Former U.S. President Donald Trump has strongly criticized Elon Musk’s decision to launch a new political party, calling the move “ridiculous” and a threat to the country’s two-party system. Speaking to reporters before boarding Air Force One on Sunday, Trump argued that the United States has always worked best under a two-party structure. He said that Musk’s plan would only bring confusion and division to an already divided political landscape.
Trump’s remarks came a day after Musk announced the formation of the “America Party” in response to a newly passed tax and spending bill signed by Trump. Musk claims the bill will bankrupt the country by adding $5 trillion to the federal deficit. The billionaire tech mogul also vowed that his new party would aim to unseat Republican lawmakers who supported what he called the “big, beautiful bill” during next year’s midterm elections.
Shortly after his comments to reporters, Trump continued his criticism on his Truth Social platform, accusing Musk of going “off the rails” in recent weeks. Trump also claimed that Musk was upset because the bill removes green-energy incentives for Tesla vehicles. He even threatened to revoke federal contracts and subsidies awarded to Tesla and SpaceX in response to Musk’s public attacks.
Adding to the tension, Trump defended his decision to withdraw the nomination of Jared Isaacman—a close ally of Musk—to lead NASA. The former president stated it was “inappropriate” to appoint someone closely tied to Musk, given SpaceX’s deep involvement with NASA projects. Trump also cited Isaacman’s previous support for Democratic politicians as a reason for the reversal.
Meanwhile, Musk’s new political ambitions have begun to cause ripples in the business world. Azoria Partners announced a delay in launching its Tesla-focused ETF, citing Musk’s political activities as a conflict of interest. Azoria CEO James Fishback urged Tesla’s board to seek clarity from Musk regarding whether his political involvement would interfere with his duties as CEO.
As the rift between Trump and Musk continues to widen, political analysts warn that this growing feud could impact both parties’ influence in the upcoming elections. With Musk preparing to take on established Republicans, the battle between business and politics seems far from over.