Elon Musk Forms New Political Party After Rift with Trump

Billionaire entrepreneur Elon Musk has announced he is launching a new political party called the America Party, marking a dramatic turn in his once-close relationship with former United States President Donald Trump. The move follows a public fallingout over a domestic spending bill that Musk claims will saddle the country with unsustainable debt.

Musk, who had been the largest individual donor to Trump’s 2024 presidential campaign and served as a visible adviser, said the final straw was Trump’s decision to sign the sweeping legislation into law on Friday. The bill, which Musk called “big beautiful debt slavery,” is expected to add trillions to the federal deficit.

“When it comes to bankrupting our country with waste and graft, we live in a one-party system, not a democracy,” Musk posted on his platform, X. “Today, the America Party is formed to give you back your freedom.”

Trump was quick to dismiss Musk’s announcement. Speaking to reporters before boarding Air Force One, he called the idea of a third party “ridiculous” and predicted it would only create confusion among voters. “Third parties have never worked,” Trump said. “He can have fun with it, but I think it’s ridiculous.”

Despite the public declaration, it is unclear whether Musk has begun the legal process required to formally establish a political party. The Federal Election Commission, which oversees such registrations, has not shown any new filings related to the American Party.

Experts note that creating a new party in the United States is no small task. Financial hurdles, complex regulations, and voter skepticism have derailed similar efforts in the past. The most successful modern attempt came in 1992 when billionaire Ross Perot ran as an independent and captured nearly 20 percent of the vote but failed to win a single state.

Musk has offered few specifics about what the American Party will stand for beyond a commitment to fiscal conservatism and curbing government spending. He indicated the party would first focus on backing candidates in a limited number of House and Senate races during next year’s midterm elections.

As tensions escalate, Trump has hinted at retaliating by reviewing government contracts with Musk’s companies, including the Department of Government Efficiency, which Musk previously led. For now, Musk’s bold gamble adds a new twist to the already volatile American political landscape.