Trump and Elon Musk feud again as subsidy and deportation threats hit Tesla shares

Facepalm: Donald Trump and Elon Musk are having another public feud. The president has, once again, threatened to end the billions of dollars in subsidies Musk's companies receive from the government. He also suggested that Doge, which Musk led until recently, could investigate the CEO's firms. There was even a threat to deport South Africa-born Musk.

The Musk/Trump spat, which ignited last month, hasn't ended. The crux of the issue is Trump's Big Beautiful Bill Act, which Musk says would "bankrupt America" and threaten his dream of reaching Mars. It would also eliminate subsidies for electric vehicle purchases.

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Things heated up in June when Trump threatened to cancel Musk's governmental subsidies and contracts. Musk soon backed down in that argument, deleting claims about Trump's appearance in the Epstein files. But it seems the world's richest person can't let it go.

Now that the tax and spending bill, which is expected to increase US national debt by $3.3 trillion, has passed the Senate, people are waiting to see if Musk lives up to his promise to found a new political party, the America party.

The last 24 hours have seen both men throwing around threats. Trump suggested that budget-cutting organization Doge, which Musk led before leaving the role, could look at the government subsidies Musk's companies receive. "Doge is the monster that might have to go back and eat Elon. He gets a lot of subsidies," Trump said.

The President wrote that Musk received more subsidies "than any human being in history, by far," adding: "No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE."

When asked if he would consider deporting Musk, who is a naturalized US citizen, Trump said he didn't know but would "take a look." Musk posted a reply to a video of the statement on X that read: "So tempting to escalate this. So, so tempting. But I will refrain for now."

As was the case last time the pair fought, Tesla shares have dipped following Trump's threat, down 5%.

One group throwing its support behind Musk is Chinese social media users. The hashtag #MuskWantsToBuildAnAmericaParty has gone viral on Weibo, where one user wrote, "Brother Musk, you've got over a billion people on our side backing you."

Musk is popular in China for several reasons. His business and technological achievements are celebrated widely; Tesla remains a recognizable and admired brand in the country, and the company has its largest factory by volume in Shanghai; and China is in love with Musk's mother, Maye Musk, who has achieved social media celebrity status in the Asian nation. Trump, by contrast, has few Chinese fans due to his trade war against the country.