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Elon Musk Quietly Pauses Plans For Launch Of His Own Political Party, Shifts Focus Back to Business
August 21, 2025
04:28
Elon Musk is quietly stepping back from his much-hyped plan to launch a third political party in the United States, according to a Wall Street Journal report. Sources familiar with the matter say Musk now wants to concentrate on his companies while avoiding potential rifts with key Republican divs.
In July, he announced the creation of the American Party after a heated spat with former President Donald Trump over his “Big and Beautiful Bill,” a sweeping tax and spending measure.
“Today, the America Party is formed to give you back your freedom,” Musk declared in a post on X, claiming a “2 to 1” public appetite for a new political force.
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But the billionaire’s enthusiasm appears to have cooled. Insiders say Musk is prioritizing his relationship with Vice President JD Vance, who has cautioned that forming a new party could fracture their alliance.
Despite his retreat, he still intends to play a role in U.S. politics. He has reportedly told confidants that he is prepared to financially support Vance should the vice president run for the White House in 2028.
Vance has positioned himself as a mediator in the Musk–Trump feud, urging Musk to return to the Republican fold. Musk spent nearly $300 million backing Trump and other GOP candidates during the last presidential cycle.
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Musk’s political recalibration comes at a turbulent time for his businesses. Tesla shares have slumped more than 18% this year, with the automaker recently reporting its weakest quarterly sales in over a decade.
Adding to the strain, the Trump administration has ended support for electric vehicles, a sector central to Tesla’s growth. Musk himself warned investors of “a few rough quarters” ahead.
Despite past tensions, Musk has long been aligned with Trump. He even brought his young son to meet the president in the Oval Office, highlighting their once-close relationship.
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