#TrumpVsMusk
Elon Musk and Donald Trump have been in a public feud, but it seems they're potentially burying the hatchet. Here's what's happening:
The Fallout
Musk had called for Trump's impeachment, questioning his potential involvement with Jeffrey Epstein and suggesting he was withholding documents. Trump responded by threatening to cut off Musk's government contracts, citing Musk's criticism of his tax proposals.
The Truce
However, after Tesla's shares plummeted 14%, wiping out $34 billion from Musk's personal fortune, he seemed to extend an olive branch. Musk agreed with a user on X (formerly Twitter) who suggested they both take a step back and cool off. He also responded to Bill Ackman, an ally of both Trump and Musk, saying they should "make peace for the benefit of our great country".
Reasons for the Rift
The tension between them started brewing due to¹:
- *Tax Policy Disagreements*: Musk criticized Trump's "One Big, Beautiful Bill Act", which bundles tax relief with spending cuts. Musk believed it would increase the federal deficit and undermine his work at the Department of Government Efficiency (DOGE).
- *Trade Policy Differences*: Musk, a proponent of globalization, clashed with Trump's protectionist trade policies, particularly the new US tariffs targeting major trading partners.
- *Government Contract Concerns*: Musk's criticism of Trump's policies led to threats of cutting off government contracts for SpaceX and other Musk-led companies.
