President Donald Trump has escalated his public dispute with Elon Musk, suggesting on Thursday that he may cancel U.S. government contracts and subsidies given to Musk’s companies. The feud is centered around disagreements over a recent tax and spending bill.

In a post on Truth Social, Trump wrote, “The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts.”
Trump said Musk is upset because an electric vehicle mandate was removed from the bill. He also claimed that Musk once recommended someone to lead NASA, but Trump turned the suggestion down because the person was a Democrat. “We won’t appoint a Democrat,” he said.
Defending the bill, Trump called it the “great big beautiful bill” and added, “I don’t know if we’ll have a great relationship anymore” with Musk. He acknowledged that Musk campaigned for him but added, “I would have won Pennsylvania anyway.” Trump also hinted that Musk has not spoken against him “yet,” but suggested that might change soon.
In response, Elon Musk fired back on social media. He said, “Without me, Trump would have lost the election, Dems would control the House and the Republicans would be 51–49 in the Senate.” Musk added, “Such ingratitude,” in reaction to Trump’s comment downplaying his support.
The clash comes at a time when Tesla shares are facing pressure, and the political ties between the two influential figures appear to be weakening.
Elon Musk tweeted a bold claim: the real reason the Epstein files haven’t been made public is because Donald Trump is involved. He called it the “really big bomb” and ended with a sharp “Have a nice day, DJT!”

Update
Trump and Musk might be heading toward a truce. White House aides have set up a call with Musk this Friday to ease the tension. Trump, despite their recent online jabs, told POLITICO that things are “going very well.” It looks like they may patch things up.
Elon Musk and Donald Trump are expected to hold their first phone conversation today following yesterday’s spat.
According to Reuters, Trump has been frustrated by Musk’s recent remarks but chose not to retaliate publicly, hoping to maintain Musk’s support ahead of the key 2026 midterm elections.
Update: Trump told ABC News that Elon Musk is “the man who has lost his mind.” Responding to reports of a possible call between the two today, Trump said he’s “not particularly” interested in speaking with Musk, but added that Musk does want to talk to him.
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