Donald Trump and Elon Musk’s Bromance Turns Ugly Over Tax Bill: SpaceX Boss threatens to Ground Dragon Spacecraft, But Shocking U-Turn Followed

What began as a policy disagreement over US administration’s ‘big, beautiful tax and spending bill’, has now rapidly turned into a full-blown political and personal feud between two of the most influential figures in America - President Donald Trump and Tesla-SpaceX Boss Elon Musk.

What Caused the Ugly Feud?

What was the tipping point? It was a major tax bill. And what caused the explosive exchanges between US President Donald Trump and Elon Musk? That’s war of words between the once allies which led to Elon Musk threatening to dismantle NASA’s only working crew shuttle to space. 

Elon Musk's Big ‘Dragon' Warning for NASA

Trump VS Musk feud took an ugly turn in the last couple of hours. The billionaire entrepreneur on Thursday announced that SpaceX would ‘immediately’ begin decommissioning its Dragon spacecraft - the only American vehicle currently ferrying astronauts to and from the International Space Station (ISS).

Musk wrote this on his X handle in direct response to a fiery post by Donald Trump on Truth Social. The ‘friend’ US President accused Musk of benefiting from ‘billions and billions’ in government subsidies and suggested terminating all federal contracts with his companies.

Elon Musk responded swiftly and bluntly. He wrote - “In light of the President’s statement about cancellation of my government contracts, SpaceX will begin decommissioning its Dragon spacecraft immediately”

The Dragon capsule has been vital to the US space program. The SpaceX spacecraft recently returned NASA astronauts Sunita Williams and Butch Wilmore back on Earth after their 9-month long stay at the International Space Station (ISS). SpaceX Dragon came to rescue after the mission of Williams and Wilmore aboard ISS got extended due to technical issues with Boeing's Starliner spacecraft, which was supposed to bring them back home. 

Just weeks ago, the SpaceX Dragon spacecraft delivered nearly 7,000 pounds of science cargo and equipment.

U-Turn in Only 5 Hours?

What came a surprise was Musk taking a sharp U-turn from his stance in next five hours. After an X user called out Elon Musk and Donald Trump for their ‘shameful’ fight and suggested them to ‘take a step back for a couple of days’, the Tesla CEO replied - "Good advice. Ok, we won't decommission Dragon". He also shared a photo of the US flag against the backdrop of the Dragon on X, saying - Team America. 

Political Rift Becomes Personal

The public spat between the two escalated after Elon Musk criticised Donald Trump’s $1.6 trillion tax and spending bill. Trump, clearly irked, responded by accusing Musk of betrayal and ingratitude, even questioning his past political support for the bill.

“I’m very disappointed because Elon knew the inner workings of this Bill better than almost anybody sitting here,” Trump said. 

"Look, Elon and I had a great relationship. I don't know if we will anymore," Trump told reporters in the Oval Office. 

Elon Musk too no time to fire back on X, calling Trump’s claims ‘false’. “This bill was never shown to me even once and was passed in the dead of night so fast that almost no one in Congress could even read it!" he hit back.

In another social media post earlier in the day, Elon Musk boasted, “Without me, Trump would have lost the election, the Democrats would control the House, and the Republicans would be 51-49 in the Senate.” 

Taunting the US President for its ‘ingratitude’, the tech tycoon further added, “Without me, Trump would have lost the election, Dems would control the House and the Republicans would be 51-49 in the Senate.”.

The Tesla CEO then went a step further. He conducted a poll asking Americans if the country needs a new political party that ‘actually represents the 80% in the middle’- a clear dig at both major political camps in the United States.

Threat, exposes, and more - the feud between Musk and Trump reached new heights late on Thursday when Tesla CEO made a stunning allegation. “Time to drop the really big bomb: Trump is in the Epstein files. That is the real reason they have not been made public,” Musk posted, referencing sealed court documents related to Jeffrey Epstein, the convicted sex offender whose connections to high-profile figures remain a flashpoint in American politics.

 

While Donald Trump has denied any association with Epstein, this claim by Elon Musk instantly set the internet ablaze. It also added a more complex tone to the feud. 

Elon-Donald Fallout - Market in Panic

Not only the political corridors, the Musk–Trump fallout has sent shockwaves through Wall Street too. By the end of trading on Thursday, Tesla stock plummeted by 14.6% - its worst single-day drop in two years. Investors are not only spooked by the potential loss of US administration support, but also by Elon Musk’s upfront confrontation with US President Donald Trump. 

SpaceX, which has received over $20 billion in federal contracts since 2008, is also under scrutiny now, as questions hover over the future of its partnerships with NASA and the US Department of Defense.