Key Takeaways
- 💥 Elon Musk launched the "America Party" on July 6, 2025, after clashing with Donald Trump over a $3.9 trillion spending bill.
- 🔥 Treasury Secretary Scott Bessent dismissed the move, urging Musk to focus on Tesla/SpaceX instead of politics.
- 💸 Investors rebuked Musk: Azoria Partners delayed a Tesla ETF, citing conflict with Musk’s CEO duties.
- 🗳️ Musk’s strategy: Target 2-3 Senate and 8-10 House races to break GOP’s razor-thin congressional majority.
- ⚖️ Legal hurdles: Forming a national third party requires navigating 50+ state ballot laws and FEC rules.
- 📉 Polling reality: Bessent noted Musk’s DOGE policies were popular—but Musk himself was not .
The Bessent-Musk Blowup: Treasury Chief Tells Elon to "Stick to Business"
Scott Bessent didn’t hold back. On CNN’s State of the Union (July 6), Trump’s Treasury Secretary slammed Elon Musk’s new political venture, flatly stating corporate boards at Tesla and SpaceX “would prefer him to stay out of politics” . Bessent’s jab cut deep: “The principles of DOGE were very popular. I think if you looked at the polling, Elon was not” . Ouch—that’s gonna leave a mark.
Their feud isn’t new. Back in April 2025, Musk and Bessent had a heated shouting match after a White House meeting. MAGA insider Steve Bannon even claimed Musk “body-checked” Bessent (though Bessent never confirmed it) . Personal? You bet.
Musk’s “America Party”: Born from a Trump Feud and an X Poll
So why’d Elon do it? Simple: rage against Trump’s “Big, Beautiful Bill”—a $3.9 trillion package mixing tax cuts, defense spending, and Medicaid work requirements that’ll boot 10.6 million off healthcare . Musk called it “insane and destructive,” arguing it “bankrupts America” .
On July 4, he ran an X poll: “Want independence from the two-party system?” 65% of 1.2M votes said yes. By July 5, the “America Party” was live . Musk’s game plan? Laser-target 2-3 Senate seats and 8-10 House districts to leverage the GOP’s thin majority: “Enough to be the deciding vote on contentious laws” .
Inside the Musk-Trump Breakup: From BFFs to Enemies
Funny how things change. In 2024, Musk was Trump’s biggest donor ($280 million) and even ran his Department of Government Efficiency (DOGE), slashing federal jobs . But the spending bill torched their alliance. Trump taunted Musk, threatening to:
- Cancel Tesla’s EV tax credits
- Yank SpaceX’s government contracts
- “Look into” deporting Musk (a South African-born U.S. citizen)
Musk fired back by reviving Trump’s Jeffrey Epstein ties in a since-deleted tweet . Now, he’s vowing to primary every Republican who backed the bill: “They will lose if it’s the last thing I do” .
Investor Backlash: ETF Delayed, Boards Fume
Wall Street isn’t cheering. Azoria Partners postponed its Tesla Convexity ETF launch, with CEO James Fishback tweeting: “Elon left us no choice... his political ambitions conflict with CEO duties” . Fishback—a Trump ally—even urged Tesla’s board to “clarify” Musk’s priorities .
Bessent seized on this, hinting boards want Musk back full-time. Tesla sales dipped during Musk’s DOGE stint, and investors fear déjà vu .
Why America’s Two-Party System Crushes Third Parties
Musk’s plan faces brutal structural hurdles:
- Ballot access laws vary wildly by state. In California, a new party needs 75,000 registered members or 1.1 million signatures just to compete .
- Winner-takes-all elections punish minority parties (e.g., Tea Party won 24% support but few seats) .
- FEC recognition demands years of state-by-state litigation .
Table: Ballot Access Hurdles in Key States
Veteran election lawyer Brett Kappel puts it bluntly: “Only the richest person in the world could even try this. It’ll cost hundreds of millions and take years” .
The Policy Void: What Does the “America Party” Stand For?
So far, Musk’s platform is vague. He reposted a follower’s draft including:
- ☑️ Debt reduction
- ☑️ Military AI modernization
- ☑️ Free speech absolutism
- ☑️ Deregulation (especially energy)
- ☑️ Pro-natalist policies
He replied “yeah!” but offered no official plan. Critics note it echoes his DOGE agenda—which polls well, unlike Musk himself .
What’s Next: Legal Fights, GOP Civil War, and Tesla’s Fate
Three big stakes:
- GOP schism: Musk could split Republican votes in 2026 midterms, handing Democrats key seats .
- Legal battles: Expect Democrats and Republicans to sue over ballot access in swing states .
- Tesla turmoil: If Musk’s political work escalates, shareholders could push for his ouster as CEO .
Trump’s already mocking the effort: “Elon’s a wonderful guy... but he got a little upset” . Bessent, meanwhile, is grinning.
Frequently Asked Questions
🤔 What is the "America Party"?
Elon Musk’s newly announced political party, formed July 5, 2025. It aims to challenge Republicans who backed Trump’s $3.9 trillion spending bill .
❓ Why did Scott Bessent criticize Musk?
Bessent (U.S. Treasury Secretary) argued Musk should “focus on his companies,” not politics, adding that Musk’s DOGE policies were popular—but Musk himself wasn’t .
⚡ How did investors react?
Investment firm Azoria Partners delayed a Tesla-linked ETF, citing conflict with Musk’s CEO duties .
🗳️ Can Musk actually create a national third party?
Experts say it’s legally grueling. He must navigate 50+ state ballot laws and FEC rules—a process taking years and $100s of millions .
💥 What caused Musk’s split with Trump?
Trump signed a massive tax/spending bill Musk called “insane.” Musk then vowed to primary GOP supporters. Trump threatened to cancel Tesla/SpaceX subsidies .
Citing My Link Sources:
- https://www.reuters.com/business/autos-transportation/investment-firm-azoria-postpones-tesla-etf-after-musk-plans-political-party-2025-07-06/
- https://www.cnbc.com/2025/07/05/elon-musk-america-party-democrats-trump.html
- https://nypost.com/2025/07/06/us-news/scott-bessent-scoffs-at-musks-new-america-party/
- https://www.cbsnews.com/news/elon-musk-new-america-political-party-trump-feud-harder-than-it-sounds/
- https://m.economictimes.com/news/international/global-trends/musk-should-stay-out-of-politics-us-treasury-secretary-bessent-says/articleshow/122282325.cms
- https://nypost.com/2025/07/06/us-news/scott-bessent-scoffs-at-musks-new-america-party/
- https://www.thedailybeast.com/treasury-secretary-scott-bessent-slams-elon-musks-new-america-party/