Tesla's market value dropped below $1 trillion on Tuesday as its stock fell 6%, pressured by broader market concerns and company-specific issues. The drop comes amid falling US consumer confidence, fears over potential tariffs, and uncertainty surrounding US President Donald Trump's administration's future economic policies.
More particularly, the electric vehicle giant has faced a rough start in 2025, with shares down about 22% year-to-date. Investors have expressed concerns over CEO Elon Musk's increasing involvement in Washington and about slowing EV sales.
At 10:15 am ET, Tesla shares were down 6.20% to $310.03, bringing its market capitalization to $997.22 billion.
