It would be difficult to say if God can or cannot create a world where no one ever sins. After all, we can’t speak for God. But, consider this. God knows all things and that He has all wisdom. Therefore, it would make sense to say that He would make the best possible world. But, of course, defining ‘best’ would be difficult. How would we know what is best? I would say that what is ‘best’ is that which is according to God’s divine counsel and will (Eph. 1:11), not our preferences.
Furthermore, the creation of the “second-best” possible world would seem inconsistent with God’s knowledge, power, and wisdom. The Christian Trinitarian God is maximally perfect. So, we could say that the best world was the one we have now. But, still, ‘could’ God have created a world where no one sins?
Barring any unforeseen illogical, biblical issue related to God’s power, we could say that God has the creative ability to produce a world where no one sins. I believe this is possible. However, I do not know if such a world would bring God the greatest glory. After all, we were created for the glory of God (Isaiah 43:7). So, perhaps the greatest glory of God is for sin to be in the world so that He could enter the world and die for sins. After all, according to Jesus, the greatest act of love is to lay one’s life down for his friend (John 15:13). And since God is love (1 John 4:8), then perhaps the best world is the one in which people sin so that the greatest act of love can be enacted by God Himself – where the second person of the Trinity becomes flesh and dies for us.
God’s power, ability, and wisdom are not subservient to His goodness and glory. All of them work together equally. There is not one aspect of God’s nature that is superior to another. Each and all comprise the totality of God, which is perfect as a whole. So, it would seem that the greater good, which would correspond to God’s self-glory (Isaiah 43:7) would be in harmony with all His attributes like love, mercy, holiness, righteousness, knowledge, etc. Given all of them, it seems that the greatest good is the greatest act of love – laying one’s life down for a friend (John 15:13). This would require sin in the world. So, if God must do what is best, then what we have, seem to be the best world. Therefore, though God has the capability of creating a world without sin, it doesn’t seem to be the best thing to do that would maximize all the characteristics of God.