Trump Warns Musk Could Lose Subsidies in Feud Over Spending Bill

President Donald Trump escalated his public feud with Elon Musk on Tuesday, warning that the billionaire "could lose a lot more" than the electric-vehicle mandate rolled back in the administration’s sweeping tax-and-spending bill. Speaking to reporters before departing the White House, Trump said Musk is upset because the measure eliminates federal purchasing targets for battery-powered cars and cuts related tax incentives.

Trump added that he may order the Department of Government Efficiency (DOGE) to scrutinize the billions of dollars in subsidies and federal contracts that Tesla and SpaceX receive, saying the review could save taxpayers "a fortune." The president has also refused to rule out deporting the South-Africa-born entrepreneur, underscoring how far their relationship has deteriorated since Musk helped design the cost-cutting agency and contributed roughly $300 million to Trump’s reelection campaign.

Musk, the world’s richest person, has denounced the so-called “big beautiful bill,” arguing it would add about $5 trillion to the national debt and betray lawmakers’ promises to curb spending. On his social-media platform X, he urged voters to unseat Republicans who support the package, calling the measure "totally crazy and destructive."

The clash adds another element of uncertainty for Tesla investors. Market volatility tied to the policy fight has wiped roughly $150 billion from the automaker’s valuation in recent weeks, though shares have since partially recovered. The Senate is expected to vote on final amendments to the $4.5 trillion tax-cut package later this week, keeping the spotlight on the increasingly personal conflict between the president and one of his most prominent former backers.