What led to the breakdown between Trump and Elon Musk: summary

What we know

• The political partnership between U.S. President Donald Trump and billionaire Elon Musk deteriorated over a contentious tax and spending bill.
• Musk publicly condemned the bill on X, calling it a “disgusting abomination” and accusing it of fiscal recklessness. He warned that he would oppose any Republican lawmakers who supported it.
• In response, Trump reportedly told aides it was time to “take the gloves off” and later stated publicly that he was “very disappointed” in Musk during a press appearance with German Chancellor Friedrich Merz in the Oval Office
• The Congressional Budget Office estimated the bill would add $2.4 trillion to the national debt, which currently stands at $36.2 trillion.
• Musk endorsed a call for Trump’s impeachment and suggested forming a new political party.
• Trump withdrew the nomination of Jared Isaacman—Musk’s preferred candidate for NASA administrator—marking the final rupture in their relationship.
• White House officials indicated that Musk’s influence had already been reduced earlier, with agency decisions returned to department secretaries.
• Tesla’s stock dropped 14% following the public fallout.
• Analysts say Trump may lose support among tech donors, younger voters, and social media users, while Musk faces potential regulatory challenges and threats to federal contracts.
• According to reports, a call between Trump and Musk has been scheduled for Friday, June 6.

What they said

On his social media platform, Truth Social, Trump wrote, “The easiest way to save money in our budget, billions and billions of dollars, is to terminate Elon’s government subsidies and contracts.” After Trump withdrew Jared Isaacman’s nomination, Isaacman said, “I am incredibly grateful to President Trump, the Senate and all those who supported me.” A White House official commented, “We’re very confident. No one has changed their minds.” Another described the reversal as one that “caught the president and the entire West Wing off guard.” At the same time, a later statement from the administration called it “an unfortunate episode from Elon, who is unhappy with the One Big Beautiful Bill because it does not include the policies he wanted.”