Elon Musk pictured in the White House via Evan Vucci/AP- Musk’s announcement of a third political party was followed by a dispute with Donald Trump over a tax-cut and spending bill Musk believes will bankrupt the U.S.
- Musk led the Department of Government Efficiency (Doge) under Trump’s second term but resigned in May.
- Trump has threatened to pull federal subsidies for Musk’s companies in response.
- A poll by CNN shows that only 25% of adults and 22% of voters back Musk’s third-party idea.
The newly proposed political party by Elon Musk, called the ‘America Party‘, is already losing the race against the Republicans and Democrats. A recent poll conducted by CNN showed that only 25% of all adults and 22% of voters favor a Musk-run third party to compete against Democrats and Republicans.
Besides CNN, a poll conducted by Quinnipiac University showed that only 17% voters would consider Musk’s party against the Democrats and Republicans.
The prominent billionaire known for his leadership roles at numerous U.S.-based tech behemoths, including Tesla, SpaceX, and Neuralink, earlier this month announced the formation of a new political party named the ‘America Party’ amid a dispute with Republican President Donald Trump. This development came after Musk left his role at the Department of Government Efficiency (Doge) in May.
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Musk announced the formation of the America Party on X on July 6, saying “Today, the America Party is formed to give you back your freedom.” Musk’s reasoning for forming this party was based on his belief that Trump’s “big, beautiful” tax bill would bankrupt America.
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Elon Musk announced that he would support the creation of a new political party, citing that the public wants it “By a factor of 2 to 1, you want a new political party and you shall have it!” This statement comes after the U.S. President Donald Trump signed a tax-cut and spending bill into law, which Musk strongly opposed.
Elon Musk, who amassed his wealth through Tesla and SpaceX, reportedly invested heavily in Trump’s re-election campaign. He also led the Department of Government Efficiency, a role he took on at the start of Trump’s second term, with a focus on reducing government spending.
Investor discontent with Musk’s announcement emerged later in the day, with Azoria CEO James Fishback announcing on X that his firm, Azoria Partners, would delay listing its Tesla exchange-traded fund. Fishback requested Tesla’s board to shed light on Musk’s political aspirations, noting that the new party undermines the confidence shareholders had in Musk focusing more on the company after leaving government service in May.
Elon Musk previously announced plans to launch a new political party and financially target lawmakers who back the bill. In response, Donald Trump threatened to cut off billions of dollars in federal subsidies for Musk’s companies earlier that week.
Republicans expressed concern that Elon Musk’s on-again, off-again feud with Donald Trump could hurt their chances to protect their majority in the 2026 midterm congressional elections. When asked on X what led Musk to shift from supporting Trump to criticizing him, Musk replied, “Increasing the deficit from an already insane $2T under Biden to $2.5T. This will bankrupt the country.”
Neither Donald Trump nor the White House commented right away on Elon Musk’s announcement. The feud between Musk, the world’s richest man, and Trump, arguably the world’s most powerful person in politics, has caused several significant drops in Tesla’s share price.
Following Donald Trump’s November reelection, the stock surged and reached a peak of more than $488 in December. However, it lost more than half of its value by April.
Breaking into the U.S. political scene beyond the Republican-Democratic duopoly will be challenging for Elon Musk, considering this two-party system has dominated American politics for over 160 years. Meanwhile, Donald Trump’s approval ratings during his second term have stayed above 40% in polls, despite Trump’s often divisive policies.
Elon Musk’s America Party is trying to position itself as an alternative to the status quo on the grounds of transcending traditional Democrat-Republican binaries, appealing to centrists and independents who have lost faith in traditional political parties or systems. The formation of the America Party can be attributed to the rise and success of the Aam Aadmi Party in India as the third major political party after the Indian National Congress and Bharatiya Janata Party. The success of such a political party or movement will ultimately depend on public trust, transparency, and the ability to deliver beyond promises.
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