Elon Musk Launches 'America Party' After Feud With Trump Over Spending

6 July, 2025

Billionaire Elon Musk has announced the formation of a new political party, the 'America Party,' following a public falling out with President Donald Trump. The move was triggered by Musk's fierce opposition to a major tax-cut and spending bill signed by Trump, which Musk claims will bankrupt the country by increasing the national deficit. The launch of a new party by a major political financier could potentially disrupt the long-standing Republican-Democratic duopoly in US politics.

Unpacked:

What are the main policy goals or platform of Musk's 'America Party'?

Elon Musk has not yet outlined a detailed platform for the 'America Party.' His initial statements emphasize opposition to government waste, graft, and the recent tax-cut and spending bill, arguing for fiscal responsibility and increased freedom. However, concrete policy proposals or a comprehensive agenda have not been publicly released as of now.

How realistic is it for a new third party to disrupt the Republican-Democratic duopoly in the US?

While a new party backed by a wealthy figure like Musk could draw attention and resources, third parties in the US face significant legal and logistical barriers, including complex state laws and ballot access requirements. Historically, third parties have struggled to gain lasting influence within the entrenched two-party system.

What was the substance of Musk's disagreement with President Trump over the tax-cut and spending bill?

Musk publicly criticized the bill for increasing the national deficit and labeled it as wasteful, expressing concern that it could bankrupt the country. This fiscal disagreement was the primary trigger for his split with Trump and the subsequent creation of the 'America Party.'

What are the potential political implications if the 'America Party' targets swing seats as Musk suggests?

If the 'America Party' focuses on competitive swing districts, it could act as a political 'kingmaker' by tipping close races. With razor-thin legislative margins, even a small third party can wield outsized influence, potentially deciding the outcome of key legislation or elections.