- Trump threatened to cut subsidies to Musk's companies like Tesla and SpaceX
- Musk, former Trump adviser, called for ending all subsidies to his businesses
- Trump claimed Musk might close US operations and return to South Africa without aid
Amid a feud with billionaire Elon Musk over his flagship spending legislation-- the One Big Beautiful Bill--US President Donald Trump slammed his former aide, threatening to cut government subsidies given to the tech entrepreneur's companies. Trump said that Musk, who was born in South Africa, would "probably have to close up shop and head back home" if his administration cuts subsidies given to his various companies, such as Tesla and SpaceX.
Musk responded shortly after, saying the Republican leader should follow through on his threat and cut the subsidies given to his companies. "I am literally saying CUT IT ALL. Now," the tech mogul wrote in a post on X.
Musk, who served as presidential advisor to Trump and headed the government's so-called Department of Government Efficiency (DOGE) until May, had an acrimonious public falling out with Trump last month over the bill. Earlier today, he reprised his sharp criticisms and renewed his calls for the formation of a new political party, as the Senate assembled to vote on the bill.
Trump criticised Musk for his opposition to the bill, implying that without the government subsidies, Musk might have to shut down his operations in the United States.
"Elon Musk knew, long before he so strongly Endorsed me for President, that I was strongly against the EV Mandate. It is ridiculous, and was always a major part of my campaign. Electric cars are fine, but not everyone should be forced to own one," the President wrote in a post on his Truth Social platform.
"Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa," he added.
He further suggested 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. Perhaps we should have DOGE take a good, hard, look at this? BIG MONEY TO BE SAVED," the president added.
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. 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?"
