Elon Musk, the billionaire CEO of Tesla and SpaceX, announced the launch of a new political party called the America Party on July 5, 2025. His decision marks a sharp break from former ally and U.S. President Donald Trump. Musk criticized what he described as America’s “one-party system” and declared his mission to “give you back your freedom.”
Posting on X, the social media platform he owns, Musk said, “When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy. Today, the America Party is formed to give you back your freedom.”
Fallout with Trump Sparked Move
The announcement followed Musk’s growing disagreement with Trump. Their fallout intensified after Musk served as the head of the Department of Government Efficiency (DOGE), where he advocated for sharp spending cuts and reductions in federal jobs.
Tensions escalated further when Trump signed a tax-cut and spending bill into law on July 4. Musk opposed the bill, claiming it threatened his companies. He had warned earlier that if the bill passed, he would consider forming a new party.
Billionaire’s Bold Challenge to the Two-Party System
Coinciding with Independence Day, Musk shared a poll on X asking users if they wanted “independence from the two-party (some would say uniparty) system.” Over 1.2 million users participated, and the majority voted in favor.
In a separate post, he criticized both Democrats and Republicans by saying, “When it comes to bankrupting our country with waste and graft, we live in a one-party system, not a democracy.”
Disputes Over Subsidies and Contracts
Musk’s friction with Trump partly stems from financial concerns. The President’s new bill reportedly slashed subsidies that benefitted Tesla and contributed to SpaceX losing government contracts. Musk openly attacked the so-called “Big Beautiful Bill,” calling it harmful to innovation and clean energy.
In retaliation, Trump recently threatened to cut off federal support to Musk’s ventures, intensifying the feud.
Uncertainty Over Party Structure
Though Musk has launched the America Party in name, he hasn’t yet shared details about its leadership or organizational structure. It is also unclear whether the party has been officially registered with U.S. election authorities.
However, Musk’s political ambitions seem firm, and the creation of the America Party signals his desire to reshape American politics and reduce dependence on the traditional two-party system.