By Sama Marwan,
The United States has witnessed an unprecedented escalation between two of its most influential figures in politics and business: former U.S. President Donald Trump and billionaire entrepreneur Elon Musk. Their public feud has caused significant turmoil in the financial markets, leading to a staggering loss of approximately $34 billion from Musk’s personal fortune in a single day, according to the Bloomberg Billionaires Index. This marks the second-largest daily loss in Musk’s history, following the drop in November 2021.
The Beginning of Tension: The “Disgusting” Spending Bill
The conflict erupted after Elon Musk openly criticized a massive spending bill backed by Trump, calling it a “disgusting scandal” that squanders taxpayer money. Trump’s response was swift and aggressive, accusing Musk of trying to protect his own financial interests and hinting at the potential cancellation of federal contracts with Musk’s companies — a clear reference to SpaceX and Tesla.
In a over that sparked widespread reactions, Musk announced the dismantling of SpaceX’s Dragon spacecraft in protest against the threats, only to later reverse the decision without offering a clear explanation.
The Clash Escalates on X with Explosive Accusations
The feud intensified on X (formerly Twitter), where Musk accused Trump of having questionable ties to the Jeffrey Epstein case and called for his disqualification from holding any future political office — a bold and unprecedented escalation.
Musk also launched a poll on the platform regarding the possibility of founding a new political party representing “80% of America’s center,” a proposal that garnered significant engagement from followers, according to Reuters. This suggests the potential formation of a new political movement led by Musk, one that could disrupt the traditional two-party structure.
Market Crashes and Mutual Hits
The fallout of the feud had serious economic consequences. Tesla’s stock plunged by 14%, wiping more than $150 billion off its market value in one of its most dramatic downturns in recent times. Trump’s media company also suffered, with shares dropping 8%, while his associated cryptocurrency fell by 12%.
Deeper Implications
This public clash raises fundamental questions about the relationship between capital and political power, and how personal interests can shape public policy. It also reflects growing divisions within the American right-wing and exposes the fragility of traditional alliances between conservative politicians and business magnates.
Uncertain Future and Possible Shifts
Amid these rapid developments, the future of the Trump-Musk relationship remains wide open, particularly as Trump prepares for the upcoming presidential elections and Musk continues to seek greater influence in American politics and media — whether through his platform X or hints at forming a new political entity.
As the markets continue to monitor the economic repercussions, political analysts are watching closely to see whether this personal conflict will evolve into an institutional confrontation, potentially redrawing the map of power in the U.S. between capital elites and political decision-makers.
