April 9 (Reuters) – Sweden’s Polestar reported a 7% rise in first-quarter sales volume on Thursday, as the EV maker benefitted from its Europe-focused strategy to drive demand amid tariff-driven uncertainty and high costs.
The company’s first-quarter sales rose to 13,126 vehicles, compared with 12,263 vehicles sold in the same period last year.
The sales growth is a reflection of Polestar’s strategic emphasis on the European market — a pivot it made over the past year to boost margins and revenue in the face of uncertain global EV demand, a spike in costs and widening losses.
Polestar CEO Michael Lohscheller said performance was strong in “key markets such as Australia, Germany, Sweden, South Korea and the UK”.
The company in February announced refreshed versions of its best-selling sedan Polestar 2 and SUV 4 models over the next year to keep up the sales momentum and attract more buyers while still maintaining a premium market position.
Polestar is navigating American import tariffs, which compressed margins, created manufacturing and cost challenges, and forced the company to rejig supply chains and shift production to the United States.
The carmaker has relied heavily on resources and funding from majority-owner Geely Holding — a strategy that is employed by other EV firms as they leverage partnerships with larger firms to stay afloat in a highly competitive industry.
The company said it expects to reach around 250 sales locations by the end of this year, representing a growth of 20% compared to the end of 2025.
(Reporting by Zaheer Kachwala in Bengaluru; Editing by Vijay Kishore)
