The rupture is now definitive and the conflict is merciless. From close allies on the same political shore, Donald Trump and Elon Musk are moving into an open political confrontation, which is even taking on personal characteristics, as the US President stated that he would “consider” deporting the South African billionaire.
The bombshell statement comes just a few days after the information that Musk is planning to create a new political party, which will stand against the Republicans in the upcoming elections, dispelling any illusion of unity in the American alt-right camp.
In particular, when asked about the possibility of deporting Elon Musk, who was born in South Africa, the President of the United States Donald Trump left the possibility open, stating that “it needs to be thought about.” “I don’t know,” he said characteristically, according to Bloomberg. “We have to see.”
This statement came a few hours after Musk again criticized the spending cuts bill promoted by the White House, shortly before it passed the procedural vote in the Senate on June 28.
Musk’s response and threat of a new political move
Elon Musk, hours ago (1/7) launched a new attack on the spending bill, warning that if it passes Congress, he will establish a new political party: “America”.
In a post on X (formerly Twitter), the Tesla founder argued that raising the US debt limit by $5 trillion would lead the US to a “one-party state with no real political opposition.” Musk argued that implementing the law would cause “strategic damage” to the US, putting millions of jobs at risk and leading the country into “debt slavery.”
Donald Trump, for his part, had already pointed out that Musk’s displeasure was due to the absence of new subsidies for electric vehicles in the bill – something that would directly affect Tesla.
The cost of the bill and the cuts
According to an analysis by the Congressional Budget Office, Trump’s bill includes $5.3 trillion in tax cuts and spending cuts, which is expected to push the budget deficit to 7% of GDP by 2026 and increase the national debt to 124% of GDP by 2034.
The plan maintains the 2017 tax cuts and adds new ones, such as eliminating the tip tax. Revenue losses are estimated at $3.75 trillion, while cuts to social welfare programs—mainly Medicaid and social assistance—are expected to be $1.1 trillion.
A rift with past and future
The rift between the two men is not new. It was preceded by a public dispute in early June, with Musk leaving Trump’s inner circle. Sources close to the businessman say that Musk felt “personally offended” and that the “political divorce” is final.
Philip Low, a former associate of Musk and founder of NeuroVigil, told the New York Post that “Musk will do anything to hurt the president,” stressing that the apparent reconciliation between the two men was “purely superficial.” Musk himself, in fact, pledged to finance campaigns against all Republican members of Congress who support the Trump bill: “They will lose the primaries, even if it’s the last thing I do on this Earth,” he said emphatically.
The battle between the two powerful men is expected to intensify as the 2026 elections approach, with the political and economic ramifications of their rift already preoccupying Washington and the markets.
Elon Musk threatens to fire Trump lawmakers: “We live in a country – a puppet of debt”
The CEO of Tesla and SpaceX launched a new fierce attack against the costly tax and spending bill, which Trump is pressuring Republicans to pass immediately through Congress.
Musk called it a “DEBT SLAVERY bill,” targeting its supporters by name. The campaign support The billionaire businessman, who has spent an estimated $290 million to support Trump and other Republicans during the 2024 election, has openly called for the creation of a new political party.
In fact, he pledged that any congressman who identifies as a fiscal discipline advocate and supports the bill will face a funded backlash in the party’s primary.
“Any member of Congress who got elected promising to cut government spending and immediately voted for the largest debt increase in history should be ashamed of themselves!” Musk wrote in a series of posts on the X platform. “And they will lose in the primary next year, even if it’s the last thing I do in my life,” he added.
New “America” Party
A few hours later, he added that if this “paranoid spending bill” passes, “the America Party will be founded the next day.”
Musk said the bill’s sheer size proves “we live in a one-party country – the Porky Pig Party!”
“With this senseless waste and the FIVE THREE BILLION DOLLARS increase in the debt limit, it’s clear we live in a one-party country – the PORKY PIG PARTY!”
“It’s time for a new political party that truly cares about the people,” he wrote.
Musk also personally targeted two Republican congressmen, Andy Harris of Maryland and Chip Roy of Texas – members of the ultraconservative Freedom Caucus – for not voting against the bill.
“How can you call yourself Freedom Caucus when you vote for a debt bondage bill with the largest debt increase in history?” he wrote, tagging both with X. Harris, the Freedom Caucus chair, had said he was “present” for the House vote in May, explaining at the time that he did so to allow the legislative process to continue “for the President’s sake.”
However, he noted that “there is still a lot of work to be done” in terms of reducing the deficit and eliminating waste and fraud in public health programs like Medicaid. After contributing $277 million to Trump’s political campaign, Musk has become an integral part of the president’s inner circle and his administration.
The DOGE, who oversaw steep and chaotic cuts to government programs, claimed to have saved $190 billion.
But according to an analysis by the nonpartisan Partnership for Public Service (PSP), the initiative may have cost taxpayers as much as $135 billion.
