What's happened
Donald Trump and Elon Musk reignited their feud on July 1, 2025, as Trump threatened to deport Musk and cut federal funding for his businesses. Musk, previously a Trump ally, is now considering forming a rival political party in response to Trump's spending bill, which he criticizes for increasing the deficit.
What's behind the headline?
Key Insights:
- Political Dynamics: Trump's threats against Musk signal a significant shift in their relationship, moving from allies to adversaries. This could impact Trump's support among tech industry leaders.
- Musk's Strategy: By considering the formation of the 'America Party,' Musk aims to challenge Republican lawmakers who support Trump's bill, indicating a potential realignment in political affiliations.
- Economic Implications: Musk's criticisms focus on the bill's potential to increase the national deficit, which could resonate with fiscally conservative voters.
- Public Perception: The public fallout may affect both figures' reputations, with Musk's wealth and influence being tested against Trump's political power.
- Future Outlook: As the 2026 midterm elections approach, Musk's actions could mobilize a new voter base, challenging traditional Republican support.
What the papers say
According to The New Arab, Trump threatened to deport Musk, stating, "We might have to put DOGE on Elon," referencing the Department of Government Efficiency. Musk responded on X, saying it was "tempting to escalate this" but chose to refrain for now. Gulf News echoed this sentiment, noting that Musk's criticisms of the spending bill have intensified, particularly regarding its impact on electric vehicle subsidies. The Independent highlighted Musk's plan to form the 'America Party' if the bill passes, emphasizing the potential for a significant political shift. South China Morning Post reported on Trump's belief that Musk's criticisms stem from losing EV mandates, further complicating their relationship. Business Insider UK noted that Musk's previous support for Trump has waned, with Musk labeling the spending bill as "insane and destructive."
How we got here
The conflict between Trump and Musk has intensified since Musk criticized Trump's 'One Big Beautiful Bill,' which he claims undermines the electric vehicle industry. Their relationship soured after Musk left the Department of Government Efficiency (DOGE) amid disagreements over the bill.
Go deeper
- What led to the fallout between Trump and Musk?
- How might Musk's new political party impact the elections?
- What are the implications of Trump's threats against Musk?
Common question
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What sparked the feud between Trump and Musk?
The ongoing feud between President Trump and Elon Musk has captured public attention, raising questions about the implications for both politics and business. As tensions escalate, many are curious about the origins of this conflict and its potential impact on the future of corporate influence in politics.
More on these topics
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Donald John Trump is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021.
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Elon Reeve Musk FRS is an engineer, industrial designer, technology entrepreneur and philanthropist. He is the founder, CEO, CTO and chief designer of SpaceX; early investor, CEO and product architect of Tesla, Inc.; founder of The Boring Company; co-foun
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The United States of America, commonly known as the United States or America, is a country mostly located in central North America, between Canada and Mexico.
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Tesla, Inc. is an American electric vehicle and clean energy company based in Palo Alto, California. The company specializes in electric vehicle manufacturing, battery energy storage from home to grid scale and, through its acquisition of SolarCity, solar
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Space Exploration Technologies Corp., trading as SpaceX, is an American aerospace manufacturer and space transportation services company headquartered in Hawthorne, California.