Elon Musk’s recent statement, “As goes Norway, so goes the rest of the world. Combustion engine cars will be like the steam engine – quaint, but primitive,” comes as Norway cements its position as the world leader in electric vehicle (EV) adoption. In June 2025, an unprecedented 96.9% of all new cars sold in Norway were electric, according to the Norwegian Public Roads Administration, marking a dramatic rise from 80% just a year earlier. This milestone underscores the country’s rapid transition away from internal combustion engines — a trend that many industry observers, including Musk, believe will soon reshape global markets.

The scale of Norway’s EV dominance is striking. Out of 18,376 new cars registered in June, 17,799 were electric, with only a small fraction being hybrids or combustion engine vehicles. Pure diesel and petrol models accounted for just 0.8% and 0.3% of the market, respectively — a sharp decline from previous years. Musk’s own Tesla (TSLA) Model Y led the charge, representing over a quarter of all new registrations, with 5,004 units sold in June alone. Other popular models included the Toyota bZ4X and VW ID.4, but none came close to Tesla’s market share.

This surge in EV sales is not an isolated event. For the first half of 2025, electric cars made up 93.7% of all new car registrations in Norway, up from 84.9% during the same period in 2024. The country’s aggressive incentives, such as zero or low-interest financing and recent interest rate cuts, have played a significant role in boosting demand. These policies, combined with a growing range of EV models and improved charging infrastructure, have made Norway a template for what a post-combustion automotive market could look like.

The environmental impact is equally significant. The average CO2 emissions from new cars in Norway have dropped to just 3.5 grams per kilometer, reflecting the near-total absence of fossil fuel-powered vehicles in new sales. This dramatic reduction supports Norway’s ambitious climate goals and demonstrates the potential for similar results in other countries that follow its lead.

Musk’s comparison of combustion engine cars to steam engines highlights the broader implications for the global auto industry. As Norway approaches its goal of making all new car sales emission-free, the rapid decline of combustion engines is seen not just as a local phenomenon, but as a preview of what may soon unfold worldwide. With major automakers and governments watching Norway’s progress, the country’s experience offers both a blueprint and a challenge for the future of transportation.