Polestar Lures Disgruntled Tesla Owners with Tempting New Offer

Swedish EV manufacturer Polestar is capitalising on growing dissatisfaction among Tesla owners, offering a substantial financial incentive for those looking to make the switch. In an aggressive marketing move, Polestar launched a limited-time "Polestar Conquest Bonus" in the U.S., giving Tesla owners an extra US$5,000 off the lease of a Polestar 3 luxury SUV.

When combined with the company’s existing Clean Vehicle Incentive, which takes an additional US$15,000 off the lease price, Tesla customers could save up to US$20,000 by making the jump.

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The campaign, which ran from February 21 to March 2, aimed to attract Tesla drivers frustrated with the company’s recent direction—particularly CEO Elon Musk’s increasingly controversial political involvement. According to Polestar’s head of U.S. sales, Jordan Hofmann, the initiative was a massive success, leading to some of the “highest order days” for the Polestar 3.

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The Tesla Fallout: A Growing Opportunity for Competitors

Tesla’s public image has taken a hit in recent months, with protests erupting outside showrooms across the United States, driven by disillusioned customers and former fans. European businesses are also cutting ties with Tesla, as seen in Germany, where major corporations—including a leading drugstore chain and an energy utility—have pledged to drop Tesla EVs from their fleets due to Musk’s alleged support for the far-right AfD party.

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This growing backlash has created an opening for rival EV manufacturers, and Polestar isn’t the only company seizing the moment. While Tesla still dominates global EV sales, competitors are increasingly positioning themselves as more stable and customer-friendly alternatives.

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Polestar’s Strategic Expansion and Supercharger Access

Beyond targeting Tesla owners, Polestar is ramping up its own production and market reach. The Polestar 3, which boasts a 350-mile (563 km) range, 517 horsepower, and a 0-60 mph (0-97 km/h) time of 4.5 seconds, began production in China last year. To sidestep import tariffs, the company has also started building the model at its new manufacturing facility in South Carolina.

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In a key development for potential buyers, Polestar gained access to Tesla’s Supercharger network in October 2023, dramatically improving charging convenience for its customers. This move ensures that Polestar drivers can benefit from the vast Supercharger infrastructure, addressing one of the major hurdles for new EV adopters—charging accessibility.

Leadership Shifts and Future Ambitions

Polestar has faced its own internal shake-ups, with its parent company Volvo selling its remaining shares in the brand to Chinese automotive giant Geely in early 2024.

Amidst restructuring efforts and financial challenges, CEO Michael Lohscheller has remained vocal about distancing the company from Tesla’s approach. In a recent interview with Bloomberg, he described Musk’s actions as “pure arrogance” and “totally unacceptable.”

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Despite these hurdles, Polestar has ambitious plans for the future. The company aims to expand into seven new global markets by 2025, solidifying its place in the rapidly evolving EV industry.

What This Means for Australian EV Buyers

While Polestar’s Tesla conquest campaign was U.S.-exclusive, the shift in consumer sentiment towards alternative EV brands is relevant to the Australian market. With Tesla’s strong presence in Australia—accounting for a significant share of EV sales—local buyers may soon see similar offers from Polestar or other manufacturers looking to attract Tesla customers.

Polestar’s aggressive marketing and expansion plans indicate a broader industry trend: the competition in the EV space is heating up, and Tesla’s once-unquestioned dominance is facing real challenges. For Aussie EV buyers, this means more choice, better incentives, and an increasingly diverse market landscape.

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With Polestar setting its sights on global expansion and continuing to differentiate itself from Tesla, Australian consumers may soon find themselves in the middle of a fiercely competitive EV battle—one that could ultimately benefit buyers with better deals, improved technology, and stronger customer support.