Polestar offers Tesla owners $20,000 discounts on Polestar 3 in campaign to attract customers

From Yahoo Finance: 2025-04-10 09:41:00

Polestar is offering Tesla owners in the U.S. discounts up to $20,000 on its Polestar 3 to lure customers away from Elon Musk’s brand. A fully upgraded Polestar 3 would cost $93,000, but with the discount, Tesla owners can get it for $73,000, below the starting price of a Tesla Model S.

The campaign aims to capitalize on slower EV demand and concerns about potential price hikes due to tariffs. Polestar is manufacturing the Polestar 3 in a Volvo Cars factory in South Carolina. Tesla’s stock has dropped 32% this year, prompting the move by Polestar.

Automakers like Ford Motor, Stellantis, and Hyundai are also offering discounts to attract customers before potential price increases from higher U.S. tariffs. Polestar is looking to expand its production base in the U.S. to reduce reliance on China, especially after Trump’s tariffs on the auto market.

Polestar has seen success with previous campaigns, including the Tesla Conquest Offer, resulting in high order volumes. U.S. automakers, like GM and Hyundai, are increasing manufacturing output and investments in response to market trends. Lucid, another EV maker, is offering discounts for trading in Tesla vehicles.

Backed by China’s Geely, Polestar is focused on boosting sales to improve profitability and secure funding. The company underwent an executive shakeup last year to streamline operations and increase sales. The EV market is becoming more competitive, with companies offering incentives to attract customers away from established brands like Tesla.



Read more at Yahoo Finance: EV maker Polestar bids to lure disgruntled Tesla owners with discounts