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Polestar has officially announced its decision to expand manufacturing operations to Europe, partnering with Volvo Cars to produce the highly anticipated Polestar 7 compact SUV in Kosice, Slovakia. The strategic collaboration represents a significant milestone in the Swedish electric vehicle manufacturer’s global expansion strategy, with the premium compact SUV scheduled for launch in 2028.
Key Highlights
- European manufacturing partnership established with Volvo Cars in Kosice, Slovakia
- Polestar 7 compact SUV planned for 2028 launch utilizing advanced Group architectures
- Cost-efficient production leveraging Geely Holding Group technologies and component sharing
- Enhanced market position in Europe through strategic manufacturing diversification
Strategic Partnership Details
The memorandum of understanding between Polestar and Volvo Cars establishes a comprehensive development and manufacturing partnership for the Polestar 7. This collaboration aligns with Polestar’s recently announced strategy to utilize architectures from within the Geely Holding Group, enabling access to cutting-edge technologies while maintaining cost efficiency.
Michael Lohscheller, Polestar’s CEO, emphasized the significance of this partnership, stating that working with Volvo Cars to develop and manufacture the Polestar 7 in Europe creates a unique opportunity to strengthen the company’s position in its home market. The strategic approach of utilizing Group architectures provides access to the latest technologies in a cost-efficient manner.
Advanced Technology Integration
The Polestar 7 will incorporate a sophisticated technology base from Volvo Cars, benefiting from extensive group component sharing. The vehicle will feature cell-to-body technology with next-generation battery density and performance capabilities, complemented by the latest generation of in-house developed e-motors.
Despite utilizing shared technologies, Polestar will implement specific adaptations to create the distinctive driving experience and performance characteristics that define the brand. The vehicle will maintain the design excellence and sporty driving dynamics that customers expect from Polestar’s premium lineup.
Manufacturing Facility Advantages
The Kosice, Slovakia location offers significant strategic advantages for European production. Construction of the Volvo Cars factory began in 2023, positioning the facility with excellent logistical connections to European markets and access to a well-developed supplier base.
Håkan Samuelsson, Volvo Cars President and CEO, highlighted how the collaboration underscores the continued synergies between Volvo Cars and Polestar, enabling efficient delivery of outstanding vehicles for their distinct customer segments.
Market Positioning and Future Outlook
The Polestar 7 represents the company’s entry into the competitive premium compact SUV segment, where it aims to set new standards through distinctive design and performance characteristics. This European manufacturing initiative supports Polestar’s broader strategy to diversify its global production footprint beyond current operations in North America and Asia.
The 2028 launch timeline positions the Polestar 7 strategically within the company’s expanding model lineup, which currently includes the Polestar 2, Polestar 3, and Polestar 4, with the Polestar 5 four-door GT and Polestar 6 roadster also in development.
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