Post
Topic
Board Economics
Re: Elon Musk vs Donald Trump
by
EarnOnVictor
on 20/07/2025, 08:38:37 UTC
How do you think this is going to play out next?
Could you believe that till now, I still believe the two are just playing politics on the people, the fight is not real.

If you noticed, from the beginning of Trump's presidency, Musk's business has been severely affected. I guess what we are seeing now is a bid to strengthen it back, by changing the narrative. This could get messy for sure, to get him back on track locally and globally.

Even the American Party created by Elon Musk is another charade, he himself knows that it is futile, even before it started.

The main cause of their quarrel is Trump's "Big Beautiful Bill".  Because part of the bill would negatively impact Musk's electric car business, Tesla, which is his mainstay. The bill proposes to cut the tax credit for electric vehicles, a policy enacted under President Biden. Once this bill is passed, the production cost as well as the price of Tesla cars will increase significantly. That would make his business more difficult. So I don't think they're playing politics and Musk isn't doing it for the US economy, but for his business.
You have a very lovely point, I know that too, but deep inside me, I am convinced that it's all about politics and the restoration of the way people viewed Elon Musk before he started the bromance with Trump and politicians.

As for the electric cars, it is not isolated to Musk's business, but to all of them. While the high tariffs imposed on imported electric vehicles will also cushion the effect, the "Big Beautiful Bill" can have on electric cars in the US.

Above all, it's still a bill whose effect would be passed on the consumers eventually, and not on manufacturers. That's how it works.