Billionaire entrepreneur Elon Musk has officially launched a new political party in the United States. It is titled the “America Party,” following an explosive clash with President Donald Trump. The split comes after Congress narrowly passed Trump’s controversial “Big, Beautiful Bill”, a sweeping tax-and-spending plan that Musk fiercely opposed.
The launch of the new party signals Musk’s full step into political activism. Now he will no longer as a mega donor, but now as a challenger to what he calls the “uniparty” system dominated by Democrats and Republicans alike.
From Political Ally to Vocal Opponent
Elon Musk had once been Trump’s largest financial supporter during the 2024 elections, pouring $277 million into pro-Republican causes—$239 million of which was funneled through his America PAC to mobilize voters across key swing states.
He also briefly headed Trump’s Department of Government Efficiency (DOGE)—a special federal agency designed to reduce government waste. But after resigning from DOGE in May 2025, Musk began voicing strong opposition to Trump’s economic plans, accusing lawmakers of reckless spending.
The Spending Bill That Sparked It All
At the center of the feud is Trump’s “Big, Beautiful Bill”, which narrowly passed the Senate by just two votes. The legislation includes massive tax cuts, new subsidies, and sharp increases in defense spending.
Musk called the bill:
“This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination.
Shame on those who voted for it: you know you did wrong. You know it.”
— Elon Musk, June 3, 2025
He warned that the bill would add $3.4 trillion to the national debt, harm job creation, and threaten the country’s economic future.
Musk’s Explosive Series of Posts
After the Senate vote, Musk launched a tirade of posts on X (formerly Twitter):
“Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame!
And they will lose their primary next year if it is the last thing I do on this Earth.”
— Elon Musk, July 1, 2025
Later that day, he made a public promise:
“If this insane spending bill passes, the America Party will be formed the next day.
Our country needs an alternative to the Democrat–Republican uniparty so that the people actually have a VOICE.”
— Elon Musk, July 1, 2025
📊 Public Support and Political Momentum
In early June, Musk posted a poll on X asking:
“Is it time to create a new political party in America that actually represents the 80% in the middle?”
Out of 5.6 million voters, 80.4% voted yes. Following this, Musk declared:
“The people have spoken. A new political party is needed in America to represent the 80% in the middle!”
On July 6, Musk made it official:
“By a factor of 2 to 1, you want a new political party and you shall have it!
When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy.
Today, the America Party is formed to give you back your freedom.”
— Elon Musk, July 6, 2025
From Trump to Thomas Massie
Musk has now turned his political support to Congressman Thomas Massie, one of just two Republicans who voted against Trump’s bill. Massie, who has frequently clashed with Trump, was once branded a “pathetic loser” by the former president.
However, Musk has pledged donations and campaign support to Massie’s re-election, further deepening the rift with Trump.
Trump Fires Back
In response, Trump dismissed Musk’s move as pointless:
“I think it’s ridiculous to start a third party,” Trump told reporters.
“It’s always been a two-party system… third parties have never worked. So he can have fun with it, but I think it’s ridiculous.”(source-aljazeera)
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Trump also signed the bill into law with high drama. Meanwhile, reports say that Trump privately warned Elon Musk, suggesting there could be consequences for opposing the bill.
📈 Economic Impact and Market Reaction
Musk’s political involvement is also having ripple effects in the financial world. After his announcement, Tesla shares dropped 7%, as investors worried he may be shifting focus away from his company.
Despite hinting in May at reducing political spending, Musk is now re-entering the arena with full force. While his net worth (estimated at over $350 billion) gives him the financial power to fund a third party, experts say forming a viable national party will still be a legal and logistical challenge.
At the moment, Musk’s “America Party” is still in early stages—likely operating as a nonprofit until it gains official recognition.
Whether it disrupts the traditional two-party system or merely fractures the conservative vote remains to be seen. But one thing is certain—Elon Musk is no longer on Trump’s team.
