Polestar has announced that it will replace its long-standing CEO, Thomas Ingenlath, with Michael Lohscheller, a former executive at Opel and several electric vehicle startups. This move comes as the company seeks to revitalize its operations following years of delayed model launches, unmet delivery targets, and increasing independence from Volvo Cars. Lohscheller, who has previously held CEO positions at Opel, VinFast, and Nikola, will assume his new role on October 1, according to a company statement. He steps into the CEO position at a critical juncture for the EV maker, which is implementing a significant cost-cutting initiative aimed at achieving profitability and cashflow breakeven by 2025. The broader sector challenges, including a decline in electric car demand and price reduction pressures sparked by Tesla's price war, have also impacted Polestar. Additionally, import tariffs on Chinese-made EVs imposed by the EU, US, and Canada have increased cost pressures as the company aims to reduce its dependence on Chinese production.
Lohscheller's extensive experience as a CEO in the automotive industry contrasts with Ingenlath's design-focused background, who previously served as Volvo Cars' senior vice-president of design before becoming Polestar's CEO in 2017. This leadership transition signifies a further divergence from Volvo Cars, one of Polestar's co-founders and major financial supporters until this year. Polestar has also undergone other leadership changes, including appointing a new chair in June and replacing its head of design last week, both of whom had ties to Volvo. While Polestar's models 2 and 3 are manufactured in Volvo Cars' factories, model 4 is produced in a Geely-operated facility, a trend likely to continue with future models. Despite Volvo Cars reducing its stake in Polestar from 48% to 18%, Geely, now the majority shareholder, has affirmed its commitment to the company and its intention to provide further financial support. A Geely spokesperson emphasized the group's support for Polestar's strategic direction, while acknowledging the board's authority in CEO appointments. Polestar's new chairperson, Winfried Vahland, expressed confidence in Lohscheller's appointment, stating that he is the right leader to guide Polestar through its next phase of development.
