President Donald Trump threatened on Thursday to cut off government contracts with billionaire Elon Musk’s companies, while Musk suggested Trump should be impeached, turning their bromance into an all-out brawl on social media.
The hostilities began when Trump criticized Tesla CEO Musk in the Oval Office.
Within hours, the once-close relationship had disintegrated in full public view, as the world’s most powerful man and its richest launched personal barbs at one another on Trump’s Truth Social and Musk’s X.
“The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts,” Trump posted on Truth Social.
Wall Street traders dumped shares of Musk’s electric vehicle maker and Tesla closed down 14.3%, losing about $150 billion in market value.
It was Tesla’s largest single-day decline in value in its history.
Minutes after the closing bell, Musk replied, “Yes,” to a post on X saying Trump should be impeached.
Trump’s Republicans hold majorities in both chambers of Congress and are highly unlikely to impeach him.
The trouble between the two started brewing days ago, when Musk denounced Trump’s sweeping tax-cut and spending bill.
The president initially held his tongue while Musk campaigned to torpedo the bill, saying it would add too much to the nation’s $36.2 trillion in debt.
Trump broke his silence on Thursday, telling reporters in the Oval Office he was “very disappointed” in Musk.
“Look, Elon and I had a great relationship. I don’t know if we will anymore,” Trump said.
While Trump spoke, Musk responded with increasingly acerbic posts on X.
“Without me, Trump would have lost the election,” wrote Musk, who spent nearly $300 million backing Trump and other Republicans in last year’s election. “Such ingratitude.”
In another post, Musk asserted that Trump’s signature tariffs would push the U.S. into a recession later this year.
Besides Tesla, Musk’s businesses include rocket company and government contractor SpaceX and its satellite unit Starlink.
Musk, whose space business plays a critical role in the U.S. government’s space program, said that as a result of Trump’s threats he would begin decommissioning SpaceX’s Dragon spacecraft.
Dragon is the only U.S. spacecraft currently capable of sending astronauts to the International Space Station.
Hours later, Musk appeared to reverse that move. Responding to a follower on X urging Musk and Trump to “cool off and take a step back for a couple of days,” Musk wrote: “Good advice. Ok, we won’t decommission Dragon.”
In another possible sign of de-escalation on Thursday evening, Musk separately posted, “You’re not wrong,” in response to hedge fund manager Bill Ackman saying Trump and Musk should make peace.
