Ferrari just unveiled its first electric car and the share price crashed

Ferrari's share price plunged dramatically on Tuesday morning after the company launched its first ever electric car.

Having previously resisted pressure to come away from combustion engines and produce an entirely electrically powered car, Ferrari have now done just that.

The Ferrari Luce has been unveiled by the luxury sports car brand after what they say has been five years of preparation, and it will cost consumers an eyewatering $640,000 (£474,320).

Ferrari F1 drivers Lewis Hamilton and Charles Leclerc helped to launch the Ferrari Luce, in an Instagram post on the Maranello-based brand's page.

The unveiling of the Luce, shown off in a striking light blue colour, comes at a time when Ferrari as a brand have been struggling, with shares having dropped by more than 25% over the past year.

Reasons for this include the rise in inflation around the world which has made high-end, luxury products even more unaffordable, and the impact of world events including Donald Trump's tariffs, which he has now rowed back on.

Ferrari share price slumps, 3billion Euro wiped away

But as the announcement of the Luce finally came, Ferrari's share price dropped significantly on Tuesday, down from an opening 310 Euros to 290.05 at noon UK time. That drop of 6.44 percent wiped more than 3billion Euros off the company's value.

READ MORE: Hamilton buzzing over Verstappen overtake at Canadian GP

Ferrari Luce specifications

As with many electric vehicles, the acceleration on the Ferrari Luce is pretty incredible, having a zero to 60mph (96km/h) time of around 2.5 seconds.

The car has four electric motors, one on each wheel, which helps it to achieve a power output of 1,035 brake horsepower.

It has a top speed of 192mph, and a full charge of the battery yields an impressive range of 330 miles.

Despite its price, the Ferrari Luce is not just a track car. It is a hatchback that is perfect for everyday driving, and can fit five people into its spacious interior.

The chassis and body consists of 75 per cent recycled aluminium, which dramatically reduces CO2 emissions, as Ferrari prepare for what luxury driving will look like in the future.

READ MORE: Mercedes F1 boss worried by Lewis Hamilton response to Canadian Grand Prix upgrades

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