business
Polestar says the Commerce Department is banning US sales of its cars
By CNN Newsource at KVIA ABC-7
· June 25, 2026
· 2 min read
By Chris Isidore, CNN
(CNN) — Electric vehicle maker Polestar is being forced out of the American market due to its ties to China, following a decision by the US Commerce Department, the company announced Thursday.
The company said the Commerce Department’s Bureau of Industry and Security den...
Key takeaway The company said the Commerce Department’s Bureau of Industry and Security denied the company an authorization to sell vehicles, starting with the 2027 model year, under a regulation known as the Connected Vehicle Rule.
Why this matters in The El Paso
The Commerce Department's decision to ban US sales of Polestar cars due to its ties to China has significant implications for the El Paso economy. As a major border city, El Paso has long been a hub for international trade, and the automotive industry is a key player in this trade. The ban on Polestar sales may lead to a decrease in automotive-related business in the region, potentially affecting local dealerships and repair shops that service these vehicles. Furthermore, the fact that Polestar's vehicles are not built in China, but rather in the US and South Korea, raises questions about the effectiveness of the ban in addressing national security concerns. El Paso residents who own Polestar vehicles will still have access to service and support, but the ban may limit their options for purchasing new models, potentially driving business to other manufacturers with a presence in the region.
About this story
Original reporting by KVIA ABC-7 . The El Paso surfaces reporting from trusted publishers and adds local editorial context so readers can quickly understand what a story means for their community. We attribute every source, link to the original report, and follow a documented editorial standards policy. To understand how stories are selected and reviewed, read our about page .
For the complete original report, visit KVIA ABC-7 . Have a tip or correction? Contact our newsroom .
Category: business ·
Published: June 25, 2026 ·
Source: KVIA ABC-7 ·
Reading time: 2 min
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Frequently asked about this story
What is this story about? By Chris Isidore, CNN
(CNN) — Electric vehicle maker Polestar is being forced out of the American market due to its ties to China, following a decision by the US Commerce Department, the company announced Thursday.
The company said the Commerce Department’s Bureau of Industry and Security den...
When was this published? This article was first published on June 25, 2026 by KVIA ABC-7 and curated for The El Paso readers.
Who reported this story? This story was reported by CNN Newsource at KVIA ABC-7. To learn more about how The El Paso selects and reviews stories, see our editorial standards .
Where can I find related coverage? See more business coverage from The El Paso, or browse our daily briefing and topic hubs .
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