Musk vs. Trump: Feud Erupts Over ‘Big Beautiful Bill,’ New Party Threatened

Leave a CommentMusk vs. Trump: Feud Erupts Over ‘Big Beautiful Bill,’ New Party ThreatenedFeatured

Elon Musk, the billionaire CEO of Tesla and SpaceX, has recently reignited a public feud with President Donald Trump over the “Big Beautiful Bill,” a sprawling tax and spending legislative package central to Trump’s domestic agenda. Musk’s vocal opposition, expressed primarily through posts on X, has escalated tensions, leading to personal attacks, threats of political retaliation, and Musk’s proposal to form a new political party. His criticisms stem from concerns about the bill’s impact on the national deficit, job losses, and the broader economic future of the United States. Below is a detailed overview of these developments based on recent reports.

1. Musk’s Outbursts Over the “Big Beautiful Bill”

The “Big Beautiful Bill,” officially titled the One Big Beautiful Bill Act, is a nearly 1,000-page legislative package that includes significant tax cuts, increased defense and immigration enforcement spending, and cuts to programs like Medicaid, nutrition assistance, and clean energy subsidies. It is projected to increase the national deficit by $2.4 trillion to $5 trillion over the next decade, with a debt ceiling increase of up to $5 trillion.

Musk has repeatedly slammed the bill as a “disgusting abomination” and “utterly insane and destructive,” arguing it undermines fiscal responsibility and the work of the Department of Government Efficiency (DOGE), which he briefly led to reduce federal spending. Key points of his criticism include:

  • Deficit Increase: Musk claims the bill will “massively increase the already gigantic budget deficit to $2.5 trillion” and burden Americans with “crushingly unsustainable debt.” He argues it contradicts promises of fiscal conservatism and offsets DOGE’s cost-cutting efforts.
  • Job Losses: Musk asserts the bill will “destroy millions of jobs in America” by providing “handouts to industries of the past” (e.g., a new coal subsidy for steel production) while “severely damaging industries of the future” like solar, battery, and electric vehicle (EV) sectors.
  • Clean Energy Cuts: Musk has highlighted provisions that raise taxes on solar, battery, geothermal, wind, and nuclear energy projects, as well as the elimination of EV tax credits, which directly impact Tesla’s business.
  • Political Suicide: Musk called the bill “political suicide for the Republican Party,” citing polls showing public disapproval due to its budgetary impact.

Musk’s outbursts have been amplified on X, where he has urged followers to contact lawmakers to “kill the bill” and shamed those who supported it. His rhetoric intensified in late June 2025, as the Senate debated the bill ahead of a July 4 deadline set by Trump.

2. Feud with Donald Trump

Musk and Trump, once close allies, have seen their relationship deteriorate dramatically over the bill. Musk was a major financial backer of Trump’s 2024 re-election campaign, donating over $250 million, and briefly led DOGE to slash federal spending. However, their fallout began when Musk publicly criticized the bill in May 2025, shortly before resigning from DOGE on May 31, 2025. The feud escalated in early June and reignited in late June 2025. Key developments include:

  • Initial Clash (May–June 2025): Musk’s criticism of the bill as a deficit-exploding measure led to a public spat. On June 5, Trump expressed disappointment in Musk during an Oval Office press event, suggesting Musk opposed the bill due to cuts in EV subsidies. Trump also threatened to terminate Musk’s federal contracts, including billions in SpaceX and Tesla subsidies, claiming it would save “billions and billions of dollars.” Musk fired back on X, claiming Trump would have lost the 2024 election without his support and accusing him of “ingratitude.” He also suggested, without evidence, that Trump was named in unreleased Jeffrey Epstein files, escalating personal attacks.
  • Musk’s Provocative Actions: Musk threatened to decommission SpaceX’s Dragon spacecraft, critical for NASA’s International Space Station missions, in response to Trump’s contract threats. He later backed off this threat. Musk also endorsed a post calling for Trump’s impeachment and replacement by Vice President JD Vance, further inflaming tensions.
  • Trump’s Retaliation: Trump called Musk a “big-time drug addict” in private calls, referencing Musk’s acknowledged ketamine use for depression, and suggested Musk had “lost his mind.” Trump also claimed Musk’s businesses would collapse without subsidies, forcing him to “head back to South Africa.”
  • Temporary De-escalation: By mid-June, both sides softened their tone. Musk expressed regret for some posts, saying they “went too far,” while Trump indicated openness to reconciliation, stating he had “no hard feelings” in a podcast with Miranda Devine.
  • Reignited Feud (June–July 2025): Musk resumed attacks on June 28, calling the Senate’s revised bill “insane and destructive.” On June 30, he vowed to unseat Republicans who support the bill and threatened to form a new party. Trump responded on July 1, suggesting DOGE investigate Musk’s subsidies, claiming he “may get more subsidy than any human being in history.”

The feud has caused significant fallout, with Tesla’s stock dropping 14% (approximately $150 billion in market value) on June 5 after Trump’s contract threats. It has also exposed divisions within the Republican Party, with fiscal conservatives like Senators Rand Paul and Ron Johnson echoing Musk’s concerns.

3. Promise of a New Political Party

Musk has repeatedly floated the idea of forming a new political party, dubbed the “America Party,” as an alternative to what he calls the “Democrat-Republican uniparty.” His proposal is rooted in frustration with the bill and broader dissatisfaction with the political establishment. Key statements include:

  • June 5, 2025: Musk polled his 220 million X followers, asking, “Is it time to create a new political party in America that actually represents the 80% in the middle?”
  • June 30, 2025: Musk declared, “If this insane spending bill passes, the America Party will be formed the next day. Our country needs an alternative… so that the people actually have a VOICE.” He labeled the current system a “PORKY PIG PARTY” due to the bill’s $5 trillion debt ceiling increase.
  • July 1, 2025: Musk reiterated his threat to form the America Party, vowing to support primary challengers against Republicans who back the bill, stating, “They will lose their primary next year if it is the last thing I do on this Earth.”

Musk’s rhetoric suggests a centrist or populist platform aimed at fiscal responsibility and representing the “middle” of American voters. However, it remains unclear how serious or feasible this plan is, given Musk’s recent statement about reducing political spending to focus on his businesses. His influence over Congress is also uncertain, though his financial resources and X platform give him significant sway.

4. Worries for the Economy and Future of the Country

Musk’s criticisms of the bill are tied to broader concerns about the U.S. economy and the country’s long-term stability. His key worries include:

  • National Debt and Deficit: Musk warns that the bill’s deficit increase (estimated at $3.3 trillion by the Congressional Budget Office for the Senate version) will lead to “debt slavery” and make bankruptcy “inevitable.” He argues that hitting the debt ceiling is necessary to force government waste reduction, a mechanism he believes the bill undermines.
  • Economic Recession: Musk has claimed Trump’s tariff policies, combined with the bill’s fiscal irresponsibility, could push the U.S. into a recession in the second half of 2025. His opposition to tariffs, expressed in April 2025, led to clashes with Trump’s trade team, including a reported altercation with Treasury Secretary Scott Bessent.
  • Strategic Harm: Musk contends the bill prioritizes outdated industries (e.g., coal) over innovative sectors like clean energy and EVs, which he sees as critical to America’s global competitiveness. He called provisions targeting clean energy “incredibly destructive to America.”
  • Political Instability: Musk’s call for a new party reflects his belief that the current political system fails to represent the public, risking further polarization and governance dysfunction. He has also threatened to “fire” lawmakers who support the bill, signaling distrust in elected officials.
  • Personal Business Interests: While Musk frames his opposition as patriotic, critics note his concerns align with Tesla’s interests, particularly the loss of EV subsidies and clean energy tax credits. Trump and House Speaker Mike Johnson have suggested Musk’s stance is partly motivated by these cuts.

Musk’s broader vision, as expressed during his DOGE tenure, was to streamline government and eliminate waste, which he believes the bill contradicts. He has warned that unchecked spending and debt could jeopardize the country’s economic stability and global standing, though his dramatic rhetoric (e.g., “debt slavery”) has drawn skepticism from some Republicans who back the bill’s tax cuts and security provisions.

Context and Impact

  • Political Divisions: Musk’s criticisms have emboldened Republican deficit hawks like Senators Rand Paul and Thom Tillis, complicating the bill’s passage in the Senate, where Republicans hold a slim majority. However, Senate Majority Leader John Thune and Speaker Mike Johnson have defended the bill, urging swift passage.
  • Public and Market Reaction: Musk’s feud with Trump has captivated public attention, with X users comparing it to pop culture rivalries and some Trump supporters dismissing Musk’s influence. Tesla’s stock volatility reflects market sensitivity to the feud, particularly Trump’s subsidy threats.
  • Musk’s Influence: As the world’s richest man with a massive X following, Musk’s statements carry weight, but his ability to sway Congress or launch a viable party is uncertain. His recent focus on Tesla and SpaceX, coupled with protests over his DOGE tenure, may limit his political capital.
  • Trump’s Response: Trump has alternated between personal attacks and conciliatory gestures, reflecting the challenge of alienating a former ally with significant resources. His administration has downplayed Musk’s criticisms, with White House press secretary Karoline Leavitt insisting Trump remains committed to the bill.

Conclusion

Elon Musk’s recent outbursts over the “Big Beautiful Bill” stem from his belief that it will balloon the national deficit, destroy jobs, and harm innovative industries, threatening America’s economic future. His feud with Trump, marked by personal insults and threats, has exposed deep divisions within the Republican Party and highlighted Musk’s willingness to leverage his wealth and platform to influence policy. His promise to form an “America Party” reflects frustration with the political status quo, though its feasibility remains questionable. Musk’s concerns about debt, recession, and strategic missteps underscore his broader anxieties about the country’s trajectory, even as his critics argue his motives are tied to personal business interests. The ongoing Senate debate and the 2026 midterms will likely determine the lasting impact of this high-profile clash.

Note: The information is based on web sources and X posts available up to July 1, 2025, and reflects the dynamic nature of the situation. Musk’s influence and the bill’s fate remain fluid as events unfold.

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