Why Don’t Norwegians Hate Tesla Like the Rest of Europe Does? | WIREDSkip to main contentHand-Picked Cyber Monday DealsShop NowMenuSECURITYPOLITICSTHE BIG STORYBUSINESSSCIENCECULTUREREVIEWSCYBER MONDAYMenuAccountAccountNewslettersBest Cyber Monday DealsApple DealsTV DealsUnder $100Laptop DealsDeals DeliveredSecurityPoliticsThe Big StoryBusinessScienceCultureReviewsChevronMoreExpandThe Big InterviewMagazineEventsWIRED InsiderWIRED ConsultingNewslettersPodcastsVideoMerchSearchSearchSign InSign InRiccardo PiccoloGearDec 1, 2025 2:35 PMWhy Don’t Norwegians Hate Tesla Like the Rest of Europe Does?November’s Tesla registrations were down in France, Sweden, Denmark, and Germany. Norway, however, is bucking the trend—thanks to a tax incentive system that will soon be rolled back.FacebookXEmailSave StoryA Tesla charging station in Norheimsund, Norway.Photograph: SERGEI GAPON/Getty ImagesCommentLoaderSave StorySave this storyCommentLoaderSave StorySave this storyThe slump does not stop. Tesla sales in Europe slumped again in November 2025, confirming a negative trend that has been going on for more than a year.Data reported by Reuters shows monthly registrations of Tesla automobiles—an accurate way of measuring sales—halved compared to the same month in 2024 in the continent's main markets: down 58 percent in France, minus 59 percent in Sweden, and down 49 percent in Denmark. In Germany, where the Elon Musk-controlled automaker has its only European plant, on the outskirts of Berlin, recorded just 750 vehicles sold in October, less than half the number sold a year earlier.The big exception to this downward trend is in Norway, where registrations of Tesla cars nearly tripled, to 6,215 units.The numbers for the first 10 months of 2025 expose a structural crisis. Tesla lost about 30 percent of European sales compared to the same period in 2024, according to data from the European Automobile Manufacturers' Association, the body that groups the industry's manufacturers on the Continent. Tesla's market share in the electric car segment fell from 12.6 percent in May 2024 to 7.2 percent in May 2025, according to analysis by Schmidt Automotive.Volkswagen took the lead among electric vehicle manufacturers by selling 133,465 units in the first six months of the year versus Tesla's 108,878, and Chinese manufacturer BYD sold more than twice as many cars as its US rival in October.Global Shock WavesThe reasons for the decline are many. Musk's political stances have alienated a significant portion of his European customer base, particularly in Germany where the entrepreneur has publicly supported Alternative für Deutschland, Germany's far-right party known as AfD. Musk's virtual participation in an AfD election rally in January 2025, during which he called on Germans to overcome guilt over their Nazi past, triggered a wave of boycotts. German companies such as pharmacy chain Rossmann and energy group LichtBlick announced the divestment of their Tesla fleets, while in Poland, Sports Minister Slawomir Nitras called on citizens to boycott the brand.Then there is the fact that competition has become increasingly fierce. More than 150 electric models produced by European, Chinese, Korean, and Japanese manufacturers are available on the European market. As Reuters again reports, a survey conducted by Escalent of more than 2,000 buyers in the five largest European car markets revealed that 38 percent of respondents believe that the Tesla brand has now lost its aura of novelty and quality.Tesla registrations in Italy also fell for six consecutive months until October, the month in which it sold just 256 cars, 47 percent fewer than in the same month in 2024, according to data from Italy's Ministry of Infrastructure and Transport. In the first 10 months of the year, 9,047 Tesla vehicles were registered in the country, a dip of 33 percent. The Italian figure is significant, because in the first five months of 2025 the electric car segment in the country grew by 73 percent. The problem therefore does not concern the electric vehicle market, but Tesla itself.Norwegian ReasonsIn Norway, however, the data tell a different story. Tesla has sold more cars in the Scandinavian country in 2025 than any other manufacturer in national history, surpassing the previous record set by Volkswagen in 2016. As Reuters reports, data released on December 1 by the Norwegian Road Federation, the body that monitors Norwegian road traffic, show that Tesla registered 28,606 vehicles from January to November, marking a 34.6 percent increase over the same period in 2024. Tesla now holds 31.2 percent of the entire Norwegian car market.The success is the result of very specific factors. Norway is the country with the highest penetration of electric vehicles in the world: in November, 97.6 percent of new registrations involved battery-powered cars. The record stems from an incentive system built over more than two decades that has made electric vehicles cheaper than conventional ones through a 25 percent VAT exemption for cars priced below 500,000 Norwegian kroner; that’s about €42,500 euros or $49,360.The November surge, however, should also be read in light of an impending change. The Oslo government announced in the 2026 budget its intention to lower the tax-exemption threshold to 300,000 kroner starting next year (€25,500/$29,600) and then eliminate the benefit altogether in 2027. Norwegian consumers have therefore rushed to complete their purchases before the new rules take effect.This story was originally published by WIRED Italia and has been translated from Italian.CommentsBack to topTriangleYou Might Also Like …In your inbox: Will Knight's AI Lab explores advances in AIThe first radio signal from Comet 3I/Atlas ends the debateBig Story: How Gen Z toppled Nepal’s leaderIf the US has to build data centers, here’s where they should goEvent: Join some of the most influential voices in tech and beyondRiccardo Piccolo writes about economics, Europe, the environment, and occasionally culture for WIRED Italia and other publications. An unrepentant philosophy graduate, he keeps a generational novel tucked away in his sock drawer, ready to be revealed to the world at the right time. ... 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Tesla’s struggles in Europe, particularly the stark contrast with Norway’s booming sales, represent a complex confluence of factors, primarily driven by consumer sentiment and the specific incentives offered in the Scandinavian nation. The story, as articulated by Riccardo Piccolo, highlights a pivotal shift in how European consumers perceive electric vehicles and, crucially, the role of government support in shaping that perception.

The broader trend of declining Tesla sales across France, Sweden, Denmark, and Germany reveals a significant disillusionment amongst European buyers. This downturn isn’t simply a matter of market saturation; it’s fueled by a growing awareness of Musk’s public stances and their impact on consumer trust. Specifically, Elon Musk’s vocal support for Germany’s far-right party, Alternative für Deutschland (AfD), triggered a wave of boycotts and divestments, largely from German companies. The contentious January 2025 rally, where Musk essentially urged Germans to confront their “Nazi past,” proved a particularly damaging catalyst. This event, coupled with longstanding criticisms of Musk's leadership style, significantly eroded consumer confidence in the Tesla brand.

Furthermore, the sheer volume of electric vehicle options on the European market contributed to the shift. With over 150 electric models available, competition intensified, and Tesla’s initial aura of novelty—and the premium price tag associated with it—began to fade. Surveys consistently revealed that a substantial portion of European buyers were losing interest in Tesla and its perceived quality. The impact of this heightened competition is further underscored by the success of established automakers like Volkswagen, which actively invested in electric vehicle technology and effectively challenged Tesla's market dominance.

However, Norway presents a drastically different narrative. The country’s exceptional Tesla sales—nearly tripling compared to 2024—are inextricably linked to a highly structured and remarkably effective incentive system. For over two decades, Norway has implemented a VAT exemption for electric vehicles priced below 500,000 Norwegian kroner (approximately €42,500 or $49,360), a policy designed to accelerate the adoption of EVs. This generous incentive, combined with a culture of strong environmental awareness, created a highly receptive market.

The key element is the impending change. The Oslo government’s decision to reduce this tax exemption threshold to 300,000 kroner (approximately €25,500 or $29,600) starting in 2026, and eliminate it entirely by 2027, dramatically altered the financial landscape for consumers. Recognizing this, Norwegian buyers surged to complete their purchases before the new rules took effect, resulting in a massive spike in registrations and establishing Tesla as the top-selling car brand in national history, surpassing even Volkswagen. This situation underscores how a targeted and well-timed policy intervention can dramatically reshape market dynamics. The numbers speak volumes – 28,606 vehicles registered from January to November, representing a 34.6 percent increase compared to 2024.

In conclusion, the divergent trajectories of Tesla sales across Europe illustrate a critical lesson: consumer perception, influenced by political stances and competitive pressures, profoundly impacts brand value, and government policy can act as a powerful accelerator—or brake—on market adoption. The Norwegian case highlights the importance of sustained, strategic incentives in driving technological innovation and shaping consumer behavior.