Trump-Musk feud shatters alliance: $22B SpaceX contracts and markets rattled

The once-close alliance between Donald Trump and Elon Musk has shattered amid a bitter public feud, putting approximately $22 billion in SpaceX government contracts at risk and unsettling key U.S. space programs.

Tensions escalated after Musk left his advisory role in the Trump administration and openly criticized Trump’s policies, including calling his tax bill a "disgusting abomination."

Trump retaliated by labeling Musk a "big-time drug addict" and threatening to cut federal contracts with Musk’s companies, sending Tesla shares into a free-fall.

"The moment of pique was a signal of the simmering tensions between the two men that would explode into the open less than a week later," analysts noted, marking the end of what was once considered an extraordinary political-business alliance.

Musk’s blunt style, ideological differences with the MAGA base, and political missteps eroded his relationship with top administration officials and the president himself.

Despite past public displays of unity, including a White House ceremony where Trump praised Musk as "one of the greatest business leaders and innovators the world has ever produced," the relationship soured rapidly.

Musk has even suggested Trump should be impeached, while Trump warned of "serious consequences" if Musk funds Democratic candidates opposing Republicans.

The fallout threatens to disrupt multiple U.S. space initiatives reliant on SpaceX contracts and casts uncertainty over Musk’s broader business ventures.

"About $22 billion of SpaceX's government contracts are at risk and multiple U.S. space programs could face dramatic changes," industry experts warn.

This feud underscores the volatile intersection of politics and business, with significant implications for the future of American space exploration and the electric vehicle market.

The public feud between former President Donald Trump and Elon Musk has fractured their alliance, jeopardizing $22 billion in SpaceX government contracts and rattling markets. The spat, fueled by political and personal clashes, threatens major U.S. space programs and Tesla’s stock, highlighting deep ideological divides.