Overview

• Trump threatened to terminate Musk’s government contracts and subsidies in response to criticism of his “Big Beautiful Bill,” proposing to cut billions from the federal budget.
• Musk countered on X by alleging that Trump is named in sealed Epstein files and accusing the president of concealing damaging records.
• In response to the contract threats, Musk announced that SpaceX will begin decommissioning its Dragon spacecraft, raising concerns for NASA missions to the International Space Station.
• Tesla’s stock plunged over 14%, erasing roughly $150 billion in market value as the feud escalated.
• The dispute threatens to complicate Senate consideration of the “Big Beautiful Bill” and exposes growing tensions between government and the private sector.