Hertz wants to sell Polestars cheaply, but Polestar is an obstacle

‘Hertz will buy up to 65,000 electric cars in five years’, says Polestar proudly in a press release dated April 4, 2022. The car rental company responds with the same message that it is ‘excited’ about the partnership and expects to sell. its ‘premium EVs’ offer. That was then. Now the relationship between the two companies is completely different.

Hertz previously indicated that the company would sell 20,000 electric cars in the United States. Repair costs for EVs are prohibitive and the residual value is disappointing. So Hertz agreed with the car brand that there would be a pause in the delivery of 65,000 cars. Polestar and Hertz are now at loggerheads over the tens of thousands of vehicles that have already been delivered.

What will happen to used Hertz Polestars?

Some car rental companies agree in advance with the manufacturer that the cars will be bought back if they are not satisfactory. Hertz doesn’t do that so they decide what to do with the rental cars. Polestar agreed that Hertz would not accept all the cars ordered, but in return demanded that Hertz not sell Polestars ‘for less’. This is what Polestar boss Thomas Ingenlath said Financial Times.

Also read: Are there too many brands of new cars? Volvo already wants to get rid of sister brand Polestar

According to the boss of the car brand, the two companies have agreed that if Hertz keeps the cars for more than a year, Polestar has the right to repossess the cars before Hertz sells them. The car rental company denies this agreement and does not elaborate further. The Polestar 2 is no longer available in the Dutch rental car range. Strangely enough, the Tesla Model 3 does. There are currently no Polestars for sale on Hertz’s US sales site.