Norway’s Gas Car Sales Plummet to Near Zero Last Year

The transition to electric vehicles (EVs) in Norway has reached a significant milestone. In 2025, EVs accounted for an impressive 95.9% of all new car sales, bringing the nation closer to its goal of eliminating new gas cars on the road.

Norway’s EV Sales Trend

Norway’s electric vehicle market has grown dramatically, with Tesla maintaining its position as the leading brand for the fifth consecutive year, holding a 19.1% market share. Other notable brands include Volkswagen and Volvo, while Chinese manufacturers have also made a remarkable impact, raising their collective market share from 10.4% in 2024 to 13.7% in 2025.

Incentives and Regulations

Although Norway is not part of the European Union (EU), it closely aligns itself with EU automotive policies. The country has proactively worked toward a ban on pure combustion vehicle sales, achieving this goal nearly a decade ahead of the EU’s 2035 target.

• 95.9% of new car sales in Norway were electric in 2025.
• Tesla held 19.1% of the market share.
• Chinese automakers increased their market share to 13.7%.
• Norway’s EV adoption rate vastly exceeds the EU average of 17%.

Norway’s decision to gradually reduce tax incentives has started to reshape consumer choices. In 2026, electric vehicles priced under $30,000 will qualify for VAT exemptions, while higher-priced models will no longer be eligible.

Factors Influencing EV Adoption

Several factors contribute to the rising popularity of EVs in Norway. Heavy taxes on combustion vehicles, including high registration fees and fuel taxes, discourage consumers from purchasing gas cars. This financial burden makes EVs a more economical option for many Norwegians.

In addition to these regulations, the expanding market for affordable small electric cars from European and Chinese manufacturers presents a wider selection for buyers. This may lead to further shifts in consumer preferences in 2026.

Comparative Analysis of EV Adoption in Europe

Norway leads Europe in electric vehicle adoption, with Denmark following at over 50%, and Sweden at around 37%. Other Nordic countries are also seeing growth in their EV markets, although the adoption rates for plug-in hybrids vary across the region.

As the automotive landscape evolves, it will be crucial to observe how Norway’s EV sales continue to trend upward in 2026, despite the narrowing scope of VAT exemptions. The move towards smaller, affordable electric cars may cater to a new segment of buyers, further enhancing Norway’s position as a leader in sustainable transportation.