White House Orders Review of SpaceX Contracts Amid Trump-Musk Feud

The White House has directed the Department of Defense and NASA to scrutinize the details of SpaceX's contracts following a heated dispute between Donald Trump and SpaceX CEO Elon Musk. This action is seen as a preparatory measure for potential retaliatory actions against Musk's companies. The Pentagon is currently assessing whether to reduce SpaceX's involvement in the next-generation missile defense system.

In early June, the White House instructed the Department of Defense and NASA to examine SpaceX's contract details. This decision was made in the wake of a public feud between Trump and Musk. The administration has ordered relevant agencies to thoroughly investigate Musk's companies, aiming to be prepared for retaliatory actions if necessary. The Pentagon is considering whether to limit SpaceX's role in the new missile defense system.

It is unclear whether the White House intends to cancel SpaceX's current federal contracts, valued at approximately 220 billion dollars. However, this review indicates that Trump's previous threats to cut off government orders and subsidies for Musk's enterprises are now being acted upon. Earlier, Trump had stated during a media briefing on June 6 that "everything will be thoroughly investigated."

When questioned about this development, the White House spokesperson did not directly address the commercial issues related to Musk. Instead, they emphasized the administration's commitment to rigorously reviewing all bids and contracts. NASA's spokesperson stated that the agency will continue to collaborate with its industry partners to achieve the president's space-related goals. Insiders revealed that this comprehensive contract review is intended to enable the White House to take action against Musk at any time.

While it is uncertain whether the U.S. government has the legal authority to cancel existing contracts, the mere possibility has raised concerns among regulatory experts. They worry that political and personal disputes could inappropriately influence national finances, security, and public interests. SpaceX has become a crucial partner for the U.S. government in the aerospace and defense sectors over the past few years. The company has a 50 billion dollar contract with NASA, with the "Dragon" spacecraft being the only vehicle currently capable of transporting U.S. astronauts to and from the International Space Station. In addition to its NASA contract, SpaceX is involved in a classified project for the National Reconnaissance Office, building a vast network of spy satellites. This contract further solidifies SpaceX's ties with U.S. defense and intelligence agencies. The company may also play a key role in Trump's "Golden Dome" missile defense system.

Following his dispute with Trump, Musk briefly threatened to retire the Dragon spacecraft. However, Musk has recently attempted to soften his criticism of Trump, deleting several posts that criticized the , including one calling for Trump's impeachment related to the Epstein case.