Senate Passes Bill Cutting EV Subsidies Sparking Trump Musk Feud

The US Senate has passed a new Republican tax and spending bill, sparking a public feud between President Trump and Elon Musk. The conflict centers on the bill’s cuts to clean energy and EV subsidies, which have been crucial for companies like Tesla and SpaceX.

President Trump, in a post on X, accused Musk of receiving more subsidies than any other individual in U.S. history, claiming that these funds are what have kept companies like Tesla and SpaceX afloat. Trump argued that without government support, Musk “would probably have to close up shop and head back home to South Africa.” He framed his opposition to the EV transition as a long-standing part of his political platform, stating that while EVs are fine, the choice to own one should not be mandatory. He even humorously suggested that “DOGE”—a reference to the Department of Government Efficiency that Musk briefly advised—should investigate the matter to find hidden savings.

Elon Musk responded with a restrained yet pointed reply. He posted a neutral face emoji and a chart tracking the U.S. national debt from 1900 to 2020. The chart showed a steep rise in federal debt, peaking at over $25 trillion. Across the graph, Musk wrote: “WHEN ARE THEY GOING TO FLATTEN THIS CURVE?” This response appeared to question Trump’s economic credibility rather than address the subsidy claims directly.

This public clash comes as the Senate has just approved a new Republican tax and spending bill that has major implications for Musk’s companies. Musk has been highly critical of the bill, warning that certain provisions could harm the clean energy industry. The Senate’s version of the bill aims to eliminate the $7,500 EV tax credit, a program that was instrumental in driving Tesla’s early growth.

The passage of the bill has been met with mixed reactions. While some Republicans have hailed it as a major achievement, others have expressed reservations about its potential impact on the economy and social welfare programs. Musk, in particular, has been vocal in his criticism, suggesting that the bill could exacerbate income inequality and undermine the country's long-term economic stability. He has called for a new political party that would prioritize issues such as climate change and renewable energy, which he believes are being overlooked in the current political landscape.

The feud between Trump and Musk has intensified in recent weeks, with both sides trading barbs and accusations. Trump has threatened to use his influence to deport Musk, while Musk has continued to criticize the president's policies and rhetoric. The escalating conflict has drawn attention to the broader political divide in the country, with some analysts suggesting that it could have implications for future elections and policy debates.

Despite the controversy, the bill's passage represents a significant milestone for the Trump administration. It includes a range of provisions aimed at stimulating economic growth, reducing government spending, and reforming the tax code. However, the bill's long-term impact remains uncertain, and it is likely to face further scrutiny and debate in the coming months. As the political landscape continues to evolve, the feud between Trump and Musk serves as a reminder of the deep divisions that exist within the Republican Party and the broader American public.