the administration’s “Connected Vehicle Rule,” which prohibits the sale of vehicles containing Chinese software or hardware in the U.S. Polestar had applied for a special permit to sell its cars in the American market.

Polestar confirmed it will proceed with selling its current inventory of Polestar 3 and Polestar 4 vehicles in the U.S. and will “continue to assist customers, including access to its service network.” However, the firm highlighted in a press announcement that 94% of its retail sales volume during the first quarter of 2026 originated from markets outside the U.S.

The company stated that it is now “shifting its strategic emphasis towards Europe.”

The move to effectively prohibit Polestar from the U.S. market follows just a few months after the Trump administration provided a similar access authorization for its sibling company Volvo, which is also owned by Geely.