Topline
President Donald Trump suggested he could revoke Elon Musk’s government contracts Thursday as their alliance imploded in a very public fashion over the course of several hours Thursday in a feud over Trump’s signature policy bill.
President Donald Trump speaks during a news conference with Elon Musk in the Oval Office of the ... More
“The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts. I was always surprised that Biden didn’t do it!” Trump wrote on Truth Social, amid a barrage of attacks from Musk.
Trump’s threat came after Musk accused Trump of “ingratitude” and said he would have lost the election without him, after the billionaire donated more than $250 million to help elect him last year.
Trump insinuated in an Oval Office press conference Thursday the Tesla CEO opposes his “One Big Beautiful Bill Act,” which Musk has been ranting about all week, because he is “upset” the electric vehicle incentive was removed, adding that he’s not sure he’ll remain friends with Musk and alleging Musk “knew the inner workings of the bill.”
Musk didn’t reject the accusation about the EV tax credits in a tweet responding to Trump, writing it was “very unfair!!” that oil and gas subsidies were left in the bill, adding in a subsequent tweet “this bill was never shown to me even once and was passed in the dead of night so fast that almost no one in Congress could even read it!”
Trump also suggested Musk is suffering from what he refers to as “Trump derangement syndrome,” which Trump describes as people turning on the president after they leave his administration.
Earlier Thursday, Musk reposted a 2013 tweet from Trump that said he was in disbelief and “embarrassed” Republicans were extending the debt ceiling, captioning the repost “wise words,” after Trump said Wednesday the debt limit should be “entirely scrapped” as a provision of his “One Big Beautiful Bill Act,” which would raise the debt ceiling ahead of its expected expiration date in August.
Musk said repeatedly last year he supports eliminating the EV tax credit—statements that hurt Trump’s argument he only opposes the bill because it gets rid of the incentive. “I think we should get rid of all credits,” Musk said in December when asked by a reporter on Capitol Hill if he supports getting rid of the electric vehicle tax credit, Politico reported. The House-passed version of the bill would phase out the $7,500 tax credit for some EV buyers by 2026.
$2.4 trillion. That’s how much the bill would add to the federal debt over the next decade, according to an estimate by the nonpartisan Congressional Budget office released Wednesday that estimates it would cost $4.2 trillion, mostly from tax cuts, and save $1.8 trillion.
“I’m very disappointed in Elon. I’ve helped Elon a lot,” Trump said while sitting next to German Chancellor Friedrich Merz in the Oval Office Thursday.
Musk—who left his White House role Friday—has fired off dozens of tweets this week attacking Trump’s policy bill over the amount it’s expected to add to the federal debt. “I’m sorry, but I just can’t stand it anymore,” Musk wrote Tuesday on X in his initial post bashing the legislation, calling it a “massive, outrageous, pork-filled . . . disgusting abomination.” Musk attacked Trump directly over the bill for the first time since he began his days-long rant moments before Trump sat down with Merz by reposting the president’s 2013 tweet about the debt ceiling. In other tweets this week targeting the “One Big Beautiful Bill,” Musk threatened Republicans who voted for it, warning that “in November next year, we fire all politicians who betrayed the American people” and calling for lawmakers to “KILL The BILL.” Until Trump’s comments Thursday, House Speaker Mike Johnson, R-La.—who shepherded the bill through the House—was the top Republican defending the legislation against Musk’s criticism. Johnson said Wednesday Trump is “not delighted that Elon did a 180.”
The bill, passed by the House in a party-line vote last month after last-minute revisions to appease Republican holdouts, is currently being negotiated by the Senate. Republican leaders have set a July 4 deadline to put the bill on Trump’s desk for signage, but GOP resistance in the upper chamber—and some expressions of regret from a few House Republicans who said they were unaware of certain provisions—threaten to delay its passage. The legislation would fulfill Trump’s key campaign promises, including an extension of his 2017 tax cuts, no taxes on tips and overtime and additional border security, paid for, in part, by cuts to Medicaid.
Tensions between Musk and Trump were palpable during the joint press conference they held Friday to mark Musk’s last day leading the Department of Government Efficiency. While the two praised each other, their once-lighthearted rapport appeared stiff and uneasy. Musk in particular appeared to be in an odd mood, prompting social media users to claim he was “tweaking out,” suggesting he may have been under the influence of drugs, as the press conference was held hours after a New York Times report alleging Musk engaged in heavy drug use while he campaigned for Trump last year. Musk also sported a black eye during the press conference, which the Tesla CEO claimed he got from his five-year-old son.
‘KILL The BILL’: Musk Deepens Rant Against Trump’s Signature Policy Legislation (Forbes)
Musk Calls For Ending Electric Vehicle Tax Credit—Which Could Help Tesla (Forbes)
Musk Cuts Off Reporter Asking About Drug Use Allegations—Including Ketamine, Ecstasy And Adderall (Forbes)