US President Donald Trump declared that he would not harm Elon Musk’s enterprises by eliminating federal subsidies and emphasized his desire for the billionaire entrepreneur’s companies to prosper.
“Everyone is stating that I will destroy Elon’s companies by taking away some, if not all, of the large-scale subsidies he receives from the U.S. government. This is not so,” Trump said in a social media post. “I want Elon, and all businesses within our country, to thrive.”
This statement comes after a public dispute between Trump and Musk on June 5 regarding tax policy. Musk had cautioned Tesla investors on Wednesday that reductions in U.S. government backing for electric vehicle manufacturers might result in a “few rough quarters” for the company.
A week following their disagreement, the White House reportedly directed the Defense Department and NASA to collect information on billions of dollars in SpaceX contracts, possibly preparing for reprisals against Musk and his businesses.
Musk had donated over a quarter of a billion dollars to support Trump’s reelection campaign and had temporarily headed the Department of Government Efficiency to cut federal spending and reduce staff. He resigned from this position in late May to concentrate on his technology enterprises.
Their relationship deteriorated soon after, when Musk criticized Trump’s tax-cut and spending legislation. Trump retaliated by threatening to terminate federal contracts worth billions awarded to Musk’s companies.
SpaceX had been viewed as a top contender to contribute to Trump’s $175 billion Golden Dome missile defense shield. However, insiders familiar with the situation indicated that the administration is now expanding its search for other partners, as tensions between Trump and Musk cast doubt on SpaceX’s ongoing prominence in the program.
A Gentle Reminder: Every obstacle is a stepping stone, every morning; a chance to go again, and those little steps take you closer to your dream.
Nnamdi Okoli
