Tesla's shares fell again.

Shares in Tesla fell sharply yesterday after a report that the electric carmaker plans to extend a reduced production schedule at its Shanghai factory into the new year. As Wall Street reopened after the Christmas holiday, Tesla reversed by 11.4 per cent, or $14.05, to $109.10 in New York. The business, led by Elon Musk, started in 2022 with a market value of more than $1 trillion. However, its shares have fallen by almost 73 per cent, and its value stood shy of $342 billion yesterday.

Investor concerns have hit Tesla. The carmaker plans to maintain curbs on output in Shanghai next month, according to the Reuters news agency, halting production between January 20 and 31 as part of an extended break over the Chinese New Year. It is unclear why Tesla is taking this step, having also opted to pause most work at the plant towards the end of this month. As a result, America’s S&P 500 retreated 0.4 per cent, or 15.57 points, to 3,829.25.

The technology-focused Nasdaq Composite declined 1.38 per cent, or 144.64 points, to 10,353.23. Asian markets were buoyed after Beijing announced that Chinese borders are set to reopen next month, drawing a line under almost three years of strict Covid-19 restrictions. The CSI 300 rose 1.2 per cent across Shanghai and Shenzhen. The Nikkei 225 gained 0.2 per cent in Tokyo.

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