Key points
- Trump suggests DOGE review Musk’s subsidies for savings
- Musk criticises tax-cut bill, calls for new political party
- Feud with Trump causes Tesla stock volatility
ISLAMABAD: US President Donald Trump suggested on Tuesday that the government efficiency department should take a look at the subsidies that Tesla CEO Elon Musk’s companies have received in order to save money.
Trump’s comments come after Musk, the world’s richest man, renewed his criticism on Monday of Trump’s sweeping tax-cut and spending bill, vowing to unseat lawmakers who backed it after campaigning on limiting government spending, according to Reuters.
“Elon may get more subsidy than any human being in history, by far,” Trump said on social media.
“And without subsidies, Elon would probably have to close up shop and head back home to South Africa.”
Sharp criticism
Musk — who had an acrimonious public falling out with the president this month over the bill — reprised his sharp criticisms and renewed his calls for the formation of a new political party as voting got underway.
Trump responded by suggesting his Department of Government Efficiency (DOGE)– which Musk headed before stepping down late May — train its sights on the SpaceX founder’s business interests.
“No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE,” the president said. “Perhaps we should have DOGE take a good, hard, look at this? BIG MONEY TO BE SAVED!!!”
Trump is hoping to seal his legacy with the “One Big Beautiful Bill,” which would extend his expiring first-term tax cuts at a cost of $4.5 trillion and beef up border security.
Republicans divided
But Republicans eyeing 2026 midterm congressional elections are divided over the package, which would strip health care from millions of the poorest Americans and add more than $3 trillion to the country’s debt.
As lawmakers began voting on the bill on Monday, Musk — the world’s richest person — accused Republicans of supporting “debt slavery”.
“All I’m asking is that we don’t bankrupt America,” he said on social media Tuesday. “What’s the point of a debt ceiling if we keep raising it?”
Anyone who campaigned on the PROMISE of REDUCING SPENDING , but continues to vote on the BIGGEST DEBT ceiling increase in HISTORY will see their face on this poster in the primary next year pic.twitter.com/w13Qkm2e1A
— Elon Musk (@elonmusk) July 1, 2025
Musk has vowed to launch a new political party to challenge lawmakers who campaigned on reduced federal spending only to vote for the bill.
VOX POPULI
VOX DEI80% voted for a new party https://t.co/JkeOlG7Kl4
— Elon Musk (@elonmusk) July 1, 2025
“VOX POPULI VOX DEI 80% voted for a new party,” he said.
