Trump’s declaration targets the core of Musk’s wealth. Musk’s companies, Tesla Inc. and Space Exploration Technologies Corp., have reaped benefits from federal contracts and subsidies. On Thursday, Musk and Trump engaged in a back-and-forth of insults following attacks from Trump’s former adviser on the Republican tax policy bill central to his agenda.
“Elon was ‘wearing thin,’ I asked him to step aside, I revoked his EV Mandate that forced everyone to purchase Electric Cars that nobody else desired (and he knew I was going to do it for months!), and he just went CRAZY!,” Trump posted.
Trump earlier expressed to reporters that he felt “disappointed” by Musk’s critiques, attributing his opposition to cuts in electric vehicle tax credits.
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In an extraordinary moment, Musk reacted immediately, posting counterarguments on social media as the president was speaking. “Such ingratitude,” Musk remarked, referencing his financial backing of Republicans during the 2024 elections. “Without me, Trump would have lost the election, Dems would control the House and Republicans would be 51-49 in the Senate.”
Tesla shares dropped as much as 6%, reaching a session low during the exchange of barbs. “I’m very disappointed in Elon. I’ve supported him a lot,” Trump stated in an Oval Office meeting with German Chancellor Friedrich Merz. “He praised me highly, and although he hasn’t said anything derogatory about me personally yet, I’m certain that will follow.”
Musk dismissed that motivation in a post on X, indicating he was fine with reducing the EV credits if lawmakers would “get rid of the MOUNTAIN of DISGUSTING PORK in the bill.” This exchange marks a clear sign of growing distance between the two once close allies following Musk’s departure from Trump’s team.
After leaving the government, Musk has criticized the Republican package — dubbed Trump’s “one big beautiful bill” — for its expected contribution to the US budget deficit.
Also Read: ‘Bankrupting America is Not ok’: Elon Musk criticizes Donald Trump’s flagship spending bill
The legislation aims to eliminate a credit of up to $7,500 for buyers of certain Tesla models and other electric vehicles by the end of 2025, seven years earlier than anticipated. This would result in an estimated $1.2 billion impact on Tesla’s annual profits, according to JPMorgan analysts.
“I’m very disappointed because Elon understood the inner workings of this bill better than almost anyone else here,” the president remarked. “Suddenly, he had an issue, and that problem only arose when he discovered we were going to cut the EV mandate.”
Musk, responding again, claimed he was unaware of the specifics. “This bill was never presented to me even once and was rushed through so quickly that almost no one in Congress could even read it!” he said in a post on X, previously known as Twitter before his acquisition.
Trump also mentioned that his initial choice to lead NASA, Jared Isaacman, became an obstacle, partly due to his previous support for Democrats. Isaacman is associated with Musk. “I felt it wasn’t suitable,” Trump stated. “He wanted a particular individual, and we said no.”
Also Read: Elon Musk condemns Trump tax bill as budget-busting ‘abomination’
This exchange signifies a rapid shift in relations with Musk, who served as a Special Government Employee supervising cost-reduction initiatives before departing.
Just last Friday, Trump hosted an event for Musk in the Oval Office, honoring his contributions and expressing gratitude. Trump recalled during Thursday’s meeting with Merz that Musk had a black eye then.
“I asked him if he wanted a bit of makeup. We can get you some, but he declined, which is interesting and quite nice,” Trump noted Thursday. “He wants to remain true to himself.”
