Polestar has agreed to let Hertz “pause” its purchase of electric vehicles this year from the manufacturer, provided the rental company not sell its current Polestar vehicles “early or too cheaply,” according to a Monday Financial Times report.
Hertz in April 2022 had announced a deal with Polestar to purchase up to 65,000 EVs over five years from the Sweden-based carmaker.
The report comes less than a month after Hertz announced it planned to sell 20,000 EVs from its U.S. fleet, representing about one-third of its global EV fleet, due to higher costs related to collision and damage.
The Financial Times also cited the “collapse in resale values last year” as another reason why the rental company is pulling back from its initial EV strategy. Polestar in 2022 and 2023 had sold 20,000 battery-powered cars to Hertz, according to the report.
Neither Hertz nor Polestar immediately replied to requests for comment.
Hertz to Sell 20K EVs from U.S. Fleet, Replace with Gas-Powered Cars
[email protected] (Donna M. Airoldi)
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