When the Law Kills Your Electric Car Dealership
Key takeaways
- Since Polestar Short Hills opened in northern New Jersey in 2021, it went through a Covid-era demand spike and EV shortage that left some used electrics with higher valuations than new ones;
- Now, Matthew Haiken, who owns that Polestar dealership along with three other (non-Polestar) dealerships in the Prestige Collection Auto Group, faces another and more serious challenge.
- “It’s so unfortunate,” Haiken says. “It’s hard for my customers who have been reaching out;
Why this matters: a development in AI with implications for how people work, create, and decide.
Photograph: Justin Sullivan/Getty Images Comment Loader Save Story Save this story Comment Loader Save Story Save this story Owning a US electric vehicle dealership has been a wild ride in the 2020s.
Since Polestar Short Hills opened in northern New Jersey in 2021, it went through a Covid-era demand spike and EV shortage that left some used electrics with higher valuations than new ones; a new federal tax credit of up to $7,500 that brought a new wave of drivers in the door; lower sales volumes after the rollback of that federal tax credit, and the snipping of a state one; and then another wave of buying when EV-curious drivers began running from Elon Musk’s Tesla because of the CEO’s involvement with the Trump administration.
Now, Matthew Haiken, who owns that Polestar dealership along with three other (non-Polestar) dealerships in the Prestige Collection Auto Group, faces another and more serious challenge. Polestar said in late June that the US Commerce Department had denied an authorization that would have allowed the brand to continue selling cars in the US despite a federal rule restricting the sale of vehicles with Chinese-made connected-vehicle technology. The company, which is majority-owned by China's Geely Holding and its founder Li Shufu, says it will stop selling Polestar vehicles in the US beginning with the 2027 model year.