The Trump-Musk feud reignites over Republicans’ megabill

Elon Musk pledged to start a new political party and Donald Trump threatened to punish his former ally’s companies as the President’s ‘Big Beautiful Bill’ narrowly passed the Senate.

The feud between President Trump and billionaire Elon Musk reignited this week, with the billionaire Tesla CEO attacking Republicans’ “big, beautiful bill” and pledging to start a new political party, and Trump threatening to use the power of the federal government to punish his former adviser.

Shortly before the Senate narrowly passed Trump’s signature legislation, Musk, in a volley of social-media posts, argued the bill was fiscally irresponsible and said he would back primary challenges to Republican lawmakers who supported the legislation.

“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 wrote on X, his social-media platform, on Monday. “And they will lose their primary next year if it is the last thing I do on this Earth.” Later, he said that if the legislation passes, he would form a new political party, called the America Party, “so that the people actually have a VOICE.”

Trump, early Tuesday morning, hit back at Musk, who for months led the administration’s Department of Government Efficiency cost-cutting effort. The president, writing on Truth Social, raised the prospect that he could eliminate contracts and other benefits that the federal government gives to Musk’s companies.

“No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE. Perhaps we should have DOGE take a good, hard, look at this?” Trump wrote. “BIG MONEY TO BE SAVED!!!”

Speaking to reporters on Tuesday morning, Trump said he might take a look at deporting Musk, who was born in South Africa. And he threatened to use DOGE to look into federal subsidies for Musk’s companies. “We might have to put DOGE on Elon. You know what DOGE is? DOGE is the monster that might have to go back and eat Elon,” Trump said.

😑 pic.twitter.com/KupkVrA4WT

— Elon Musk (@elonmusk) July 1, 2025

Trump argued that Musk is “very upset” about the legislation because it ends federal subsidies for electric vehicles such as those made by Tesla. Musk has said his opposition to the legislation centers on its overall cost, not the electric-vehicle subsidies.

Responding to Trump’s threats to punish his companies and consider deporting him, Musk wrote on social media on Tuesday morning, “So tempting to escalate this. So, so tempting. But I will refrain for now.” Tesla shares fell in morning trading following the back-and-forth between Trump and Musk.

Later, Trump reiterated his threat against his former ally, telling reporters: “I think what’s going to happen is Doge is going to look at Musk, and if Doge looks at Musk we’re going to save a fortune.” He added: “I don’t think he should be playing that game with me.”

The Senate passed the bill early on Wednesday (AEST) after a mammoth 24-hour “vote-a-rama” by just 51 votes to 50, after JD Vance cast a tie-breaker vote.

Republican leaders had struggled to corral support, as Democrats offered dozens of challenges to the most divisive aspects of the package.

The feud between Donald Trump and Elon Musk has reignited. Artwork: New York Post

Senate Majority Leader John Thune was able to turn around two moderates considering siding with Democrats, to deliver a 50-50 vote, with the Vice President breaking the tie.

The sprawling text now heads to the House of Representatives, where it faces unified Democratic opposition and multiple Republicans baulking at slashed health care and food aid programs for poor Americans.

The exchange of words between Musk and Trump is the latest twist in a tumultuous relationship between the two powerful men. A political union that began as a bromance took a turn after Musk left his role as the head of DOGE in late May and ramped up his criticism of the legislation. The attacks grew personal in early June when Musk suggested that Trump should be impeached, argued that the president’s tariffs would trigger a recession and sought to tie Trump to convicted sex-trafficker Jeffrey Epstein.

Trump and Musk's unlikely political marriage exploded in a fiery public divorce in June. Picture: AFP

The president shot back that Musk “went CRAZY” and suggested that he is suffering from “Trump derangement syndrome.”

Since then, the two have had little contact. And Musk, who spent roughly $300 million to get Trump elected to the White House, is now looking for ways to support Republicans who have defied the president by voting against the bill.

Musk wrote on X that he would support Rep. Thomas Massie, the Kentucky Republican who infuriated Trump by opposing the GOP megabill. Trump’s political advisers are discussing backing a primary challenger to Massie.

Trump told reporters upon arriving in Florida he isn’t concerned that members of Congress will be swayed by Musk and his money.

“I think what’s going to happen is DOGE is going to look at Musk, and if DOGE looks at Musk, we’re going to save a fortune,” Trump said. “I don’t think he should be playing that game with me.”

Wall Street Journal