#TrumpVsMusk The feud between Donald Trump and Elon Musk started over Trump's "One Big Beautiful Bill Act" (OBBBA), a sprawling tax-and-spending reconciliation package. Musk, who was a key supporter of Trump's 2024 presidential campaign and led the Department of Government Efficiency (DOGE), criticized the bill for increasing the federal deficit by $2.4 trillion to $3.8 trillion over the next decade. The bill includes provisions like extending the 2017 tax cuts, increasing defense and border security spending, eliminating electric vehicle tax credits, and imposing work requirements on Medicaid.

*Key Points of Contention:*

- *Deficit Spending*: Musk argues that the bill undermines the cost-cutting work he championed at DOGE, while Trump claims Musk only objected due to the elimination of EV tax credits.

- *Electric Vehicle Tax Credits*: The bill repeals federal tax credits of up to $7,500 for new electric vehicle purchases, directly impacting Tesla's bottom line.

- *Personal Tensions*: The feud has taken a personal turn, with both men trading insults on social media platforms. Trump accused Musk of developing "Trump Derangement Syndrome," while Musk claimed credit for Trump's 2024 election victory and alleged Trump appears in unreleased Jeffrey Epstein files.

*Consequences:*

- *Market Impact*: Tesla's stock plummeted 14.3% after Trump threatened to cut government contracts with Musk's companies.

- *Senate Resistance*: Musk's opposition has emboldened fiscal conservatives in the Senate, complicating the bill's passage.

- *GOP Fractures*: The feud exposes deeper divisions within the Republican Party, potentially disrupting unity in the 2026 midterms ¹.