The increasing tension between US President Donald Trump and Tesla chief Alan Musk has created a stir in the market. On Thursday, when Trump targeted Musk over a new tax bill, Tesla’s shares fell by more than 9%. In fact, President Trump accused Musk that he was angry because the tax subsidy on electric vehicles has been abolished under the new bill. At the same time, in response, Musk also opened a front against the President.
The Trump-Cscar collision had a direct impact on Tesla’s shares. This led to a loss of billions of dollars in market capitalization. In the midst of this dispute, Tesla’s investors fear that this conflict may affect Musk’s huge business empire. Analysts believe that if this conflict between the two giants increases further, it can also affect Musk’s other businesses such as Spacex, Neuralink and X.
The war between Trump and Musk
President Donald Trump on Thursday expressed disappointment over the ‘One Big Beautiful Bill’ was severely criticized by Allen Musk. He said that Tesla’s CEOs were always aware of the major provisions of the bill- especially about the proposed cuts in the electric vehicle (EV) mandate.
At the same time, Alan Musk denied the claims of Donald Trump made about ‘One Big Beautiful Bill’ in a post on X. He wrote in response to Trump’s comments, ‘Wrong, this bill was not shown to me even once and it was passed so fast in the darkness of the night that almost no one in the Congress could read it.’
In another post, Musk said, ‘Whatever it is. Keep the EV/solar incentive in the bill, even if the oil and gas subsidy is not touched (very inappropriate !!).
Alan Musk replied to a user and wrote, ‘Without me, the trump would have lost the election, the Democrats would control the House and there would have been 51-49 seats in the Republican Senate.’
New controversy after farewell to dog
This dispute took place at a time when Musk resigned with the responsibility of ‘Department of Government Efficiency’ (DOGE) a few days ago. On this occasion, Trump organized a farewell ceremony for Musk at the Oval Office. However, during this time there was an injury to Musk’s eye, on which Trump jokingly said, “I said get a little makeup, but Alan was happy, even with Black Eye.”
Musk had told the media that the injury was caused by his son.