Tesla shares fall 11% after the electric car maker delivered fewer vehicles than expected

Tesla shares fell more than 12 per cent yesterday after it delivered fewer electric cars than expected.

In another setback for chief executive Elon Musk, the company said it delivered 405,278 vehicles in the final quarter of 2022.

Despite being a record high, it was below Wall Street estimates of up to 430,000, sending shares lower on the first day of trading in 2023 following a painful 65 per cent sell-off in 2022.

The firm, which saw its market value peak at over $1 trillion, is now worth $339billion. 

The slump in the Tesla share price has seen Musk become the only person in history to erase $200billion from their net worth – though his wealth still stands at $137billion (£115billion).

Tesla is still the world’s most valuable car maker, even though its production is a fraction of rivals such as Japan’s Toyota. 

Global car makers have in the past few months battled a demand downturn in China, where the spread of Covid-19 has hit consumer spending. 

Tesla has tried to navigate the pressure by offering hefty discounts in the country, as well as a subsidy for insurance costs.