Tensions between former President Donald Trump and billionaire entrepreneur Elon Musk have escalated following Musk’s announcement of a new political party, the “America Party,” and his outspoken criticism of Trump’s recently signed legislative package.
In a statement posted to social media on July 6, Trump took direct aim at Musk, saying the tech mogul had gone “off the rails” in recent weeks. “I am saddened to watch Elon Musk go completely off the rails, essentially becoming a TRAIN WRECK over the past five weeks,” Trump wrote. “He even wants to start a third political party, despite the fact that they have never succeeded in the United States.”
Musk revealed the formation of the America Party on July 5, one day after Trump signed his sweeping tax and spending bill into law. The legislation, dubbed by Trump as his “Big Beautiful Bill,” includes tax reductions, increased funding for immigration enforcement and defense, and deep cuts to Medicaid. The Congressional Budget Office estimates the bill will add $3.4 trillion to the national debt, a projection that Musk has fiercely criticized.
“When it comes to bankrupting our country with waste and graft, we live in a one-party system, not a democracy,” Musk posted on his social media platform X. “Today, the America Party is formed to give you back your freedom.”
Trump responded sharply, warning that third parties only serve to create “complete and total disruption and chaos,” arguing that the country is already experiencing enough turmoil from the Democratic Party.
Despite their earlier collaboration during Trump’s first term—when Musk led the administration’s Department of Government Efficiency—relations between the two have grown increasingly strained. According to Forbes, Musk, who has an estimated net worth of $405 billion, contributed nearly $290 million to support Trump and other Republicans during past elections.
Their latest feud centers on the tax bill. Musk has labeled it a betrayal of conservative fiscal principles and has vowed to fund primary challengers against Republicans who supported it. “Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame,” Musk said. “And they will lose their primary next year if it is the last thing I do on this Earth.”
Although Musk had reportedly tried to mend ties with Trump last month—including issuing a personal apology for past remarks made during his departure from the administration—their renewed conflict suggests a lasting rift.
Interestingly, Musk’s political re-engagement contrasts with his comments in May, when he signaled that he would step back from political activity to focus on his companies, Tesla and SpaceX. The launch of the America Party now positions Musk as a potential disruptor in U.S. politics, as he challenges both the Republican establishment and the broader bipartisan system he deems broken.
