EV maker Polestar pauses annual forecast amid tariff uncertainty

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(Reuters) -Polestar paused its 2025 forecast on Wednesday as the electric-vehicle maker braces for a potential hit from sweeping U.S. tariffs that threaten to roil supply chains and push up car prices.

The Swedish company reported strong first-quarter sales earlier this month, but CEO Michael Lohscheller warned of a hit from American import duties as it looks to shift manufacturing to the U.S. and Europe to cut reliance on China.

U.S. President Donald Trump’s rapidly changing trade policy and levies of at least 145% on China have forced many automakers, including Stellantis, General Motors and Volvo Cars, to pull their forecasts and several others to warn of profit and revenue hits.

In response to industry pushback, Trump on Tuesday signed an executive order to soften the blow of his auto tariffs by mixing credits with relief from other levies on parts and materials.

Polestar continues to expect compounded growth in vehicles sold between 30% and 35% for this and the next two years as well as an improvement in gross margin through 2025.

Its discounts targeting disgruntled Tesla owners have helped the company drum up demand in the U.S. even as worries of a possible recession due to the tariffs weigh on consumer spending.

ANOTHER DELAY

Polestar said it has filed a notice with the U.S. Securities and Exchange Commission to delay the publication of its 2024 annual report. It now expects to file the document before or on May 14.

The company was expected to report its already delayed fourth-quarter results in March, but that got pushed to April, leaving investors to question its accounting measures.

Polestar’s delay in publishing its fourth-quarter results follows previous issues with its financial disclosures, having to republish statements from past financial years due to errors.

The company expects to report first-quarter results in May.

(Reporting by Zaheer Kachwala in Bengaluru; Editing by Shilpi Majumdar)