Tesla trembles: Musk re-enters politics and creates his own party!

Elon Musk declared war on his former friend Donald Trump by launching his own political party, America Party, on Friday, July 4, 2025.

The symbol is huge, but it could be fatal – in every sense of the word – for Elon Musk. By choosing July 4th, Independence Day in the United States, to announce the creation of his political party, the South African businessman has initiated a war. And his target is clear: Donald Trump, his former best friend.

This day of July 4, 2025, began for Elon Musk on his social network X (formerly Twitter), his best organ for propaganda and misinformation. A first tweet was rather “patriotic” for someone who doesn’t hold American citizenship: “Happy birthday, America“. Then a second, more enigmatic tweet: “Beautiful day for some… fireworks“. Then came the online announcement of his political party, America Party, along with a flurry of messages justifying its existence.

Elon Musk’s credo remains the relentless pursuit of financial waste in the American public sector. Education, health, and safety are not sources of investment for the future, but expenses that must be eliminated. “When it comes to ruining our country through waste and corruption, we live in a one-party system, not in a democracy. Today, the America Party is created to give you back your freedom“, Musk wrote on his social network.

A dependence of Tesla on federal aid

Musk has realized, but too late, that he had been manipulated by Donald Trump to secure his second term as President of the United States. The Tesla CEO then led an official mission on government efficiency (DOGE) for 100 days, before being publicly dismissed. The feud continued for weeks, with Donald Trump confessing to the press that he was considering expelling Elon Musk from American soil due to his nationality. “Do you know what DOGE is? It’s the monster that could turn around and bite Elon“, continued the President of the United States.

Here lies the problem for Musk: despite the hypothetical incredible popular success of his new party, he can never be elected President of the United States.

The other danger, very real, will be the elimination of federal aid for purchasing electric cars, which Tesla is heavily reliant upon. In the United States, this aid is $7,500 (about €6,400) for vehicles produced on U.S. soil. However, it is no secret that Trump wants to restore the weight of the oil and fossil fuel lobby… from which Tesla is absent by nature. And with blatant irony, Trump added in June, amidst a fallout with Musk: “The easiest way to save money in our budget, billions and billions of dollars, would be to end the subsidies and government contracts of Elon“. Tesla and SpaceX being clearly targeted.

Politics and business do not mix well, as evidenced by the collapse of Tesla sales in the first half of 2025. What will Trump’s reaction be to this new affront from Musk? And how will the financial markets and investment funds, which own the majority of the South African businessman’s companies, respond?

The epilogue of this affair could be a massive boom… in every sense of the word.

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