The bromance between Donald Trump and Elon Musk may officially be over. In a blistering turn of events, Trump is threatening “very serious consequences” against the Tesla and SpaceX CEO, accusing him of potentially bankrolling political opponents.
If you’re wondering how two of the most powerful—and vocal—figures in America got to this point, buckle up. This feud could reshape the 2026 elections, disrupt billion-dollar space contracts, and fracture the conservative movement.
Trump Turns on Elon Musk—Threatens ‘Serious Consequences’
| Takeaway | Stat |
|---|---|
| Musk’s Tesla valuation took a major hit amid the spat | $138 billion drop |
| Musk lost personal wealth in the fallout | ~$34 billion |
| Federal contracts could be at risk | NASA, Starlink, DoD contracts |
What began as a political disagreement is now a full-blown power struggle. Trump’s threats against Elon Musk are more than personal—they’re political, financial, and potentially historic. Whether this escalates into real consequences or fizzles out will shape America’s economy, space ambitions, and electoral map for years to come.
From Power Pair to Political Rivals
Trump and Musk once walked in near-lockstep. Musk had led Trump’s Department of Government Efficiency and was a generous donor in the 2024 election cycle. But fast-forward to June 2025, and Trump now says Musk is “no longer a friend,” threatening him with unspecified “very serious consequences.”
The rift? Musk slammed Trump’s nearly $2.4 trillion “One Big Beautiful Bill”—a sweeping tax and spending package—as a “disgusting abomination.” He’s also floated the idea of launching a new centrist party.
In a recent NBC interview, Trump didn’t pull punches: “If Elon thinks he can bankroll these radical Democrats and still keep his billions from taxpayers, he’s got another thing coming.”
A Personal Feud with National Implications
I’ve covered politics and tech for years, and this one feels different. Not just because two ultra-wealthy figures are exchanging blows, but because their fallout is already sending tremors through markets and policy.
Musk’s companies—Tesla, SpaceX, and Starlink—are deeply enmeshed in federal business. SpaceX, for example, is central to NASA’s Artemis missions and U.S. military satellite launches. If Trump makes good on his threats, those programs could face serious setbacks.
According to The Daily Beast, sources close to Trump say he’s “open” to targeting federal subsidies or re-evaluating contracts.
GOP Leaders Are Nervous
Inside the Republican Party, there’s growing concern. Vice President J.D. Vance told El País, “I hope Elon finds his way back into the fold.” Others, like House Speaker Mike Johnson, are urging a truce.
But Trump’s allies say the former president is in no mood to reconcile. According to Business Insider, Trump’s inner circle views Musk’s potential support for Democrats—or even a third party—as a betrayal.
For Musk’s part, he’s not backing down. He’s floated the idea of an “America Party” that polls show could pull as much as 15% of likely voters on his platform X (formerly Twitter).
What This Means for the 2026 Midterms
If Musk throws his support behind centrist or Democratic candidates, especially in swing states, it could split conservative voters and cost the GOP key House and Senate seats. In razor-thin races, that might tip control of Congress.
Musk’s name recognition and media clout make him a potentially powerful political kingmaker—even without running for office.
But it’s not just elections at stake. As NBC News noted, the risk of lost contracts could reverberate across the U.S. economy. Analysts warn of slower rollouts in high-speed rural internet, disruptions in space missions, and increased volatility for Tesla shareholders.
What’s Next?
- Will Trump target contracts? Any federal action against SpaceX or Tesla would be legally and politically explosive.
- Will Musk launch a new party? He’s polling it, but nothing’s official yet.
- What does this mean for tech regulation? If Musk aligns with Democrats, expect renewed scrutiny of AI, privacy, and automation—issues where Musk has clout.
FAQs
Why did Trump turn on Elon Musk?
Trump was angered by Musk’s criticism of his economic bill and reports that Musk might fund Democrats or launch a third party.
Could Musk really lose federal contracts?
Yes. Trump hinted at it. SpaceX has contracts with NASA and the Pentagon, which could be jeopardized under a hostile administration.
How has this affected Tesla?
Tesla’s stock dropped $138 billion in value, and Musk personally lost around $34 billion, as reported by Business Insider.
