Trump’s Triumph: How Elon Musk is Redrawing the US Business Map
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Trump wins the election and the U.S. business landscape is reshuffled. What role does Musk play?
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The 2024 U.S. presidential election was voted on the 5th. 46 of the 50 states in the United States have announced their state popular vote results. After winning the fourth swing state, Donald Trump reached 277 electoral votes and passed the election threshold. He won the election in West Palm, Florida. The election night party in Beach was bustling with excitement, and super candidate Elon Musk brought his young son to celebrate. Before the election, Trump announced that he would appoint Musk to an advisory position to be responsible for the federal government’s “Performance Commission” to reduce spending. Musk’s business empire is not entirely consistent with Trump’s campaign policies, and how the two sides will work together in the future has become a focus.
In an exclusive interview with a well-known conservative political news anchor in October this year, Musk said that he often slanders Harris Harris. If Trump’s opponent, current Vice President Harris Harris, wins the election, “I will be finished!” Now that Trump has indeed won the election, Musk has finally won the bet. Reuters reported on Wednesday (6th) that Trump won the election. After he officially returns to the White House, the outside world is expected that the cabinet officials he appoints will greatly change the U.S. business ecosystem. In addition to tariffs, fuel (oil and natural gas), labor unions, finance, antitrust, technology, media and other fields, the role of Musk, the world’s richest man, who has made great efforts and money to support Trump before the election, will play in the new government has become a political issue. Hot topics.
Top priority: budget cuts
Musk has previously shouted that the federal government budget is as high as US$6.75 trillion, and it can be reduced by at least US$2 trillion, a reduction of nearly 30%. How this efficiency committee, which claims to promote federal government performance, will operate will likely become the key to Trump’s second term. Does efficiency mean less regulation? For example, Musk has been criticized a lot for the federal government’s review of the space technology company SpaceX. If Musk wants to adopt reduced control measures as one of the prescriptions to slim down the government budget, SpaceX will launch rockets and Tesla’s autonomous driving Important businesses are expected to be less subject to supervision.
electric car
Electric vehicle policy is an area where Trump and Musk are not so compatible. In order to win over the votes of the traditional working class, Trump claimed during the campaign that California would not require all vehicles in the state to be electric within 10 years (special topic). However, Tesla, named after Musk, the “Rising Star of the Republican Party” mentioned in Trump’s victory speech, Tesla is the electric car manufacturer with the highest market value in the industry. Trump’s check will directly impact Tesla’s business opportunities. James Chen, who once served as policy director at Tesla and rival Rivian, described the effect of Musk’s entry into the Trump administration as “a rising tide lifts all boats”: “If Musk can withstand the slander that the Trump administration may throw at electric vehicles, then That’s even better.”
cryptocurrency
Trump has previously promised to become a “crypto president.” Gary Gensler, chairman of the Securities Regulatory Commission, a “public enemy of the currency industry” who has repeatedly blocked the passage of relevant bills by the federal government and launched lawsuits with currency industry players, is likely to be replaced after Trump takes office. It is expected that Trump’s successor will review relevant accounting standards and possibly overturn them completely to allow companies to be exempted from SEC regulations. Musk is one of the supporters of cryptocurrency, and well-known American Silicon Valley venture capitalist Marc Andreessen and Trump’s deputy JD Vance also strongly support cryptocurrency.
green energy
Musk is also a supporter of “zero-carbon energy”. Tesla is a major supplier of solar systems and batteries. Before the election, Trump claimed that he would halve the offshore wind power industry and abolish all unspent related funds in accordance with the “Inflation Reduction Act” (Inflation Reduction Act), the current President Biden’s signature achievement. However, Trump faces considerable opposition from his own side. Republican lawmakers, oil companies, and many other people in related fields believe that this bill has brought huge benefits to red states that support the Republican Party. Musk is one of them. He built his second electric vehicle factory in Texas.
Space, health care, AI
Trump and Musk also have conflicts in their policies in several fields such as space, health care, and artificial intelligence. It remains to be seen how the two will resolve the conflicts. Musk and a group of Trump supporters in Silicon Valley hope that the federal government will reduce regulations on artificial intelligence, rockets and other fields.
The British “Financial Times” reported on Wednesday under the title “Musk’s bet on Trump will pay off” that Musk will become one of the most influential political and business advisers around the new President Trump. Once he becomes the head of the Federal Government Performance Committee, Musk, who has a fortune of US$260 billion, has the power to comprehensively and significantly weaken what he calls “the huge federal bureaucracy that greatly hinders the United States.” Musk has vowed to strongly support deregulation and exert influence on U.S. policies on artificial intelligence, space exploration, and electric vehicles, all areas where his companies are involved.
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