Kolkata: Shares of Elon Musk’s Tesla, the world’s most prominent electric passenger car manufacturer, dipped sharply on July 1 as once-friends Elon Musk and Donald Trump engaged in a war of words that spiraled into the world’s richest man saying that he could form a new political party. Shares of the iconic car maker slipped from $323.63 on Friday to close at $300.71 on Tuesday.
Shares of Tesla were actually rising after the firm’s robotaxi pilot in Texas but Musk’s feud with the US President spilling out in the open and dragged the shares down.
According to Nasdaq data, shares of Tesla eroded 12.27% (or $42.05) in the past five days and 20.72% or $78.57 in the past six months. The 52-wk high and low of this stock are $488.54 and $182.00. Tesla shares are diving in China and Europe too.
The latest round of feud between Trump and Musk centered around the so called big bill of the US President. Musk’s view, which he expressed loudly in public, is that, it will extinguish jobs and put growing industries in trouble. He went as far ahead to write on social media that it amounted to “political suicide for the Republican Party”.
“Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame…. And they will lose their primary next year if it is the last thing I do on this Earth,” the Tesla boss wrote on X which generated more than 2.6 crore views on the social media platform. He didn’t stop at that too and mentioned that he will take the initiative to form a new political party if the Bill was passed.
“If this insane spending bill passes, the America Party will be formed the next day… Our country needs an alternative to the Democrat-Republican uniparty so that the people actually have a VOICE,” wrote Musk.
Trump hit back on Truth Social targeting the subsidies that Musk gets and even suggested that his prosperity depended on this largesse. “Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa,” Trump wrote.
The US president also hit his former buddy in other areas too. “No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE. Perhaps we should have DOGE take a good, hard, look at this? BIG MONEY TO BE SAVED!!!” Trump wrote.
The US president also told the media that he might unleash DOGE on Musk. “We might have to put DOGE on Elon. You know what DOGE is? DOGE is the monster that might have to go back and eat Elon. Wouldn’t that be terrible? He gets a lot of subsidies,” Trump told the media. Musk shot back writing that DOGE might be saving $160B but the new Bill could raise the debt ceiling by $5 trillion.