Swedish electric car maker Polestar has announced it is working on a new car, called the 7, and that it will be produced in Europe.

Polestar CEO Michael Lohscheller has announced that his brand will be taking on the world’s best-selling car, the Tesla Model Y, with a new model that’s expected to go on sale by the end of the decade. To compete head-on with the Model Y, the Polestar 7 would have to come with a starting price at today’s prices in the mid £40,000s.

Polestar may be facing a possible ban in the US, but the Sweden-by-way-of-China manufacturer isn’t going to let that stop it from releasing new products. The company provided a business update on Thursday,