Polestar Slashes 2022 Delivery Targets Due to Chinese Lockdowns

0 3

A photo of a black Polestar 2 electric sedan parked in front of a large, gray door.

Lockdowns in China are hitting deliveries of the Polestar 2 electric car.
Photo: Polestar

Electric vehicle maker Polestar is having a bit of a moment right now. The firm’s sales are on the rise, its range of cars is expanding, and it has now launched in 23 global markets. But, this ambitious growth is about to hit a snag, as the firm has slashed its delivery targets for 2022 due to pandemic problems in China, where every Polestar is currently built.

While announcing its sales for the first four months of 2022, the company alluded to production issues as a result of ongoing Covid-19 lockdowns in China. In a statement, the firm said it had cut 15,000 units from its 2022 delivery targets.

The statement, provided to Jalopnik, reads in part: “As a result of prolonged government COVID-19 lockdowns in China during the first half of 2022, Polestar has now announced a reduction to the number of customer vehicle sales that it will be able to deliver in 2022 from 65,000 to approximately 50,000.”

That’s a hefty cut, and equates to a 23 percent drop in deliveries for 2022.

A photo of Polestar battery assemblies at its factory in China.

Polestar assembles its cars at a factory in Chengdu, China.
Photo: Polestar

In recent weeks, cases of Covid-19 have been on the rise in China. In response, leaders in the country have issued strict lockdown orders to prevent social mixing and curb the spread of the virus.

The lockdowns have hit other automakers, including Tesla, where CEO Elon Musk recently praised workers for pulling all-nighters. That was an odd stance to take when employees were reported to be working 12-hour shifts and sleeping on the factory floor to meet targets.

But for Polestar, it sounds like the disruptions in China due to Covid-19 aren’t hampering its long-term goals for growth.

In the same statement, Polestar CEO Thomas Ingenlath said, “The fundamentals driving the growth in sales of electric cars remain in place and the momentum is stronger than the uncertainties we are witnessing right now. Any short- to medium-term economic effects have not dented our goal of selling 290,000 cars in 2025 – 10 times more than we sold in 2021.”

A photo of a camo-covered Polestar 3 electric SUV.

Coming soon: the Polestar 3
Photo: Polestar

Key to the brand’s growth will be the upcoming Polestar 3 SUV, which the brand says will launch later this year. Due to premiere in October, the new EV will be the first Polestar to be built in the USA.

Also instrumental to Polestar’s chances of reaching its 2025 sales goal is a new deal with rental company Hertz. Earlier this year, Polestar announced a global partnership with the firm to supply 65,000 cars over the next five years.

“We promised growth and we are delivering on that promise,” added Ingenlath.

Read original article here

Denial of responsibility! News Continue is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – [email protected]. The content will be deleted within 24 hours.

Leave A Reply

Your email address will not be published.