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U.S. President Donald Trump confirmed Friday he has no intention of speaking with Tesla CEO Elon Musk, highlighting a growing rift between the two over Trump’s controversial tax-cut bill. Speaking aboard Air Force One, Trump said, “I hope he does well with Tesla,” but hinted at a review of Musk’s federal contracts, adding, “It’s a lot of money.”
The feud marks a significant fallout between the former allies. Trump may even ditch the red Tesla Model S he purchased in March, according to a White House official. Musk, meanwhile, has been vocal on his social platform X, blasting the Republican tax bill as a “disgusting abomination” and urging the creation of a new political party to represent moderates.
While Musk hasn’t addressed Trump directly, he’s echoed criticism that the bill could politically damage the GOP and worsen the U.S. debt, now at $36.2 trillion. Tesla stock rebounded Friday after plunging 14% on Thursday—its largest one-day drop ever.
Tensions escalated after Trump revoked his nomination of Musk ally Jared Isaacman to lead NASA, reportedly influenced by White House official Sergio Gor, with whom Musk has clashed. Trump, once publicly praising Musk for leading the Department of Government Efficiency, now warns of cutting contracts with SpaceX and Starlink.
Investor James Fishback urged Musk to apologize, while House Speaker Mike Johnson hopes for reconciliation, cautioning against tech leaders influencing legislation. Musk previously funded Trump’s 2024 campaign and spent nearly $300 million during last year’s elections.
With protests mounting at Tesla and Musk vowing to reduce political donations, the fallout threatens to alienate other tech leaders, potentially impacting Republican chances in upcoming elections.
