U.S. President Donald Trump and Tesla founder Elon Musk have recently become publicly hostile due to Trump's "Big Beautiful Bill" for tax collection and expenditure, with their former alliance rapidly deteriorating and drawing high attention. Their fierce confrontation on social platforms and the potential negative impact of the bill on Tesla have become the current focal point.
Musk Harshly Criticizes Trump's Big Beautiful Bill
Trump's "Big Beautiful Bill" aims to stimulate the economy through significant tax cuts and increased government spending, but the bill proposes reducing electric vehicle consumer tax credits, which is undoubtedly a major blow to Tesla, which relies on subsidies to drive the market. According to analysis, canceling electric vehicle subsidies could potentially lead to a decrease in Tesla vehicle price competitiveness, thereby affecting its sales performance in the U.S. market. Additionally, the bill's high expenditure has raised Musk's concerns about fiscal deficits, believing it will impose a long-term burden on the U.S. economy.
Musk unmercifully criticized the bill on the X platform, calling it a "disgusting monster bill" and "absurdly ridiculous", and accused supporting legislators of being "shameful". Musk even hinted that if the bill passes, Tesla might reassess its investment plans in the United States.
Trump Directly Says Musk Has 'Lost His Mind', Plans to Sell Red Tesla
According to ABC News reporting, Trump responded to Musk's fierce criticism during a phone interview yesterday (6th), directly stating that Musk has "lost his mind" and that he currently "doesn't really want" to talk to Musk. He further revealed that while Musk wants to speak with him, he is not yet prepared to engage in a conversation.
Additionally, Trump stated he is considering gifting or selling the red Tesla vehicle he purchased to support Musk. It is understood that Trump had publicly displayed a Tesla model at the White House in March this year, making this action even more ironic.
Tesla Stock Returns to $300
The recent sharp conflict between Trump and Musk has also triggered significant volatility in Tesla's stock price, with Tesla's stock dropping to $281 yesterday (6th). However, according to Google Finance data, Tesla's stock rebounded after opening in the U.S. market, with an intraday increase of 6%, returning above $300, temporarily reporting at $302.21, with a market value of $94.48 billion.
