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While Europe Ditches Musk, Norway Doubles Down on Tesla

By Jake Beardslee · July 12, 2025

Elon Musk on April 10, 2025, in the Cabinet Room of the White House. (Official White House Photo by Molly Riley).  The White House / Wikimedia

While Tesla’s sales have been faltering across much of Europe, the U.S. electric vehicle manufacturer is experiencing a powerful surge in Norway, a country renowned for its aggressive embrace of electric vehicles (EVs).

According to data from the Norwegian Road Federation (OFV), Tesla reported a 54% year-over-year increase in new vehicle sales in June, led by a 115.3% jump in registrations for its upgraded Model Y. That growth followed a dramatic 213% rise in May sales, reinforcing Tesla’s dominance in one of the most EV-saturated markets in the world.

Christina Bu, secretary general of the Norwegian EV Association (NEVA), said the enhanced Model Y is “definitely part of the reason” behind Tesla’s rising numbers. Speaking to CNBC, she noted the model offers “a lot of value for money and is what Norwegians need,” pointing to its popularity stemming from features like ample luggage space, high ground clearance, all-wheel drive, and a tow hitch.

Tesla’s success in Norway stands in contrast to its broader European performance. Sales fell 60% year-over-year in Germany in June, with declines also seen in France. According to data from the European Automobile Manufacturers Association (ACEA), Tesla’s European sales have fallen for five consecutive months.

Despite minor growth in southern Europe—up 61% in Spain and 7% in Portugal last month—Tesla’s broader image across the continent appears to be suffering, in part due to CEO Elon Musk’s political activities.

Musk’s high-profile support for U.S. President Donald Trump, including a reported $300 million contribution to Trump’s election campaign, and his endorsement of Germany’s far-right AfD party have drawn criticism. Protests have erupted at Tesla dealerships in several European countries, and Musk’s public fallout with Trump has further fueled controversy.

In Norway, these political entanglements have not gone unnoticed. A recent NEVA survey of over 15,000 EV owners found that 43% of respondents said they would not consider buying a Tesla due to political concerns. “So, this has definitely been a big debate in Norway,” Bu said. “What Elon Musk has been saying and doing the last year or so — so it definitely affects people, but not too many because their market share is remarkable really.”

Norway’s unique EV-friendly environment helps explain Tesla’s resilience. The country has led the world in EV adoption through a mix of long-term government support, tax exemptions, and infrastructure investments.

As Norway aims to eliminate gas and diesel vehicles from its new car market entirely, Tesla’s stronghold there appears safe—even as the company faces challenges elsewhere in Europe.