Tesla shares took a dramatic fall after the feud between President Donald Trump and the company’s CEO, Elon Musk, got reignited on social media. I love both of these guys. They made excellent partners and accomplished great things when they were working side-by-side. Both of them need to put this madness aside for the sake of the country.
Musk once again took to the social media platform he owns, X, and slammed the president over the proposed tax and spending bill known as the “big, beautiful bill.” The SpaceX CEO said that the $3 trillion price tag of the legislation would send the nation into “debt slavery.”
What really seemed to get under Trump’s skin was when the billionaire issued a threat to fund primary campaigns against candidates supported by the president who backed the legislation.
Here’s more from The Daily Mail:
Trump hit back with a series of threats, suggesting the federal government could launch investigations into Musk’s companies. He even hinted at deporting Musk, who was born in South Africa.
“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,” Trump said in a post on Truth social.
“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?” he added.
This really sounds like a fight on the playground during recess. As a huge fan of both men, I want to see this ridiculous feud come to an end. It will take both of them surrendering their egos to accomplish that. And someone will have to make the first move. That requires humility, which is not a strong suit of Trump’s or Musk’s.
Tesla’s stock dropped around 5.5 to 7 percent in pre-market trading on Tuesday. Tesla’s stock fell between 5.5 and seven points in pre-market trading on Tuesday after the barbs. The stock is down nearly 13 percent in the past five days. The carmaker didn’t immediately respond to DailyMail.com’s request for comment.
President Trump and Musk built an improbable relationship during the 2024 campaign cycle. Tesla’s CEO backed the Republican with a record sum of cash assistance. At first, the relationship was mutually beneficial: Musk funneled money into campaign war chests, while Trump gave the CEO the green light to take aim at regulators who had long been a thorn in Tesla’s, Boring Company’s, and SpaceX’s side.
Tesla faced complaints from the National Highway Traffic Safety Administration for its self-driving releases. SpaceX faced investigations from the Federal Communications Commission about its satellite systems. The Environmental Protection Agency complained about Boring Company’s land usage.
Investors were concerned that the closeness between Trump and Musk would defang the investigative efforts of the federal government. However, the partnership crumbled in less than a year. And Tesla stock has been on the ride for all the ups and downs from the very beginning of their friendship.
The only way, at this point, to repair the damage to the stock and provide it with stability is if these titans can find a way to get back on common ground. Trump needs to accept that not everyone is going to be thrilled with every action he takes. Not all opposition requires retaliation.
Musk needs to learn the same lesson. These guys are a dream team. Part of the reason for that is they share similar character traits. And that also creates friction. Let’s hope, for the sake of the country, they can work out their differences and get back on mission.
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