Elon Musk’s public spat with former President Donald Trump has sent shockwaves through the stock market, resulting in a dramatic $34 billion drop in Musk’s net worth in just one day. Tesla’s shares plunged nearly 14%, wiping out about $150 billion from the company’s market capitalization.
The conflict erupted after Musk criticized Trump’s $2.4 trillion tax reform plan, labeling it the “Debt Slavery Bill.” Trump swiftly responded by threatening to withdraw federal contracts from Musk’s key businesses, including Tesla and SpaceX.
Tensions escalated further when Musk made controversial accusations linking Trump to Jeffrey Epstein and suggested grounding SpaceX’s Dragon spacecraft — a vital component of NASA’s missions — though he later retracted the statement.
The dispute has unsettled investors who fear regulatory backlash and uncertainty over electric vehicle tax incentives, raising concerns about Tesla’s future growth trajectory.
Market analysts caution that the ongoing feud could hamper Tesla’s momentum and destabilize Musk’s sprawling business empire, even as he remains the world’s richest person with a net worth of approximately $335 billion.
