The incident took place in an industrial area in Partille, near Gothenburg, just before midnight on Saturday. The man was run over following an argument outside a nearby party venue. Witnesses say the driver deliberately ran over the 23-year-old.
The car left the scene immediately, but was later found in the Borås area. The five people in the car were taken in for questioning. The driver, also aged 23, was then arrested. He is suspected of attempted murder, police say.
The victim was described on Sunday morning as being in a serious condition, but his injuries are said not to be life-threatening.