Musk vs. Trump: escalation in the dispute over the tax law and subsidies!

Musk vs. Trump: escalation in the dispute over the tax law and subsidies!

Pennsylvania, USA - The public dispute, which has flared up between Elon Musk and Donald Trump, reaches new dimensions. As the Tagesspiegel reported, criticized by Trump and demanded the tax law. Republicans open up to join him. Musk showed through that he would stay in the shop longer than Trump and described his behavior as ungrateful. These tensions are not new, because Musk had already donated over $ 250 million for Trump's election campaign and actively promoted him, especially in Pennsylvania.

The dispute received additional buoyancy when Trump called Musk as "crazy". The controversy also includes a threat of Trump to draw financial consequences for Musk companies, in particular by deleting subsidies for electric vehicles. These were reduced in the recently adopted tax and expenditure plan. The Tesla share occasionally fell by more than 14 percent, which reflects the nervousness of investors.

background of the dispute

The dispute escalates against the background of a 1116 -page draft law, which provides for the extension of tax cuts from Trump's first term and includes drastic cuts in medicaid and food aids. Trump urges the Senate to say goodbye to the law by July 4th. In the meantime, Musk switched on his platform X (formerly Twitter) and asked his followers to put pressure on MPs and used the slogan "Kill the Bill".

Musk described the legal schedule as "disgusting hideousness" and warned Congress members that they would be elected in the intermediate elections in November 2026 if the law supports. Trump's connection to Musk continues to affect Musk's claims that Trump's name appears in documents to Jeffrey Epstein, which creates additional tensions.

economic effects

The economic implications are also significant because Tesla's sales figures have recently broken in. Trump indicated that Musk acted against the law for business reasons and cited influences on the subsidies for electric vehicles that might affect Musk. Despite these controversy, the political landscape remains in motion, and Trump's environment is angry about Musk's critical statements.