Classic engine cars are becoming a rarity in one of the Nordic countries in Europe. By 2025, almost all newly sold cars were electric.
The automotive market in Norway surpassed a historic milestone in 2025: almost all newly registered cars were fully electric, according to official data published by the Norwegian Public Roads Administration (OFV). Electric vehicles reached a market share of 95.9% of total sales, with the percentage rising to 97.6% in December.
How gasoline and diesel cars are being phased out of the market
The change is significant compared to the situation 10 years ago when electric cars represented less than 1% of the market. In 2025, approximately 180,000 new cars were registered, the vast majority being electric.
The transformation has been supported by consistent fiscal policies implemented in recent years by the Norwegian authorities. Although some incentives for electric vehicles have been reduced, authorities have consistently increased taxes on gasoline and diesel cars, making them increasingly costly.
"This is often misunderstood outside Norway – it's not just about incentives, but also about penalizing classic engine cars. Internal combustion engine cars are practically being phased out of the market through taxes," said Christina Bu, director of the Norwegian Electric Vehicle Association, to Reuters.
The few thermal engine cars sold were mainly special vehicles intended for emergency services or people with disabilities. Mass-produced cars have become almost exclusively electric, confirming the country's effective entry into the post-gasoline era.
Tesla and BYD, the big winners
Tesla was the biggest winner of this transition, remaining the top-selling car brand for the fifth consecutive year. The American manufacturer delivered around 30,000 cars in Norway in a single year. This was an absolute record for a manufacturer in this market, despite controversies surrounding CEO Elon Musk's public stances.
At the same time, Chinese manufacturers rapidly strengthened their position, reaching nearly 14% of the market. BYD led this segment, with its sales more than doubling compared to the previous year.
The executive decision to introduce additional taxes for electric vehicles starting in 2026 triggered, towards the end of last year, a race against the clock for buyers and importers. "We quickly redirected cars intended for other markets towards Norway to deliver them before the deadline," explained Per Gunnar Berg, director of Ford Norway.