Washington— Tesla and SpaceX CEO Elon Musk has warned that former President Donald Trump’s proposed tariffs could push the U.S. economy into a recession later this year.
“The Trump tariffs will cause a recession in the second half of this year,” Musk wrote Friday on his social media platform, X. “If America goes broke, nothing else matters.”
The comment marks another escalation in the growing rift between the billionaire entrepreneur and Trump, whose increasingly public feud has begun rattling financial markets. On Thursday, Tesla shares plunged more than 14%, wiping out nearly $150 billion in market value.
Amid the tensions, Trump suggested the government could save money by cutting off federal contracts and subsidies awarded to Musk. In response, Musk fired back, saying SpaceX would begin dismantling its Dragon spacecraft fleet.
The former president’s threat followed Musk’s accusation that Trump had shown “ingratitude” despite Musk’s support in the 2024 campaign. Musk claimed his donations—reportedly exceeding $250 million—were instrumental in helping Trump secure the presidency.
“Trump has 3.5 years left as President, but I will be around for 40+ years,” Musk posted in a veiled warning.
The relationship between the two has unraveled as dramatically as it once formed—intense, fast-moving, and highly public.
Trump, for his part, said he was “very disappointed” with Musk after the Tesla CEO criticized the administration’s tax and spending plans. Musk’s only response: “Whatever.”
He made a final appearance at the White House last week, leaving a subdued press conference with a black eye, which he attributed to a minor accident involving his young son—a detail that some observers took as a metaphor for his bruising experience in Washington. (Source: IANS)
