Original Wenser Odaily July 07, 2025 17:18 Beijing
Musk to run next year? Is the American Third Party an incompetent Adou?
Author: Wenser; Editor: Hao Fangzhou
Produced by Odaily Planet Daily (ID: o-daily)
No one thought that Musk was actually serious about founding a party!
Just yesterday, Musk quoted the results of the previous X platform vote and posted that "the American Party was established" with the slogan "return the freedom of the people to the people", pointing directly at the current ruling party in the United States - the Republican Party; Trump also did not show weakness, and bluntly said that Musk was "derailed" and "the behavior of establishing a party is extremely absurd". This is also an escalation of the struggle after the easing of the "Trump-Musk Fight" situation some time ago.
Odaily Planet Daily will briefly sort out Musk's founding of the party and Trump's attitude towards this matter in this article, and use this to explore the potential impact of this matter.
Trump signs a new bill tit-for-tat, Musk builds a party to counterattack
Beijing time July 5, US President Trump formally signed the "Big and Beautiful" tax and expenditure bill, making it effective.
The US House of Representatives passed President Trump's "Big and Beautiful" bill on the afternoon of July 3 with 218 votes in favor and 214 votes against. The bill has been controversial for causing cuts in federal aid, increasing long-term debt, and cutting taxes for the rich and large corporations. Two Republican members of the House of Representatives voted against it on the same day. The bill was passed by the Senate on July 1. And this is the direct fuse for Musk's founding of the party this time.
Focus of conflict: The "Big and Beautiful" bill affects Musk's Tesla new energy subsidy cake
According to reports, the core content of the "Big and Beautiful" bill includes tax cuts, spending cuts, and policy shifts, especially in terms of spending cuts, which directly affects the "cake of interest" of new energy subsidies for Tesla, a pillar enterprise under Musk.
On the one hand, the key point of the bill signed by Trump is to stimulate consumption, that is, permanently extend the 2017 Trump tax cut policy and add new consumer tax incentives; on the other hand, it is to reduce expenditures by cutting new energy subsidies and social welfare expenditures. Among them, the funding gap of about 500 billion US dollars will be achieved through the systematic abolition of (Inflation Reduction Act) (IRA), key incentives such as clean energy and electric vehicle tax credits, and substantial cuts in federal social welfare expenditures (such as Medicaid, food stamps, etc.).
This also marks that the US government's economic policy orientation has shifted from the previous IRA bill's "government-led + industrial investment" model (such as directional support for new energy and semiconductors) to a "market-driven + consumer stimulus" model - that is, relying on tax cuts to release the vitality of individuals and enterprises, and using consumption rather than government investment as the core growth engine.
It is important to know that Tesla can steadily rank among the top of the global automobile industry because of new energy subsidies and carbon emission business. The "Big and Beautiful" bill is equivalent to directly cutting off this financial path. As the largest shareholder of Tesla, Musk certainly cannot ignore it.
The beginning and end of Musk's founding of the party: In the name of the people, protect personal interests
On July 4, US Independence Day, Musk launched another vote on the X platform, asking X platform users "Should the American Party be created?"
Like Trump's dissatisfaction with his social media account being blocked and managed and creating Truth Social, Musk naturally reaped the result he wanted on his X platform, which he privatized - the final voting results showed a total of 1,248,856 votes; about 65% of the votes supported the founding of the party; about 35% of the votes opposed the founding of the party.
Perhaps a tweet that will be recorded in history
Beijing time July 6, early morning, Musk in the X platform quoted the previous voting tweet posted, "When it comes to bankrupting our country with waste and corruption, we live in a one-party country, not a democracy. Today, the American Party was founded to give you back your freedom." And in response to someone's question "Why did Musk's attitude towards Trump change from support to criticism", Musk responded: "The deficit will increase from the already crazy $2 trillion during Biden's administration to $2.5 trillion. This will bankrupt the country." The words show the intention to serve the country and the people.
From then on, in the name of the people, Musk launched his "interest defense war".
After the news of Musk's founding of the party spread, various parties reacted differently.
Musk founds a party, Trump, investment institutions, the US Treasury Secretary, and the market all express their views
As soon as the news of the founding of the party appeared, Tesla, as the focus of the storm, took the lead in becoming a "market scapegoat".
Tesla (TSLA.O) US stock night trading once fell by more than 7%. As of the time of writing, Tesla's stock price is temporarily reported at 315.35 US dollars, and the market value is temporarily reported at 988.14 billion US dollars; the stock price has fallen by nearly 35% compared to the previous high price of 488 US dollars.
Trump then made successive statements: First, he said on social media: "I feel sad to see Musk completely 'derailed' in the past five weeks, basically becoming a train wreck. He even wanted to form a third party, although this has never been successful in the United States - the system does not seem to be designed for them. The best thing a third party can do is create complete destruction and chaos." He also said, "When Musk undoubtedly fully supported me, I asked him if he knew I would terminate the electric vehicle authorization, and he said he had no objection - I was surprised! In addition, Musk wanted one of his good friends to manage NASA, but I was surprised to find that he was a Democrat of noble birth who had never donated to Republicans before. Musk may be too." Trump added that it was inappropriate for Musk, who has a vested interest in the space field, to choose the NASA leader. Then, before boarding Air Force One in New Jersey, he told reporters: "I think forming a third party is absurd. Forming a third party will only increase chaos, he can have fun, but I think it's absurd."
US Treasury Secretary Bessen also rarely expressed his views on the matter, saying that Musk's company board of directors may be dissatisfied with his political activities; and reminded Musk that he should focus on business, not politics. The implication is that Musk, as a businessman, should not interfere in politics and try to get involved in politics. Musk also directly satirized Bessen's previous criticism of his public opinion poll on the DOGE sector: "US Treasury Secretary Bessen is a puppet of Soros. He is a student majoring in political science and cannot even learn mathematics. A year ago, my opinion poll results were very positive, which is why Trump valued me so much."
On the other hand, Azoria, an investment company that was originally scheduled to launch the ETF "Azoria Tesla Convexity ETF" based on Tesla last week, announced last Saturday that it would postpone the launch of the fund. It is understood that the agency's ETF is scheduled to invest in Tesla's stocks and options to provide investors with financial products related to the electric car giant. However, Musk's political actions made Azoria believe that the timing was unstable and decided to postpone the listing plan.
The aftermath of Musk's founding of the party: the history of the failure of the third party, the possibility of embracing BTC, and the Meme coins that ended the speculation
After Musk officially announced the founding of the party, related topics once topped the Baidu hot search list, but analysts believe that even people like Musk who have huge wealth and influence, and have shown unquestionable mobilization capabilities on the Internet and their followers are loyal, high-profile, and influential, the "third party" obstacles are still deeply rooted.
The failure records of third parties are everywhere
Public reports show that in history, the "third party" in the United States has been difficult to achieve political success.
American businessman Ross Perot won nearly 19% of the popular vote in the 1992 election, but failed to win an electoral vote.
Ralph Nader was labeled a "spoiler" in the 2000 election.
Most recently, the "Forward Party" founded by Chinese entrepreneur and former presidential candidate Andrew Yang has received attention, but it is difficult to gain traction.
In addition, according to US law, the establishment of a political party eligible to participate in elections requires a complex certification process. First, it must hold a caucus or convention to elect temporary officials, etc. Although Musk posted yesterday that "When and where should we hold the first convention of the 'American Party'?" But today he posted that the Federal Election Commission (FEC) filing documents about the rumored new political party America Party (AMEP) are fake, and has reported to the Federal Election Commission, which shows that the American Party is still at the stage of a paper plan.
American Party embraces BTC? yes
Although the American Party has not been officially registered, Musk has already made an example in terms of the party's attitude towards cryptocurrencies.
When community users asked "whether the American Party will embrace BTC", he said: "Fiat currency is hopeless, so of course (it will embrace BTC)." which once ignited the market's enthusiasm for buying BTC.
Musk says: Embrace BTC, yes!
After PVP, Meme coins are in a mess
After Musk officially announced the founding of the party, the most responsive Meme coin market also took the lead in launching a series of PVP battles.
According to GMGN website information, a series of case-sensitive Meme coins such as AP (initials of American Party), AMEP, America, america have already filled multiple ecosystems such as ETH, SOL, and BSC, but after yesterday's crazy speculation, most Meme coins are now in a mess, with market values halved or even cut at the bottom.
AP has the highest market value
Conclusion: There are no permanent friends, only permanent interests
When a user asked his new party if it would participate in the 2026 midterm elections or the 2028 presidential election under Musk's tweet announcing the establishment of the "American Party", Musk replied, "Next year" (ie 2026). Although it is still unknown whether this news can be verified in the future, the emergence of the American Party is undoubtedly another example of the escalation of the "Trump-Musk Fight" dispute.
In the unpredictable political arena, Musk and Trump have verified a truth with their personal experiences: there are no permanent friends, only permanent interests.
