Tesla Stocks Plummet as Trump-Musk Breakup Finally Begins

President Trump told reporters he was “disappointed” in Elon Musk, and Tesla’s stock took a nosedive minutes later.

This comes as the conflict over the predicted deficit increase in Trump’s “big, beautiful bill” reaches a new level. The president claimed on Thursday that his removal of the E.V. mandate is what set Musk against the massive spending bill.

“Elon endorsed me very strongly, he actually campaigned for me.… I would’ve won Pennsylvania easily anyway, even if the governor ran, the real governor,” Trump said on national television. “I’m very disappointed, because Elon knew the inner workings of the bill better than almost anybody sitting here, better than you people, he knew everything about it. All of a sudden he had a problem, and he only developed the problem when he found out that we’re gonna have to cut the E.V. mandate.”

“Whatever. Keep the EV/solar incentive cuts in the bill, even though no oil & gas subsidies are touched (very unfair!!), but ditch the MOUNTAIN of DISGUSTING PORK in the bill,” Musk replied on X, insisting that it was about the debt and not his own company. “In the entire history of civilization, there has never been legislation that[’s] both big and beautiful. Everyone knows this! Either you get a big and ugly bill or a slim and beautiful bill. Slim and beautiful is the way.”

Tesla stocks have fallen by nearly 30 points since Trump’s initial comment, a nearly 9 percent drop. Musk had previously cited Tesla’s poor financial performance as one of the reasons he was stepping back from politics. But he’s continued to stay involved since his going-away party in the Oval Office last Friday, and now this week his E.V. company will suffer more.

Shares have dropped 12 percent since May 27, around the time of his announced exit from politics. Tesla is also facing sales issues and an overall tarnishing of its reputation.

“He knew every aspect of this bill, and he never had a problem until right after he left. And if you saw the statements he made about me, which I’m sure you can get very easily, it’s very fresh … he said the most beautiful things about me,” Trump said on Thursday. “And he hasn’t said bad about me personally, but I’m sure that’ll be next. I’m very disappointed in Elon. I’ve helped Elon a lot.”