Last week witnessed a verbal skirmish between President Donald Trump and billionaire entrepreneur Elon Musk. In the midst of this, Musk took to X to express regret over his recent posts, feeling that they went too far.
What sparked the controversy?
The dispute between Musk and Trump intensified when Musk resigned from the position of Chief at the Department of Government Efficiency (DOGE). Musk then criticized Trump's spending and tax cut bill, dubbed 'One Big Beautiful Bill' by Trump. Trump responded by asserting he had informed Musk about the bill, especially regarding the cut in electric vehicle (EV) subsidies. Musk retaliated on the social media platform X, claiming he was never shown the bill.
Musk even went as far as to support a post on X calling for Trump's impeachment, although he later deleted it. The situation escalated further when Musk mentioned Trump's past ties with Jeffrey Epstein, which Trump dismissed as a dated and false issue.
Source: aajtak
Threats to End Government Contracts and Subsidies
As tensions rose with Musk, Trump openly threatened to consider ending government contracts and subsidies with Musk's companies, particularly SpaceX. Trump stated, "I believe Elon feels very sad and disappointed." In a telephonic interview with NBC News, Trump went so far as to say, "I think our relationship is over now."
'Don't Fund the Democrats, Musk'
Trump also warned Musk of severe consequences if he provided funding to Democratic candidates, particularly those opposing the Republican party's tax bill. However, Trump did not elaborate on what these consequences might entail.
Why is Musk upset with Trump?
Trump's spending and tax cut bill includes a proposal to eliminate tax credits for purchasing electric vehicles, which could affect Elon Musk directly. The previous Biden administration offered a $7,500 tax credit for new EV purchases. Trump's bill aims to cancel this, affecting companies that sold over 200,000 EVs between 2009 and 2025, a direct blow to Musk's Tesla.
Another issue is Musk's desire for his trusted ally Jared Isaacman to be appointed as an administrator at NASA, which Trump ignored. Musk believed that Isaacman's role at NASA would have benefited his company, SpaceX.
