Trump threatens to cancel Elon Musk’s government contracts

US President Donald Trump has threatened to cancel all government subsidies and contracts awarded to Elon Musk, escalating a public feud with the tech billionaire who recently stepped down from a temporary government post.

In two posts on his social media platform Truth Social, Trump accused Musk of losing control after he revoked an electric vehicle mandate.

"Elon was wearing thin, I asked him to leave, I took away his EV mandate that forced everyone to buy electric cars that nobody else wanted (that he knew for months I was going to do!), and he just went CRAZY!" Trump wrote.

He added that the "easiest way to save money" in his tax bill would be to "terminate Elon’s Governmental Subsidies and Contracts".

The fallout marks a sharp turn in a relationship that once seemed close. When Musk left his government advisory role last week, the split appeared amicable, with a warm send-off at the White House, where Musk received a golden key.

But that image has quickly faded. Musk has since launched a wave of criticism against Trump’s proposed tax plan and urged lawmakers to reject it.

He also suggested that his past donation helped Trump win the election.

Trump responded by saying he was disappointed in Musk’s behaviour. The tech mogul’s counterattack has struck a nerve, targeting the core of Trump’s political agenda and financial strategy.

The public clash between the president and one of the world’s richest men has fuelled speculation about deeper tensions behind the scenes.

Analysts say the collapse of their alliance was perhaps inevitable. As one observer put it: there can’t be two Caesars at the same time.