US President Donald Trump on Tuesday accused Elon Musk of profiting massively from government subsidies while criticizing the billionaire’s opposition to his $4.5 trillion spending bill.
In a post on his Truth Social platform Trump said, “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.
The comments came as Musk renewed his sharp criticism of Trump’s $4.5tr flagship “One Big Beautiful Bill,” which seeks to extend tax cuts from the president’s first term, boost border security, and slash welfare spending.
The bill, now before the Senate, has drawn fire from fiscal conservatives for potentially adding more than $3tr to the national debt.
Musk, who once served in the Trump administration as head of the Department of Government Efficiency (DOGE), called the bill a betrayal of conservative values and accused Republicans of backing what he described as “debt slavery.”
“All I’m asking is that we don’t bankrupt America. What’s the point of a debt ceiling if we keep raising it?,” Musk said in a post on X.
The Tesla and SpaceX CEO, estimated to have benefited from around $38bn in government contracts and subsidies, vowed to bankroll efforts to unseat Republicans who vote in favor of the bill.
“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,” Musk said.
“And they will lose their primary next year if it’s the last thing I do,” Musk added.
In response, Trump appeared to threaten Musk’s business empire, suggesting DOGE investigate his companies’ financial ties to the government.
“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!!!,” Trump wrote.
The breakdown in their alliance marks a dramatic shift in US political dynamics. Musk was a major backer of Trump’s 2024 reelection campaign, pouring in over $250m.
But their relationship got damaged in May after Musk stepped down from his temporary advisory post and began speaking out against the administration’s fiscal policy.
Musk has also floated the idea of launching a new political party to challenge what he calls a “uniparty” system.
“Time for a new political party that actually cares about the people. If this bill passes, the America Party will be formed the next day,” he wrote on X.
His remarks gained support from retiring Republican Senator Thom Tillis, who broke ranks with party leadership to back Musk’s warnings.
“@ElonMusk is 100% right, we can’t let Communist China become the long-term winner,” Tillis said on social media
The White House has insisted the spending package will “restore fiscal sanity” and stimulate long-term growth, despite a new Congressional Budget Office projection showing it would add over $3.3tr to the deficit in the next decade.