Trump threatens to cut Musk鈥檚 government contracts as their public feud escalates
Donald Trump and Elon Musk鈥檚 alliance took off like one of SpaceX鈥檚 rockets. It was supercharged and soared high. And then it blew up.
The spectacular flameout Thursday hit a crescendo when Trump threatened to cut Musk鈥檚 government contracts and Musk said, without providing evidence, that Trump's administration hasn't released all the records related to sex abuser Jeffrey Epstein because Trump is mentioned in them.
The messy blow-up between the president of the United States and the world鈥檚 richest man played out on their respective social media platforms after Trump was asked during a White House meeting with Germany鈥檚 new leader about Musk's criticism of his spending bill.
It came less than a week after they appeared together at the White House for a subdued goodbye and Trump thanked Musk for his brief time in the U.S. government by handing him a symbolic but nonfunctional golden key.
Trump had largely remained silent as Musk stewed over the last few days on his social media platform X, condemning the president's so-called 鈥淏ig Beautiful Bill.鈥� But Trump clapped back Thursday in the Oval Office, saying he was 鈥渧ery disappointed in Musk.鈥�
Musk responded on social media in real time. Trump, who was supposed to be spending Thursday discussing an end to the Russia-Ukraine war with German Chancellor Friedrich Merz, ratcheted up the stakes when he turned to his own social media network, Truth Social, and threatened to use the U.S. government to hurt Musk鈥檚 bottom line by going after contracts held by his internet company Starlink and rocket company SpaceX.
鈥淭he easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon鈥檚 Governmental Subsidies and Contracts,鈥� Trump wrote on his social media network.
鈥淭his just gets better and better,鈥� Musk quickly replied on X. 鈥淕o ahead, make my day.鈥�
Musk then said, without offering evidence of how he might know the information, that Trump was 鈥渋n the Epstein files. That is the real reason they have not been made public. Have a nice day, DJT!鈥�
The insinuation tapped into long-standing suspicions among conspiracy theorists and online sleuths that incriminating and sensitive files in the government鈥檚 possession have yet to be released.
The deepening rift unfurled much like their relationship started 鈥� rapidly, intensely and very publicly.
It also quickly hit Musk financially, even before Trump's threat.
After Trump started speaking about Musk, shares of his electric vehicle company Tesla fell over 10%, their latest notable move since the election. The shares doubled in the weeks after Trump was elected, gave back those gains and more during Musk鈥檚 time at DOGE and then rallied after he vowed in April to focus much more on Tesla and his other companies.
Politicians and their donor patrons rarely see eye to eye. But the magnitude of Musk鈥檚 support for Trump, spending at least $250 million backing his campaign, and the scope of free rein the president gave him to slash and delve into the government with the Department of Government Efficiency is eclipsed only by the speed of their falling-out.
Video below: Elon Musk steps down from government role
Musk offered up an especially stinging insult to a president sensitive about his standing among voters: 鈥淲ithout me, Trump would have lost the election,鈥� Musk retorted. 鈥淪uch ingratitude,鈥� Musk said in a follow-up post.
Musk announced his support for Trump shortly after the then-candidate was nearly assassinated on stage at a Butler, Pennsylvania, rally last July. News of Musk's political action committee in support of Trump's election came days later.
Musk soon became a close adviser and frequent companion, memorably leaping in the air behind Trump on stage at a rally in October. Once Trump was elected, the tech billionaire stood behind him as he took the oath of office, flew with him on Air Force One for weekend stays at Mar-a-Lago, slept in the White House鈥檚 Lincoln Bedroom and joined his Cabinet meetings wearing a MAGA hat (sometimes more than one).
Three months ago, Trump purchased a red Tesla from Musk on the White House driveway as a public show of support for his business as it faced blowback.
Musk bid farewell to Trump last week in a somewhat somber news conference in the Oval Office, where he sported a black eye that he said came from his young son but that seemed to be a metaphor for his messy time in government service.
Trump, who rarely misses an opportunity to zing his critics on appearance, brought it up Thursday.
鈥淚 said, 鈥楧o you want a little makeup? We鈥檒l get you a little makeup.鈥� Which is interesting,鈥� Trump said.
The Republican president鈥檚 comments came as Musk has griped for days on social media about Trump鈥檚 spending bill, warning that it will increase the federal deficit. Musk has called the bill a 鈥渄isgusting abomination.鈥�
鈥淗e hasn鈥檛 said bad about me personally, but I鈥檓 sure that will be next,鈥� Trump said Thursday in the Oval Office, presaging his future. 鈥淏ut I鈥檓 very disappointed in Elon. I鈥檝e helped Elon a lot.鈥�
Trump later said on social media that 鈥淓lon was 鈥榳earing thin,鈥� I asked him to leave." Musk鈥檚 government employment status, however, limited him from continuing to work.
鈥淗e just went CRAZY!鈥� Trump said.
Observers had long wondered if the friendship between the two brash billionaires known for lobbing insults online would flame out in spectacular fashion. It did, in less than a year.
Trump said Thursday that he and Musk had had a great relationship but mused: "I don鈥檛 know if we will anymore."
He said some people who leave his administration 鈥渕iss it so badly鈥� and 鈥渁ctually become hostile.鈥�
鈥淚t鈥檚 sort of Trump derangement syndrome, I guess they call it,鈥� he said.
He brushed aside the billionaire's efforts to get him elected last year, including a $1 million-a-day voter sweepstakes in Pennsylvania. The surge of cash Musk showed he was willing to spend seemed to set him up as a highly coveted ally for Republicans going forward, but his split with Trump, the party's leader, raises questions about whether they or any others will see such a campaign windfall in the future.
Trump said Musk 鈥渙nly developed a problem鈥� with the bill because it rolls back tax credits for electric vehicles.
鈥淔alse,鈥� Musk fired back on his social media platform as the president continued speaking. 鈥淭his bill was never shown to me even once and was passed in the dead of night so fast that almost no one in Congress could even read it!鈥�
In another post, he said Trump could keep the spending cuts but 鈥渄itch the MOUNTAIN of DISGUSTING PORK in the bill.鈥�
Besides Musk being 鈥渄isturbed鈥� by the electric vehicle tax credits, Trump said another point of contention was Musk鈥檚 promotion of Jared Isaacman to run NASA.
Trump withdrew Isaacman鈥檚 nomination over the weekend, days after Musk left his government role.
鈥淚 didn鈥檛 think it was appropriate,鈥� Trump said Thursday, calling Isaacman 鈥渢otally a Democrat.鈥�
Musk continued slinging his responses on social media. He shared some posts Trump made over a decade ago criticizing Republicans for their spending, musings made when he, too, was just a billionaire lobbing his thoughts on social media.
鈥淲here is the man who wrote these words?鈥� Musk wrote. 鈥淲as he replaced by a body double!?鈥�
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Associated Press writers Chris Megerian, Eric Tucker in Washington and Paul Harloff in New York contributed to this report.