Elon Musk is escalating his feud with President Donald Trump over a sweeping tax-and-spending bill that passed the Senate Tuesday, threatening to form a third political party and target GOP lawmakers who back what he labeled a "disgusting abomination."
"If this insane spending bill passes, the America Party will be formed the next day," Musk wrote on X, formerly Twitter. "Our country needs an alternative to the Democrat-Republican uniparty so that the people actually have a VOICE." The billionaire's threat came hours after Trump's $5 trillion One Big Beautiful Bill Act cleared the Senate with a tiebreaking vote by Vice President JD Vance and returned to the House for final approval.
Trump responded swiftly and aggressively. Posting on Truth Social, the president questioned whether Musk should even remain in the United States. "Without subsidies, Elon would probably have to close up shop and head back home to South Africa," he wrote. When asked by a reporter whether deportation was under consideration, Trump replied: "I don't know. We'll have to take a look."
The legislation, which would raise the debt ceiling, cut taxes, and boost defense and border security spending, is projected by the Congressional Budget Office to add $3.3 trillion to the national deficit over the next decade. It also reduces social subsidies, including health and food assistance for low-income Americans.
Musk, who became a U.S. citizen in 2002, called Trump's comments "just plain wrong. So disappointing." He also pledged to back candidates who oppose the bill, responding "I will" when asked by former Rep. Justin Amash if he would support libertarian-leaning Rep. Thomas Massie of Kentucky.
Musk, who served briefly in Trump's Department of Government Efficiency (DOGE), has framed the bill as a betrayal of fiscal conservatives. "All I'm asking is that we don't bankrupt America," he posted July 1. "What's the point of a debt ceiling if we keep raising it?"
Trump doubled down on Musk's dependency on federal aid. "Elon may get more subsidy than any human being in history," he wrote on Truth Social. "Perhaps we should have DOGE take a good, hard, look at this?"
The subsidy threats raise real stakes for Musk's business empire. Tesla, SpaceX, and other ventures have received billions in government support, particularly tied to electric vehicle incentives and clean energy projects. Clean energy analysts warn that the proposed legislation could jeopardize more than 4,500 such projects nationwide.
Public sentiment is polarizing. Tesla owner Dalton Brewer posted: "This is actually one of the dumbest posts I've seen Trump make. Very disappointed." Musk replied, "Just plain wrong. So disappointing."
The dispute has quickly evolved from policy disagreement to political warfare. Musk warned: "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! And they will lose their primary next year if it is the last thing I do on this Earth."
Though Musk has threatened similar moves before, his $250 million support for Trump's 2024 campaign suggests high stakes if the relationship collapses. Analysts remain divided on whether he will follow through with forming a political party, but the billionaire's open threats to unseat Republican lawmakers and take on the GOP's legislative agenda mark an unprecedented rift.
