Tested: 2025 Polestar 3 Nails the Dynamics but Not the Ergonomics - Related to 3, everyone, tariffs, than, tested:

How Tariffs And EV Backpedaling Hurt Everyone In America

My friend has a gas-powered car and they’re interested in making a switch to an electric vehicle. They know I write about EVs, and they had questions. I’d call them “Ohio comfortable,” making a wage above the median in this state with enough to have a house and a car or two, but chump change in any given top-five [website] metropolitan area.

Like many Americans, they had been watching in horror as the Trump Administration—either with or without Elon Musk’s help—slashed away so many key programs meant to support a fair chunk of American life. Within weeks of Trump taking office, century-long relationships of trust between us and our allies have crumbled. Economically and politically, the future feels very uncertain right now.

“Should I get something now, or should I wait until more models are on the market?” they asked, unsure if any forthcoming tariffs or incentives or tax credit programs would still be around by the time they figured out exactly what they wanted.

They were stuck between a rock and a hard place. I know that the tax credit incentives are a real make-or-break factor for people like them, and me, and just about anybody else without big luxury money to burn. EVs are still expensive, and the tax credit (whether new or used) made electric motoring accessible to them. Right now, that’s still in play.

But the whole program may soon be gutted, likely right in the middle of implementation, and probably with no way for dealers or buyers alike to get the monies they once thought owed. To these Ohio-comfortable people, that $4,000 to $7,500 represents months of income and that’s not something to just dismiss.

It’s especially true when vehicle selection is generally limited to higher-end crossover and truck options, with the addition of affordable EVs seemingly becoming more distant by the day.

“Do you think there will be more models coming soon?” they asked. I didn’t have a good answer for them. Of course, I know that more EVs will be introduced in our market soon, but tariffs, cancellations, rising inflation, and an increase in anti-China sentiment mean that things do not look all that good for the [website] auto industry, including EVs. And I’m not the only one who feels this way.

“I think everyone kind of just expected the [website] to be this fallback,” noted Tyson Jominy, Vice President of Data and Analytics at [website] Power. “Okay, fine, China's gone to [hell] and all the EV investments have gone to [hell], but at least we could fall back on selling SUVs in the [website], right?”.

Jominy is referring to the fact that sales of non-Chinese brands have cratered in China, an endless headache for General Motors or the Volkswagen Group. So there was always an assumption that the [website], the world’s second-biggest car market, could still be a fallback for consistent sales, especially higher-margin trucks, luxury cars, and SUVs. Volkswagen has even stated that’s why it’s doing the Scout Motors brand here and bringing over Cupra from Europe.

But now, Jominy expressed, things are so inconsistent—every other day we’re staring down tariffs on vehicles and parts made by our allies. Whether it be the new 25% tariff on steel and aluminum from Canada, or the proposed tariffs on all goods from Canada, Mexico and now possibly Japan and all of the European Union, these heavy-handed tariffs would touch nearly every single part of the vehicle manufacturing process.

Here’s the thing. These tariffs aren’t on new agreements. They’re hitting ones that every manufacturer would have rightfully called longstanding and reliable without a second thought. Before USMCA, we had NAFTA, which ignited Mexico’s car manufacturing scene 31 years ago. Canada has been a key supporter of the American auto industry for 100 years. These longstanding, reliable agreements improved the economies of all three places and gave us reasonably affordable cars. And it could all be dashed to pieces, on the belief that tariffs will either replace income tax revenue or instantly drive more car manufacturing stateside.

Never mind the fact that setting up a car factory takes years and billions of dollars. Or the fact that the Biden-era Inflation Reduction Act was actually driving car manufacturing here anyway. All of that could go away if the incentives do. And then EV batteries will never get cheaper, and cleaner, more high-tech cars that don’t use gas will always be out of reach.

The Canadian counterparts to Honda’s EV hub or any Canadian EV production expansion are now in limbo. Add in the threat to EV tax credits, and it’s clear why so many brands are hanging in limbo. Honda certainly was when I asked about their plans to head off tariffs while visiting their Ohio EV hub in late January. GM finally got the secret sauce right on its EVs, but now the Mexican-made Blazer EV, Cadillac Optiq and Equinox EV are facing huge tariffs. That would seriously hurt one of the key things we need: affordable EVs.

Jominy explained that these tariffs put brands and buyers alike between a rock and a hard place. On one hand, [website] Power estimated that if tariffs are implemented like the Trump administration says (the plan calls for 10% tariffs on Mexico and Canada, 25% everywhere else) the gross price increase on average for Americans would be around [website] That doesn’t sound so bad, but the devil is in the details. The tariffs would hit harder on more affordable cars, further pushing buyers out and reducing demand, hurting every automaker’s bottom line.

Don’t think this is just for EVs; it hits everything. The Ford Maverick? It’s made in Hermosillo, Mexico. The Chevrolet Trax? Korean made. Ford Mustang Mach-E? That’s also Mexico. The Kia EV3 that Patrick George raved about? It’s made in Korea right now, and Kia clearly wants to take it elsewhere but doesn’t have a damn clue where, thanks to everything right now. If you thought you’d get a Chinese-made something or other, just go ahead and put that out of your mind right now. That 100% tariff likely won’t go away any time soon.

Jominy was clear about what would happen if the tariffs went through: Cars will get more expensive. “If the original proposed 25% tariffs on Canada and Mexico go through, that would have added about 8% [increased costs],” he mentioned.

Now, the automaker is forced to do one of two things—eat those increased costs, or somehow spread that across the lineup and hope the reduced demand doesn’t kill them. If they eat the costs, that would essentially wipe out profit margins. If they pass it along to consumers, then prices go up in a country already weary of inflation. This is why Jominy described the auto industry as sitting in something of an existential crisis, unsure as to how exactly to move forward.

“There's almost no situation where anyone is improved off, right? Neither consumer nor automaker. I mean, it hits everyone,” he noted.

And to add insult to injury, Trump could approve or renege on it at a moment’s notice.

How do you plan for that type of uncertainty? Whether you’re a consumer or an automaker, things look grim. Sure, transaction prices and sales of some models did grow for 2024, but these existential threats to EVs that seemingly yo-yo every few hours are why “no one feels good right now,” .

These are some of the reasons why [website] Power’s Electric Vehicle Experience (EVX) Ownership Study, found that EV adoption will likely stay flat this year, holding still at [website] for 2024. However, this survey was done before Elon Musk’s hard pivot right and the galvanization of anti-Tesla protests and mass sell-offs. The real numbers could end up being lower.

Still, that doesn’t mean that EV investment should stop. On the contrary, It’s now imperative for automakers to push forward, because they can’t just go back.

“So I think most automakers, if they're honest, are somewhat relieved if the EV requirements are lessened, that they can go back to ICE,” stated Jominy. “But the challenge is, they haven't been investing in ICE. So now we're looking at the oldest ICE portfolio we've ever seen since [[website] Power] has been collecting data. If you've owned a vehicle for six years, and you come back to the market, and you go there and it's the same one and now my payments have doubled, that doesn’t make sense.”.

As a result, we get a Catch-22. Manufacturers would have to quickly spool up halfhearted freshenings of ICE cars, which takes money they don’t have to build bad cars that consumers can’t afford or don’t want. And this is also specific to the [website] market. On a global scale, manufacturers would be wasting money on a band-aid product that only makes sense for the [website] That’s not exactly wise in a global market that continues to electrify.

In short, something’s got to give. When my friends ask me if they should buy an EV now or wait until something superior comes along, I just don’t know. When people ask if the Kia EV3, or Hyundai Inster, or Mini Aceman, or any Chinese BYD would eventually come to the [website], I don’t know. In fact, I think that all of those brands are on the same page here. It’s a bad idea to enter the [website] market and it’s probably best to stay at home.

Or, hope and pray that some consistency comes through soon.

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Making A Plug-In Hybrid Is A Lot Harder Than You Think

Just make plug-in hybrids! It's obvious. Simple, even. It's the solution. Read enough forums, social media posts and comments and you'll surely learn that for yourself. Automakers seem persuaded. Everyone from Ram to Chevy to Nissan is following along.

There's just one giant issue here. Making a plug-in hybrid is hard. Harder, even, than making a great EV. Anyone who thinks they can just spin up a world-class PHEV has another thing coming.

The issue is simple, in that the issue is complexity. Set out to make a car and you couldn't come up with a more Wile-E.-Coyote-style solution than a car that requires a gasoline engine, electric motors, a battery big enough to run the car on its own, a charging system, a transmission and all of the software and tuning prowess necessary to blend this all together into an acceptable smoothie.

It's no wonder many come out with more of a crunchy-peanut-butter consistency.

Photo by: InsideEVs Lexus and Toyota have figured out how to make smooth, reliable PHEVs. But not every corporation has worked them out.

Just ask Consumer Reports. The average PHEV had 70% more problems than the typical gas car in its latest reliability study. That's a worse showing than EVs—which do have 42% more issues than gas cars in aggregate—yet, astoundingly, also a remarkable improvement. In the previous year's survey, PHEVs had 146% more issues than gas and hybrid vehicles.

"Although the BMW X5, Kia Sportage, and Lexus NX PHEVs all have average reliability, their non-PHEV versions are more reliable," Consumer Reports noted. For more proof, look to the Mazda CX-90 I'm driving this week. It's a beautifully designed SUV from a business with a reputation for solid reliability. But it was also all-new for 2024.

"The Mazda CX-90 PHEV is the least reliable three-row SUV we have data on because of issues with the hybrid battery, electrical accessories, and climate system," the publication stated. "It’s not surprising that its unique engine, PHEV system, and rear-wheel drive setup were all designed from the ground up."

One factor that explains this issue: new products tend to be less reliable than proven designs, a truism that also explains many EV issues. But PHEV complexity only exacerbates that issue.

Now, Mazda has addressed many of the CX-90's issues via updates and service bulletins, and the one I'm driving feels far smoother than the reports of early examples. Yet the example is instructive.

It's just incredibly difficult to get this technology right on your first go. Unlike extended-range electric vehicles (EREVs), PHEVs do not have enough all-electric oomph to fully disconnect their engines from the wheels. Doing so streamlines design, as you don't have to worry about blending two dissonant power reports, or figuring out the handover between them. (EREVs have their own challenges, which Kevin Williams explains in his excellent explainer on the Ram 1500 Ramcharger's battery.).

PHEVs do have to blend their powertrains and braking systems, like a conventional hybrid. Unlike a hybrid, though, PHEVs need enough power to run for significant mileage with the engine off, and need onboard chargers to convert external AC energy into the DC power a battery needs.

That means you need every complicated part of an EV alongside every complicated part of an internal combustion engine. Improvement comes only via addition. So while an EV may be simpler to produce once you get over the hump, PHEVs will always be harder to make and package than internal-combustion cars.

This helps explain that while hybrids have achieved near cost parity with traditional gas-only engines, PHEVs remain far more expensive. This CX-90 I'm driving starts around $12,000 higher than the gas version, and only $7,500 of that can be offset via tax credits, and only if you lease it.

Photo by: Ram EREVs like the Ram 1500 Ramcharger offer the flexibility of PHEVs, but without the need for the gas engine to ever power the wheels directly. That means you can remove a lot of the tuning work and some of the trickier components, like the transmission.

It isn't an outlier. The average PHEV was priced just under $63,000 in July, . That's over $14,000 higher than the average transaction price of a new vehicle overall that month, $48,401 per Kelley Blue Book. That's expected. What may surprise you is that it was also around $4,400 higher than the average transaction price for a full EV at that time.

That's a consequence of complexity. PHEVs are harder to build and—with lower average reliability—cost more to warranty, too. Then there's the tuning nightmare.

PHEVs must attempt to smooth the transition from the smooth, linear powerband of their electric powertrains to the mechanical, imperfect torque curve of their internal combustion engines. They must do so nearly instantaneously, at varying speeds, all while the user continues to adjust throttle inputs.

They must be quick to kill power to the internal combustion engine to save fuel, and quicker still to re-fire it when torque demand outpaces the supply from the electric motors. They must keep the engine in its most efficient operating range without letting it drone incessantly at a stable frequency, which consumers hate. It is a tall order.

I drove a Hyundai Tucson PHEV last year and loved it.

Many companies have figured out how to handle it. Plug-in hybrids I've sampled from Toyota and the Hyundai Motor Group, which includes Kia, are great. The Chevy Volt was wonderful. BMW's system also impressed me when I drove the X5 PHEV. Others struggled, then figured out how to overcome. Volvo's early plug-in systems were jerky and annoying, but the new stuff is pretty good. Mazda's CX-90 and CX-70 struggled initially, but the system seems far smoother today.

Many more, however, haven't crossed that gap. Stellantis makes a ton of PHEVs, and while some are smooth, others aren't. Many have reliability issues. General Motors may have also aced the Volt, but the second-generation car was designed a decade ago. Since GM just revealed last year that it was once again investing in PHEVs, we'll see if the institutional knowledge to make good ones survives that gap.

Audi has had some success, too, but Volkswagen's push toward PHEVs remains unproven. Subaru's plug-in hybrid Crosstrek flopped, too, with a modest electric powertrain that required near-constant interventions from the internal combustion powerplant.

Subaru's next hybrids—the Forester and Crosstrek—are conventional models without a plug. Ford's PHEVs may be enhanced, but it's hard to say for sure. While the business has sold more Escape Hybrids, Mavericks and F-150 Hybrids than I care to count, its PHEVs have had little success.

The Escape Plug-In Hybrid has done alright, but the C-MAX PHEV was basically a compliance car. And whille the organization made a big deal out of launching PHEV versions of the Ford Explorer and Lincoln Aviator, they were quietly dropped after their own quality issues (which were not all specific to the hybrid models).

The Volt was the original plug-in hybrid. Too bad GM killed it before PHEVs caught on.

None of this is to say that PHEVs are a bad solution, or a doomed one.

As someone with only level one slow charging at home, who also takes an above-average number of road trips, a PHEV may be perfect for me.

Yet I see so many people acting as though they're the easy solution. I want to dispel that once and for all. They are a solution, one we'll need. But if you want to make a great PHEV, it's going to take even more work than making a great EV.

Those who bet big on them before working out the kinks have a long, painful road ahead.

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Tested: 2025 Polestar 3 Nails the Dynamics but Not the Ergonomics

Congratulations! You've just purchased a new 2025 Polestar 3. You grab the keys from the salesperson, hop into the cabin, start it, and—what the hell is this? The whole steering wheel is blank! Everything else lights up, but the wide swath of buttons on the tiller stays dark as night. Is it broken? Do you have to solve a series of riddles first? Your window sticker did have a line item for the bridge-troll toll, so it can't be that.

Not every car spoon-feeds you the driving experience in the way you're used to. It's not necessarily a surprise that Polestar does things a little differently—after all, the new Polestar 4 doesn't even have a rear windshield—but doing things differently doesn't also mean doing them well. That's the thing about the Polestar 3: It nails the basics, but when you start diving into the minutiae, some parts of this compact electric SUV will clearly take some getting used to.

View Exterior Photos Marc Urbano | Car and Driver.

Then again, even a quick glance at the exterior is all it takes to know the Polestar 3 isn't always following the beaten path. The whole shebang gives off more of a tall-wagon vibe in person than a proper SUV, but Polestar's traditional Volvo-adjacent lighting keeps the car vaguely rooted in familiarity.

HIGHS: A blast in any weather, clever design, competitively priced.

And for all the awkward bits we'll get to in a bit, the 3's cabin does succeed in its luxurious-minimalist appeal. We love the utilization of multiple interesting textiles across various touch points, though the carbon-footprint data printed on the $5500 nappa leather seats might lean too hard into the greenwashing. Otherwise, the cabin is well lit from all sides and felt sufficiently spacious. We don't love the size of the tiny armrest cubby, but the expansive tray underneath makes up for it.

View Interior Photos Marc Urbano | Car and Driver.

Our Polestar 3 test car was the Launch Edition, which included all three of its major packages. The Pilot package adds additional driver aids, while the Plus pack piles on the luxury with a Bowers & Wilkins sound system, but we're most interested in the Performance pack. A standard dual-motor Polestar 3 produces 483 horsepower and 620 pound-feet of torque, but Performance models bump that up to 510 horses and 671 twisties, in addition to adding sportier chassis tuning and a whole lot of gold, including the seatbelts.

LOWS: Some infuriating controls, nannies out the wazoo, iffy rear visibility.

That's more than enough motive force for this sled. At the test track, our Polestar 3 made its way to 60 mph in [website] seconds—[website] second quicker than the last Mercedes-Benz EQE 500 SUV we tested and dead even with the Porsche Cayenne S Coupe. The Polestar also bested the EQE in the quarter-mile by [website] second and 2 mph, running [website] at 109 mph.

View Exterior Photos Marc Urbano | Car and Driver.

Despite the Polestar weighing 30 pounds more than the EQE, the former's brakes were certainly hungrier for friction; the 3 only needed 152 feet to stop from 70 mph, while the EQE 500 SUV required 182. The gulf widens further at 100 mph, where the Polestar required just 307 feet, while the Merc asked for 374. In addition to its zero-to-60 dead heat with the 3, the Cayenne is even-steven with the Polestar in braking from 70 mph (and oh so close from 100 mph at 310 feet)—which is wild when you consider the Porsche is almost 600 pounds lighter.

Polestar has presented many times that the Cayenne is the 3's natural dynamic target, and whaddya know, it's pretty darn close. Sure, the Swede's [website] skidpad effort is [website] g below the Porsche's, but lateral grip isn't everything. The 3 rides on a pretty normcore combination of adaptive dampers and dual-chamber air springs. The suspension did a great job of waving away the Polestar's mass, and the scales belied how light the 3 really felt whether we were chucking it into a mostly dry corner or around an abandoned (read: unplowed) Walmart parking lot. Unwanted pitching or rolling was hard to find, but the 3 never rode so stiff that we felt uncomfortable. Polestar found a lovely line to thread between comfort and poise. The only thing we truly didn't like about the driving experience was mediocre sightlines to the back and the sides.

View Interior Photos Marc Urbano | Car and Driver.

There are some parts of the Polestar 3's cabin tech that work well—the infotainment software is Polestar's (hell, Sweden's) best iteration yet, with a pleasant color scheme and vehicle settings that include graphic complements to improved show what the setting actually changes. The tiny little display behind the steering wheel is nice, and certainly preferable to looking farther away from the road for some centrally mounted display, like you're back in a Saturn Ion.

And then there's the steering wheel and most of what's near to it. All those blank buttons? That's by design—you must lightly hover your finger on a button before the gauge display will tell you what it does, if anything. Sometimes, the buttons simply have no function. Most of it's related to the cruise control, which is engaged by . . . shifting into Drive for a second time, which in other cars usually hides a brake-regen function. Need to cancel? Shift into Drive again. Need to resume? Shift into Drive twice—but not too slowly, or else it won't count. If you also own a non-Polestar vehicle, it's sort of like learning a second language, which can be less than ideal if you bounce between cars often.

View Interior Photos Marc Urbano | Car and Driver.

Oh yeah, and there's only two window switches for four windows on the driver's door panel. Thank you, Volkswagen, for creating a monster that we may never be able to kill. This car costs damn near $100,000; we think they can afford four window switches there.

VERDICT: A solid-value performer if you can get past some of the quirks.

Price is the final arena where the Polestar competes to win. Our Launch Edition, which includes the Performance pack's power boost, starts at $86,300, with our tester ringing in at $93,100 with a couple extra options. A base Mercedes EQE 500 SUV demands $90,650 before a single option box is ticked; if you want an EQE SUV that outperforms the Polestar 3, you have to step up to the $110,750 AMG variant. The Porsche Cayenne S is also quite dear, starting at $103,595. Skip the Launch Edition model and you can get a Perf-pack 3 for just $81,300.

View Interior Photos Marc Urbano | Car and Driver.

Not only is the Polestar 3 approaching the performance chops of its intended target, but it's doing so at a major discount too. It may not have the badge panache of Mercedes-Benz or Porsche, but the 2025 Polestar 3 is definitely worth checking out, provided the steering wheel doesn't trip you up.

Specifications Specifications 2025 Polestar 3 Performance Launch Edition.

Vehicle Type: front- and rear-motor, all-wheel-drive, 5-passenger, 4-door wagon PRICE.

Options: Nappa leather seating surfaces (nappa leather, front massaging seats w/ ventilation and power side support, Bowers & Wilkins front headrest speakers, black ash wooden deco panels), $5500; metallic paint, $1300 POWERTRAIN.

Front Motor: permanent-magnet AC, 241 hp, 310 lb-ft.

Rear Motor: permanent-magnet AC, 268 hp, 361 lb-ft.

Battery Pack: liquid-cooled lithium-ion, [website] kWh.

Transmissions, F/R: direct-drive CHASSIS.

Brakes, F/R: [website] vented disc/[website] vented disc.

Results above omit 1-ft rollout of [website] sec.

Roadholding, 300-ft Skidpad: [website] g EPA FUEL ECONOMY.

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