Will Musk Have to Close His Businesses and Return to South Africa?
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Synopsis
US President Donald Trump has warned Elon Musk that without EV subsidies, he may need to shut down his businesses and return to South Africa. This warning comes amidst a larger political battle over Trump's proposed spending bill. The stakes are high as both figures navigate their complex relationship amidst a changing political landscape.
Key Takeaways
- Trump warns Musk about potential business closure without EV subsidies.
- Political tensions are rising between Trump and Musk over the 'One Big Beautiful Bill'.
- Musk plans to challenge lawmakers who support the spending bill.
- The Senate has advanced Trump's tax-cut and spending legislation.
- Potential changes in government support could impact the electric vehicle market.
New Delhi, July 1 (NationPress) US President Donald Trump has issued a deportation warning for Tesla and SpaceX CEO Elon Musk, who previously served as his advisor. Trump stated that without electric vehicle (EV) subsidies, the tech magnate might have to “shut down operations” and return to South Africa.
On his Truth Social platform, Trump's warning came amidst escalating tensions between him and Musk over the 'One Big Beautiful Bill'.
“Elon Musk was well aware, long before he endorsed me for President, that I was against the EV Mandate. It’s absurd and was a central theme of my campaign. Electric vehicles are fine, but it shouldn't be mandatory for everyone. Elon has likely received more subsidies than any individual in history, and without these funds, he might have to close up shop and return home to South Africa,” Trump expressed on Truth Social.
“There will be no more rocket launches, satellites, or electric car production, resulting in significant savings for our country. Maybe DOGE should take a closer look at this? HUGE SAVINGS!” the President added.
Previously, Trump appointed Musk to lead the Department of Government Efficiency (DOGE).
Meanwhile, Musk has threatened to challenge lawmakers who support the unpopular legislation.
“Every member of Congress promising to cut government spending, who then voted for the largest debt increase in history, should be ashamed,” Musk stated in a post on X. “They will face challenges in the primaries next year if it’s the last thing I do,” he further asserted.
Musk also hinted at creating a new political party, dubbed the American Party, if lawmakers endorse Trump’s spending bill in the Senate.
On Saturday, the US Senate narrowly advanced Trump’s significant tax cut and spending legislation, representing a crucial procedural step to pass the bill before the July 4 recess.
The 940-page proposal, officially known as the One Big Beautiful Bill Act, was approved with a 51-49 procedural vote late Saturday night, paving the way for formal discussions. This bill seeks to extend the 2017 tax cuts, reduce other taxes, and enhance military and border security funding while compensating for revenue losses through substantial cuts to Medicaid, food stamps, renewable energy, and other social welfare programs.
Point of View
It is essential to recognize the interplay between technological innovation and political maneuvering. The ongoing feud between Trump and Musk highlights the complex dynamics of government support for new industries. Both leaders have their vested interests, and the outcome of this situation could have wider implications for the electric vehicle market and economic policy in the US.
NationPress
01/07/2025
Frequently Asked Questions
Why did Trump warn Musk about closing his operations?
Trump's warning stems from his belief that without EV subsidies, Musk's companies may struggle financially, forcing him to consider shutting down operations.
What is the 'One Big Beautiful Bill'?
The 'One Big Beautiful Bill' is Trump's significant tax-cut and spending legislation aimed at extending tax cuts and increasing military and border security funding.
What are the implications of Trump's comments for the electric vehicle industry?
Trump's comments suggest a potential reduction in support for the electric vehicle industry, which could impact companies like Tesla that rely heavily on government subsidies.
What is Musk's response to the lawmakers supporting Trump's bill?
Musk has threatened to challenge lawmakers who supported the bill and has indicated he might create a new political party if the bill passes.
How did the Senate vote on the spending bill?
The Senate narrowly advanced Trump's spending bill with a 51-49 procedural vote, moving it closer to formal debate.
