Trump reignites feud with Elon Musk, says he'd 'close up shop and head back to South Africa' without subsidies, Musk says 'will refrain for now'

The simmering feud between US President Donald Trump and Tesla CEO Elon Musk took a sharper turn on Tuesday, with Trump launching a fresh attack on Musk over electric vehicle mandates and federal subsidies. In his latest post on his Truth Social, Trump accused Musk of relying heavily on government support to run his ventures that span from electric cars to rockets, and warned that without subsidies, the billionaire "would probably have to close up shop and head back home to South Africa".

Trump, who had a major fallout with Elon Musk following his departure from his Department of Government Efficiency (DOGE) in early June, stated in a long post on his Truth Social that Musk knew, long before he so strongly endorsed him for President, that Trump was against the EV mandate.

"Elon Musk knew, long before he so strongly Endorsed me for President, that I was strongly against the EV Mandate. It is ridiculous, and was always a major part of my campaign. Electric cars are fine, but not everyone should be forced to own one. 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's post read.

Trump even threatened that without subsidies, Musk wouldn't be able to engage in his various businesses that span from rockets to electric cars, and threatened that DOGE would have a serious look at this to save a "fortune." "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!!!"

On being asked by a reporter whether Trump is going to deport Elon Musk, the US President replied, saying his administration would put "DOGE" on Elon. "We'll have to take a look. We might have to put DOGE on Elon. You know what DOGE is? The monster that might have to go back and eat Elon. Wouldn’t that be terrible? He gets a lot of subsidies." Musk, known for rarely mincing his words and speaking his mind, somehow has shown restraint, saying although it's tempting to escalate the tiff again but he would refrain. "So tempting to escalate this. So, so tempting. But I will refrain for now," Musk tweeted.

Purportedly alleging that Trump was acting on behalf of his former adviser Steve Bannon, who was jailed for defying a congressional subpoena related to the January 6 Capitol riot probe, Musk also said: "(Steve) Bannon is going back to prison. This time for a long time."

After several back-and-forth attacks on each other earlier this month, Musk, the world’s richest person and once U.S. President Donald Trump’s confidante, had publicly announced his truce with Trump, saying some of his posts about the US president "went too far."

The feud between the two had led to a staggering erosion of $150 billion in Elon Musk-owned Tesla’s market value. “I regret some of my posts about President Donald Trump last week. They went too far,” Musk said, after publicly taking jibes at Trump, even alleging his name was there in the Epstein files.

The feud began when Musk, after stepping down from his role in the Trump administration’s DOGE, posted a scathing critique of Trump’s most cherished “One Big Beautiful Bill.” Musk, who rarely minces words, called the bill a bloated, irresponsible spending spree. “I’m sorry, but I just can’t stand it anymore. This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination. Shame on those who voted for it: you know you did wrong. You know it,” Musk said.

Although both publicly denied that they had a fallout, Trump, in an interview with ABC later, said he ‘had no particular interest’ in engaging with Musk, deriding his former friend and biggest supporter as ‘the man who has lost his mind.’ Later, The New York Times, citing an administration official, reported that Trump had sold his personal red Tesla vehicle.

In the 2024 U.S. Presidential election campaign, Musk had emerged as one of Trump’s most fervent and vociferous advocates, pumping millions of dollars from his pocket into Trump’s campaign, culminating in a historic landslide victory for Trump. The image of Musk jumping on the stage with Trump, making an unexpected appearance at a rally in Butler, Pennsylvania in October, is considered one of the most iconic images of Trump’s historic election campaign, seconded only by Trump raising a defiant fist after a bullet grazed his ear on the same dais in Butler in July last year.