Polestar slashes launch price of new Polestar 3 as China EV price war deepens

The new Polestar 3 electric SUV from the premium EV maker owned jointly by Geely and Volvo Cars has debuted in China, but at a massive price reduction of around RMB200,000 (or around $A43,500) from its originally promised launch price.

Polestar officially launched its premium SUV in October of last year, promising up to 380kW and 910Nm for the top of the range model and a 111kWh battery pack providing up to 610km (WLTP) of range.

Australian customers were able to immediately register their interest. Polestar officially opened its Australian order books last month, with pricing starting from $A132,900 excluding on-road costs, and with deliveries expected for the first quarter of 2024.

This pricing was matched by a US launch, but things have changed rapidly in China, where an EV price war has erupted between Tesla and the local EV giant BYD, and is now affecting other car makers.

Originally, according to CnEVPost, when Polestar officially unveiled the Polestar 3 back in October, two versions were planned to be heading to China with prices of RMB880,000 and RMB1,030,000, respectively.

However, Polestar has dramatically cut those prices with the official launch in China, with the long-range dual-motor model now starting at RMB698,000 and the long-range dual-motor with performance pack model at RMB798,000.

This equates to a price drop of around RMB200,000, or around $A43,500.

China and the US are also getting their hands on the Polestar 3 earlier than Australia – with expected first deliveries starting in the fourth quarter – but that’s unsurprising, considering that the Polestar 3 is also the company’s first car to be manufactured in both the US and China.

Update: On Thursday, Polestar issued a statement saying: