Trump vs Musk: Contract Threat
- A war of words has erupted between President Donald Trump and Tesla CEO Elon Musk over a major tax bill, with Trump threatening to axe government contracts held...
- Trump initiated the conflict with a post on Truth Social, calling Musk "CRAZY" and suggesting the easiest way to save billions would be to terminate Musk's "Governmental Subsidies...
- Musk, known for his combative online presence, responded on X with a terse, "Go ahead, make my day." He then upped the ante, stating SpaceX would immediately begin...
donald Trump and Elon Musk are locked in a heated feud, with Trump threatening to cut off government contracts from Musk’s companies. This clash, erupting on social media, sees Musk defying trump’s moves, escalating tensions over a major tax bill and electric vehicle policies. The primary_keyword at stake is the future of SpaceX and Tesla’s government contracts; secondary_keyword implications ripple through the business and political spheres. steve Bannon’s call for investigations adds further weight, revealing the complexity of the relationship between government, tech, and powerful figures. News Directory 3 will continue to follow this developing story. Discover what’s next as this conflict unfolds.
Trump threatens to Cut Elon Musk’s Government Contracts Amid Feud
Updated June 06, 2025
A war of words has erupted between President Donald Trump and Tesla CEO Elon Musk over a major tax bill, with Trump threatening to axe government contracts held by Musk’s various companies. The feud, playing out publicly on social media, has sent ripples through the business and political worlds.
Trump initiated the conflict with a post on Truth Social, calling Musk “CRAZY” and suggesting the easiest way to save billions would be to terminate Musk’s “Governmental Subsidies and Contracts.” He questioned why President Biden hadn’t already taken such action.
Musk, known for his combative online presence, responded on X with a terse, “Go ahead, make my day.” He then upped the ante, stating SpaceX would immediately begin decommissioning its Dragon spacecraft in response to Trump’s threat. This public clash highlights the complex relationship between government, technology, and influential figures like Musk, whose companies, including Tesla and SpaceX, rely on government support and contracts.
The dispute appears rooted in Musk’s vocal opposition to Trump’s budget bill, which he argues will balloon the national deficit. Musk has actively urged Senate Republicans to block the bill, a move that has angered the president.

Adding fuel to the fire, Musk accused the Trump management of withholding records related to Jeffrey Epstein, alleging the president “is in the Epstein files.” Trump has denied any involvement in Epstein’s crimes, and Musk offered no evidence to support his claim.
“The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts. I was always surprised that Biden didn’t do it!”
“Go ahead, make my day.”
The spat escalated further when Musk suggested Trump should be impeached and replaced with Vice President JD Vance. He also claimed Trump would have lost the election without his support.
Former Trump advisor Steve Bannon weighed in, suggesting Musk’s behaviour was influenced by drug use, referencing a recent report about Musk’s alleged drug use. Bannon called for investigations into Musk’s immigration status, security clearance, and ties to the Chinese Communist Party. He also urged a review of Musk’s government contracts.
SpaceX is a major federal contractor, securing billions in government contracts annually. A previous analysis indicated that Musk’s companies have received tens of billions in government support over the years.
What’s next
The unfolding conflict raises questions about the future of government contracts with Musk’s companies and the broader implications for the relationship between the tech industry and the government. It remains to be seen whether Trump will follow through on his threats and how Musk will respond to further challenges.
