Elon Musk’s net worth has experienced a significant decline, falling by $7.1 billion on Tuesday to a total of $347.7 billion, according to Forbes’ real-time estimates. Musk’s fortune is now $116.3 billion less than its peak of $464 billion, which was reached on December 17, when Tesla stock closed at a record high of $480 per share.
Since then, Tesla’s stock has faced a notable slump, closing at $272 on Tuesday—its lowest end-of-day price since the U.S. Election Day. The decline in Tesla shares coincided with a broader market downturn, with the S&P 500 dropping more than 1% to reach its lowest level for 2025. The slump has been attributed, in part, to the impact of newly imposed tariffs on Canada, China, and Mexico under former President Trump’s administration.
To put Musk’s $116 billion loss in context, it’s more than the total net worth of the 13th wealthiest person globally, Microsoft co-founder Bill Gates, whose fortune is valued at $108.1 billion. Asia’s wealthiest individual, Mukesh Ambani of India, has an estimated fortune of $85.6 billion.
Tesla’s Vulnerability to Tariffs
Tesla’s stock struggles are particularly concerning given the company’s reliance on international markets and suppliers. China is Tesla’s second-largest market, and the automaker, like other U.S. car manufacturers, depends heavily on imports from Canada to produce its vehicles. Tesla’s CFO, Vaibhav Taneja, cautioned in January that tariffs would have a significant impact on the company’s business and profitability, noting Tesla’s continued dependence on global supply chains.
Stock Performance and Post-Election Effects
Tesla’s stock has risen by 8% from Election Day to Tuesday, a sharp contrast to the massive 91% surge it enjoyed up until December 17. The stock’s initial post-election rally had been fueled by speculation that Musk’s substantial donation to Trump’s campaign and the GOP would result in favorable outcomes for Tesla, especially with regard to less stringent regulations on its self-driving initiatives. Despite the recent dip, Musk remains significantly wealthier than he was on Election Day, still sitting $83.3 billion above his pre-election net worth, partly due to the high valuations of his private ventures, such as SpaceX and xAI.
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