The Nordic nation Norway announced that its goal of achieving 100% electrification of all new passenger car sales by 2025 has been achieved ahead of schedule, making it the first country in the world to complete the transition to vehicle electrification. Through over a decade of policy incentives and market cultivation, Norway has propelled electric vehicles from a marginal choice to the mainstream. In 2024, electric vehicles accounted for 88.9% of new car sales in Norway; since 2025, this number has continued to rise to 95%-97%, with monthly sales of traditional fuel vehicles numbering only in the hundreds.

    Norway's current incentive plan retains the VAT exemption for EVs (capped at 500,000 NOK). However, the latest budget proposal aims to reduce the tax-free threshold for EVs to a price of 300,000 NOK, phasing out this exemption completely by 2027.