Musk announces 'America Party' in further break from Trump
The announcement from Musk comes after Trump signed his self-styled "big, beautiful" tax-cut and spending bill into law on Friday, which Musk fiercely opposed. Musk, who became the word's richest man thanks to his Tesla car company and his SpaceX satellite firm, spent hundreds of millions on Trump's re-election and led the Department of Government Efficiency from the start of the president's second term aimed at slashing government spending. The first sign of investor dissatisfaction with Musk's announcement followed later in the day. Investment firm Azoria Partners will postpone the listing of a Tesla exchange-traded fund, Azoria CEO James Fishback said in a post on X.
Fishback is asking Tesla's board to clarify Musk's political ambitions and said the new party undermines the confidence shareholders had that he would be focusing more on the company after leaving government service in May. Musk said previously that he would start a new political party and spend money to unseat lawmakers who supported the bill. Trump earlier this week threatened to cut off the billions of dollars in subsidies that Musk's companies receive from the federal government. Republicans have expressed concern that Musk's on-again, off-again feud with Trump could hurt their chances to protect their majority in the 2026 midterm congressional elections.
Asked on X what was the one thing that made him go from loving Trump to attacking him, Musk said: "Increasing the deficit from an already insane $2T under Biden to $2.5T. This will bankrupt the country." There was no immediate comment from Trump or the White House on Musk's announcement. The feud with Trump, often described as one between the world's richest man and the world's most powerful, has led to several precipitous falls in Tesla's share price.
Despite Musk's deep pockets, breaking the Republican-Democratic duopoly will be a tall order, given that it has dominated American political life for more than 160 years, while Trump's approval ratings in polls in his second term have generally held firm above 40 per cent, despite often divisive policies. — Reuters
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Observer
13 hours ago
- Observer
Competing security visions of the US, China
It is indisputable at this point that the US is disengaging from global leadership. While America's retreat has so far been largely a choice – spearheaded by President Donald Trump's 'America First' administration – it may well become irreversible. And if the Communist Party of China (CPC) has its way, the People's Republic will emerge as the new global hegemon. China's recently published white paper on national security, its first ever, offers a glimpse into the CPC's plans. Reflecting President Xi Jinping's 'holistic national security concept,' the document articulates an expansive, integrated approach, encompassing political, economic, military, technological, cultural, and societal domains. Unlike previous defence-focused white papers, it establishes political security – specifically, the CPC's leadership – as the foundation of national stability, essential to enable China to act as a stabilising force in a turbulent world. That turbulence, China asserts, can be blamed largely on Western powers – especially the US – which have fostered disorder through containment and interference. China has a point here: even America's current withdrawal from global leadership has been conflicted and chaotic. That chaos begins with the Trump administration's embrace of economic nationalism and continues through Trump's rejection of decades of US foreign-policy principles. Trump's willingness to leverage American power to shape global affairs according to his whims is another incitement to instability, with his unilateral decision to bomb Iranian nuclear sites being the most obvious example. To be sure, in the Trump administration's view, the US operation in Iran was a bold, one-off manoeuvre aimed squarely at ending the Iranian nuclear threat and advancing peace in the Middle East. It was thus perfectly aligned with the administration's commitment not to become embroiled in new 'forever wars.' But not only is the operation unlikely to have achieved its objectives; it undermines US soft power by inviting accusations of arrogance and hypocrisy. This appears to matter little to the Trump administration, which seems convinced that national security depends not on global outreach but on military deterrence, advances in cybersecurity, and economic protectionism, exemplified by high tariffs, efforts to secure critical-mineral supply chains, and limits on the export of advanced technology to China. In fact, the Trump administration has scaled back cultural diplomacy and slashed development aid – hallmarks of America's post-Cold War influence. This has provided a critical opening for China to position itself as a stable and certain actor in regional and global affairs, a champion of multilateralism, an investor in and defender of the Global South, and a just peacemaker. Within Asia, this vision has materialised in 'treaties of neighbourliness and friendly cooperation' between China and nine countries, and in China's promotion of greater regional security cooperation, including with the ASEAN countries. More broadly, China is touting Xi's Global Security Initiative (GSI), which was launched in 2022 as an alternative to Western-led security frameworks that can support broad-based, 'win-win' cooperation on 'complex and intertwined security challenges.' The message has resonated widely: according to China's Ministry of Foreign Affairs, more than 120 countries have endorsed the GSI. China is further nurturing its soft power through cultural outreach – from its network of Confucius Institutes to its recent dialogues with the African Union – and economic engagement, including trade, lending, and investment. In May, the country introduced a $9 billion credit line for Latin America and the Caribbean. More broadly, China has been allocating huge amounts of funding for infrastructure and energy projects across the Global South, including through its ambitious Belt and Road Initiative (BRI). The GSI, the BRI, and other projects form the pillars of what China calls a 'global community of shared future.' But, like the US, China's claim to the moral high ground is not always aligned with reality. Its message is clear: China, with the CPC at its helm, is the just, stable, non-hegemonic power the world – especially the Global South – needs. But its rhetoric of justice and multilateralism is belied by its coercive domestic policies and aggressive regional manoeuvres, such as the militarisation of the South China Sea. In fact, while China presents its security posture as entirely defensive – aimed only at ensuring its own sovereignty – it has been pursuing various territorial claims with increasing assertiveness. Regarding Taiwan, the CPC makes 'no promise to renounce the use of force' and 'reserves the option of taking all necessary measures' to 'reunite' China. Following through on these threats would be far less justifiable than the US operation in Iran, which was at least aimed at neutralising a perceived threat. Taiwan poses no threat whatsoever to China or its neighbours. But for many countries in the Global South, America's history of double standards, including its inconsistent human-rights advocacy, has so decimated its moral authority that its interventions stand out as uniquely problematic, especially as it turns its back on soft power. The US and China have very different ideas of what it means to underwrite global stability. For the US, the objective – at least before Trump's presidency – had been to quash or deter threats to a rules-based order, including through selective interventions. But as Trump's America abandons that approach and alienates more of the world, China's vision, focused on fortifying CPC control and building alternative frameworks for global engagement, has gained greater appeal. If the US wants to remain a decisive player in the emerging multipolar world order, it will need to reaffirm the postwar foreign-policy principles that underpinned the rules-based order that it helped build but now threatens. Copyright: Project Syndicate, 2025. Ana Palacio A former minister of foreign affairs of Spain, is a visiting lecturer at Georgetown University
Muscat Daily
16 hours ago
- Muscat Daily
Donald Trump slams Elon Musk's ‘America Party' plan
Washington, D.C., US – President Donald Trump on Sunday blasted multibillionaire CEO Elon Musk's launch of a new US political party called the America Party. The Tesla and SpaceX CEO, and until recently a close adviser to Trump, announced the creation of the America Party in a series of posts late on Saturday. 'When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy. Today, the America Party is formed to give you back your freedom,' he posted on X, the social media platform he owns. On Sunday, Trump said it was 'ridiculous' to start a third party. 'The Democrats have lost their way, but it's always been a two-party system,' Trump said, adding, 'and I think starting a third party just adds to confusion. It really seems to have been developed, but three parties have never worked'. Musk first floated the idea of forming a new political party after a public and bitter falling-out with Trump. Musk spent hundreds of millions of dollars to support Trump's re-election and led the so-called Department of Government Efficiency or DOGE in the Trump administration, which aimed to cut government spending, before their disagreements spilled into the open. He revived the idea of a new political party this week as US lawmakers approved Trump's sweeping tax and spending bill. Musk was among the legislation's most vocal critics and has pledged to establish a new party to oppose Republicans who supported the bill. On Friday, he posted a poll asking whether users 'want independence from the two-party (some would say uniparty) system', drawing over 1.2mn responses, with more than 60% in favour of a new party. Third-party challenges A truly competitive third party could disrupt over a century of Democratic and Republican dominance at all levels of government. But Musk would not be the first person trying to establish a party to challenge their dominance. Former President Theodore Roosevelt came the closest in 1912, after splitting from the Republican party. He ran as Progressive Party candidate and won 27% of the popular vote and 88 electoral votes. More recently, Ross Perot, another billionaire, won 19% of the popular vote but no electoral votes in the 1992 presidential campaign as an independent and later formed the Reform Party. Musk's billions meet ballot reality Musk has already indicated that he is not aiming for an all-out win. Instead, his America Party would focus on flipping a couple of House and Senate seats by applying, 'extremely concentrated force at a precise location on the battlefield'. He believes that by targeting key races, the America Party could hold decisive votes on contentious legislation. A massive campaign war chest could give Musk an edge. Parties spend billions of dollars to get their candidates elected. According to donations watchdog OpenSecrets, nearly US$16bn was spent across the 2024 presidential and congressional races. Musk himself was the biggest donor in the 2023-24 election cycle. He gave more than US$291mn to Republicans across all races. However, money is not the only factor that matters. In April, Musk provided million-dollar checks to some voters in Wisconsin ahead of an election for the state's Supreme Court. Voters chose Democratic-backed Susan Crawford, who defeated conservative Brad Schimel for a State Supreme Court seat, despite US$25mn in spending from Musk. DW
Times of Oman
19 hours ago
- Times of Oman
Donald Trump slams Elon Musk's 'America Party' plan
Washington DC: US President Donald Trump on Sunday blasted multibillionaire CEO Elon Musk's launch of a new US political party called the America Party. The Tesla and SpaceX CEO, and until recently a close adviser to Trump, announced the creation of the America Party in a series of posts late on Saturday. "When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy. Today, the America Party is formed to give you back your freedom," he posted on X, the social media platform he owns. On Sunday, Trump said it was "ridiculous" to start a third party. "The Democrats have lost their way, but it's always been a two-party system," Trump said, adding, "and I think starting a third party just adds to confusion. It really seems to have been developed, but three parties have never worked." Musk a vocal opponent of Trump's 'Big Beautiful Bill' Musk first floated the idea of forming a new political party after a public and bitter falling-out with Trump. Musk spent hundreds of millions of dollars to support Trump's re-election and led the so-called Department of Government Efficiency or DOGE in the Trump administration, which aimed to cut government spending, before their disagreements spilled into the open. He revived the idea of a new political party this week as US lawmakers approved Trump's sweeping tax and spending bill. Musk was among the legislation's most vocal critics and has pledged to establish a new party to oppose Republicans who supported the bill. On Friday, he posted a poll asking whether users "want independence from the two-party (some would say uniparty) system," drawing over 1.2 million responses, with more than 60% in favour of a new party. Musk faces a difficult legacy of third-party challenges A truly competitive third party could disrupt over a century of Democratic and Republican dominance at all levels of government. But Musk would not be the first person trying to establish a party to challenge their dominance. Former President Theodore Roosevelt came the closest in 1912, after splitting from the Republican party. He ran as Progressive Party candidate and won 27% of the popular vote and 88 electoral votes. More recently, Ross Perot, another billionaire, won 19% of the popular vote but no electoral votes in the 1992 presidential campaign as an independent and later formed the Reform Party. Musk's billions meet ballot reality Musk has already indicated that he is not aiming for an all-out win. Instead, his America Party would focus on flipping a couple of House and Senate seats by applying, "extremely concentrated force at a precise location on the battlefield." He believes that by targeting key races, the America Party could hold decisive votes on contentious legislation. A massive campaign war chest could give Musk an edge. Parties spend billions of dollars to get their candidates elected. According to donations watchdog OpenSecrets, nearly $16 billion (about €13.58 billion) was spent across the 2024 presidential and congressional races. Musk himself was the biggest donor in the 2023-24 election cycle. He gave more than $291 million to Republicans across all races. However, money is not the only factor that matters. In April, Musk provided million-dollar checks to some voters in Wisconsin ahead of an election for the state's Supreme Court.
