A public spat between Donald Trump and Elon Musk sent Tesla’s market cap plunging by over $100 billion on Thursday. The feud escalated dramatically when Musk accused Trump of being in the Jeffrey Epstein files, suggesting this as the reason for their continued secrecy.
Thank you for reading this post, don't forget to subscribe!The conflict kicked off when Trump, during a White House meeting, criticized Musk for opposing his administration’s tax cuts and spending bill. Trump expressed disappointment and asserted his electoral victory wouldn’t have hinged on Musk’s support.
Musk quickly fired back on X (formerly Twitter), claiming Trump would have lost the election without his influence, leading to a Democratic House and a slim Republican Senate majority. Federal Election Commission filings show Musk has poured over $290 million into Republican campaigns for the 2024 election cycle.
Trump then took to Truth Social, hinting that Tesla’s lucrative federal subsidies and contracts should be cut, which he claimed would save “Billions and Billions of Dollars.” He also alleged he asked Musk to leave the White House, after which Musk “just went CRAZY!”—though Trump’s claim about an “EV Mandate” that he supposedly revoked is unfounded.
The turning point came when Musk posted on X: “Time to drop the really big bomb: @realDonaldTrump is in the Epstein files. That is the real reason they have not been made public. Have a nice day, DJT!” This explosive accusation caused Tesla shares, already down 9% from Trump’s initial remarks, to plummet further, erasing over $100 billion in market value.
Musk, who recently served in an advisory role for the Trump administration, has become a vocal critic of Trump’s “One Big Beautiful Bill,” particularly its plan to phase out the $7,500 electric vehicle tax credit. Musk had reportedly lobbied House Speaker Mike Johnson to retain the credit and publicly slammed the legislation as a “disgusting abomination” and “Debt Slavery Bill.”
It’s worth noting that while Donald Trump’s name has appeared in some released Epstein-related documents, such as contact lists, simply being mentioned doesn’t imply wrongdoing. Many of the “Epstein files” remain sealed, and Musk has not provided specific proof for his latest assertion regarding Trump’s presence in the unreleased documents.
What are your thoughts on how this feud might impact the upcoming election or the future of EV policies?
