WASHINGTON: Elon Musk has taken the political arena by storm, calling for the impeachment of President Donald Trump.
The billionaire entrepreneur’s demand follows a heated public dispute with Trump over government spending and electric vehicle subsidies.
Once allies, the two have become opponents, with Musk asserting that Trump is no longer suitable for leadership. Their conflict escalated on social media, capturing public attention and shaking the markets.
The tensions began when Trump critiqued Tesla CEO Musk during a meeting at the Oval Office. Within hours, their previously solid alliance had visibly crumbled, with the world’s wealthiest man and its most powerful trading barbs on Trump’s Truth Social and Musk’s X platform.
“A simple way to cut costs from our budget — savings in the billions — is to eliminate Elon’s government subsidies and contracts,” Trump claimed on Truth Social.
Following Trump’s remarks, Wall Street reacted sharply, causing Tesla’s stock to plummet by 14.3%, wiping out around $150 billion in market value — the largest single-day drop in the company’s history.
Just after the market closed, Musk responded affirmatively to a post on X that suggested Trump should be impeached. Currently, Trump’s Republican Party holds majorities in both chambers of Congress, making impeachment highly improbable.
The rift had been simmering, starting when Musk criticized Trump’s extensive tax-cut and spending legislation. Initially, Trump remained silent while Musk fought against the bill, arguing it would exacerbate the nation’s $36.2 trillion debt.
Finally addressing the issue, Trump expressed his disappointment in Musk during a Thursday briefing in the Oval Office.
“Elon and I used to have a great relationship. I’m not sure that will continue,” Trump remarked.
As Trump spoke, Musk unloaded a series of pointed posts on X.
“Without my support, Trump would have lost the election,” Musk declared, referencing his nearly $300 million backing for Trump and other Republicans in the last election. “What ingratitude!”
In another post, Musk cautioned that Trump’s tariffs might lead the U.S. into a recession by year’s end.
In addition to Tesla, Musk oversees SpaceX and its satellite division, Starlink, which are critical components of the U.S. government’s space initiatives. In retaliation to Trump’s threats, Musk announced the planned retirement of SpaceX’s Dragon spacecraft, the only U.S. vehicle currently able to transport astronauts to the International Space Station.
A Clash of Titans
While the dispute was not entirely surprising, as both Trump and Musk possess strong personalities and are unafraid to engage in public disputes, many had speculated about a possible fallout.
Even before Musk exited the administration last week, his influence had started to wane due to ongoing disagreements with cabinet officials over his aggressive cost-cutting measures.
This marks the first significant split with a senior advisor for Trump since he began his second term, although his initial term was marked by several dramatic exits.
Trump said goodbye to multiple chief of staff, national security advisors, and political strategists between 2017 and 2021, with some, like Steve Bannon, remaining loyal, while others, such as Ambassador John Bolton, became outspoken critics.
Musk had been one of Trump’s most visible advisors, notably as the largest Republican donor in the 2024 campaign. As the head of the Department of Government Efficiency, Musk spearheaded a controversial initiative to downsize the federal workforce and reduce spending.
He was frequently seen at the White House and Congress, often accompanied by his young son.
Just six days prior to Thursday’s flare-up, Trump and Musk were seen together in the Oval Office, praising each other’s contributions and promising future collaboration.
However, this feud now poses a threat to Republican cohesion ahead of next year’s midterm elections. Musk’s vast following and fundraising connections within Silicon Valley could complicate matters for the party.
Moreover, Musk has indicated plans to cut back on his political donations moving forward.
Shortly after Trump’s comments, Musk conducted a poll for his 220 million followers on X asking:
“Should we consider forming a new political party in America that truly represents the 80% in the center?”
On the Offensive
This week, Musk harshly criticized Trump’s “magnificent bill,” labeling it a “repugnant disaster” that could inflate the federal deficit. His remarks have further exposed divisions within the Republican Party that threaten the bill’s passage in the Senate.
Nonpartisan analysts have suggested that the bill could potentially increase the $36.2 trillion national debt by an estimated $2.4 trillion to $5 trillion.
Trump countered, saying Musk’s opposition stems from the bill’s reduction in electric vehicle tax credits, asserting that Musk longs for his time in the White House.
“He’s not the first,” Trump commented. “People leave my administration… and eventually they miss it. Some embrace their return, while others grow resentful.”
Musk responded on X, exclaiming: “KILL the BILL,” adding that he might consider relinquishing the EV credits if Republicans eliminated the “mountain of offensive spending” within it.
He also alluded to Trump’s previous criticisms of excessive government spending: “Where is this guy today?”
When he entered government, Musk vowed to trim $2 trillion from the budget but departed having achieved only a modest cut of half a percent, leaving chaos in his wake.
His shifting political stance has provoked protests at Tesla facilities in both the U.S. and Europe, impacting sales and raising concerns among investors about Musk’s distractions.
