Market capitalization of Tesla exceeds USD1 trillion after Trump election win


(MENAFN) On Friday, the market capitalization of US-based electric vehicle (EV) giant Tesla surpassed USD1 trillion, marking a significant milestone for the company. This surge in value follows a series of notable developments, including a sharp increase in Tesla's share price after the announcement of Donald Trump's election victory. Tesla's stock price saw a 13.5 percent jump on Wednesday, rising to USD285 per share, as investors anticipated the potential impact of Trump's policies on the EV market, particularly those related to tariffs. The president-elect is expected to impose additional tariffs on imported goods, including electric vehicles, with a specific focus on vehicles from China, which many believe would benefit Tesla's market position in the US.

The positive momentum continued throughout the week, as Tesla's share price climbed another 14.6 percent, closing at USD327 as of 1930 GMT. This marked a strong recovery and further bolstered investor confidence in Tesla's future. The company’s market cap reached USD1.04 trillion, a remarkable achievement for the electric vehicle manufacturer, which has seen rapid growth in recent years due to increased demand for its vehicles and technological advancements in electric mobility. The continued upward trajectory of Tesla's stock price is seen as a reflection of both the broader optimism surrounding electric vehicles and Tesla’s leading position in the industry.

Tesla's recent gains have been part of a broader trend of growth in the EV sector, as more consumers and governments focus on sustainable energy and environmentally friendly transportation. Since the beginning of the month, Tesla shares have gained around 31 percent, underscoring the company's dominance in the electric vehicle market. As major global economies ramp up efforts to meet carbon reduction goals, Tesla's innovation and leadership in electric vehicle production continue to attract attention from both consumers and investors, positioning it as a key player in the future of mobility.

Elon Musk, the CEO of Tesla and one of Donald Trump’s most prominent supporters, has played a significant role in the company’s rise. Musk has been a vocal backer of Trump’s policies, and in return, the EV giant stands to benefit from potential tariff hikes on foreign imports, which could enhance Tesla’s market share in the US. In addition to his public support, Musk also contributed over USD130 million to Trump’s election campaign, further solidifying the relationship between the billionaire entrepreneur and the incoming president. With Tesla's market cap now crossing the USD1 trillion threshold, it is clear that the company is poised to maintain its leadership role in the electric vehicle industry for the foreseeable future.

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