Trump calls Musk’s formation of new party ‘ridiculous’ and confusing

U.S. President Donald Trump and Elon Musk attend a press conference in the Oval Office of the White House in Washington, D.C., U.S., May 30, 2025. (REUTERS)
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Updated 07 July 2025
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Trump calls Musk’s formation of new party ‘ridiculous’ and confusing

  • Musk said his “America Party” is needed to fight the Republican/Democrat Uniparty, which he blamed for the country's worsening debt crisis
  • Trump's response: Musk unhappy with new US tax-cut and spending measure, which takes away green-energy credits for Tesla’s electric vehicles

WASHINGTON: President Donald Trump called Elon Musk’s plans to form a new political party “ridiculous,” saying Musk could have fun with his new project but that the United States functions best under a two-party system.
A day after Musk escalated his feud with Trump and announced the formation of a new US political party, the Republican president was asked about it before boarding Air Force One in Morristown, New Jersey, as he returned to Washington upon visiting his nearby golf club.
“I think it’s ridiculous to start a third party. We have a tremendous success with the Republican Party. The Democrats have lost their way, but it’s always been a two-party system, and I think starting a third party just adds to confusion,” Trump told reporters. “It really seems to have been developed for two parties. Third parties have never worked, so he can have fun with it, but I think it’s ridiculous.”
Musk announced on Saturday that he is establishing the “America Party” in response to Trump’s tax-cut and spending bill, which Musk said would bankrupt the country.
"What the heck was the point of @DOGE if he’s just going to increase the debt by $5 trillion??" Musk posted on his X platform.

 

 

In response, investment firm Azoria Partners, which had planned to launch a fund tied to Musk’s electric automaker Tesla , said it was delaying the venture because the party’s creation posed “a conflict with his full-time responsibilities as CEO.”
Musk, who served as a top adviser to Trump on downsizing and reshaping the federal government during the first few months of his presidency, said his new party would in next year’s midterm elections look to unseat Republican lawmakers in Congress who backed the sweeping measure known as the “big, beautiful bill.”

Speaking on the CNN program “State of the Union” on Sunday, Treasury Secretary Scott Bessent said the boards of directors at Musk’s companies — Tesla and rocket firm SpaceX — probably would prefer him to stay out of politics.
“I imagine that those boards of directors did not like this announcement yesterday (Saturday) and will be encouraging him to focus on his business activities, not his political activities,” Bessent said.
Musk spent millions of dollars underwriting Trump’s 2024 re-election effort and, for a time, regularly showed up at the president’s side in the White House Oval Office and elsewhere. Their disagreement over the spending bill led to a falling out that Musk briefly tried unsuccessfully to repair.
The bill, which cuts taxes and ramps up spending on defense and border security, passed last week on party-line votes in both chambers of Congress. Critics have said it will damage the US economy by significantly adding to the federal budget deficit.
Trump has said Musk is unhappy because the measure, which Trump signed into law on Friday, takes away green-energy credits for Tesla’s electric vehicles. The president has threatened to pull billions of dollars Tesla and SpaceX receive in government contracts and subsidies in response to Musk’s criticism.

INVESTOR REBUKE
Musk’s announcement of a new party immediately brought a rebuke from Azoria Partners, which said on Saturday it will postpone the listing of its Azoria Tesla Convexity exchange-traded fund. Azoria was set to launch the Tesla ETF this week.
Azoria CEO James Fishback posted on X several critical comments about the new party and reiterated his support for Trump.
“I encourage the Board to meet immediately and ask Elon to clarify his political ambitions and evaluate whether they are compatible with his full-time obligations to Tesla as CEO,” Fishback said.
On Sunday, Fishback added on X, “Elon left us with no other choice.”
The Democratic Party appeared to welcome the rift between Trump and Musk.
“Trump’s MAGA party is splitting at the seams in the wake of his nightmare budget bill,” said Abhi Rahman, a spokesperson for the Democratic National Committee. “Republicans are waking up and facing the reality that they just signed their own pink slips, and are desperate for someone else to blame.”

 


US, Ukraine officials say they’ll meet for 3rd day after progress on creating a security framework

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US, Ukraine officials say they’ll meet for 3rd day after progress on creating a security framework

  • Witkoff and Kushner’s talks in Florida with Umerov, Ukraine’s lead negotiator, and Hnatov follow discussions between President Vladimir Putin and the US envoys at the Kremlin on Tuesday

WASHINGTON: President Donald Trump’s advisers and Ukrainian officials say they’ll meet for a third day of talks on Saturday after making progress on finding agreement on a security framework for postwar Ukraine.
The two sides also offered the sober assessment that any “real progress toward any agreement” ultimately will depend “on Russia’s readiness to show serious commitment to long-term peace.”
The statement from US special envoy Steve Witkoff, Trump’s son-in-law Jared Kushner as well as Ukrainian negotiators Rustem Umerov and Andriy Hnatov came after they met for a second day in Florida on Friday. They offered only broad brushstrokes about the progress they say has been made as Trump pushes Kyiv and Moscow to agree to a US-mediated proposal to end nearly four years of war.
“Both parties agreed that real progress toward any agreement depends on Russia’s readiness to show serious commitment to long-term peace, including steps toward de-escalation and cessation of killings,” the statement said. “Parties also separately reviewed the future prosperity agenda which aims to support Ukraine’s post-war reconstruction, joint US–Ukraine economic initiatives, and long-term recovery projects.”
The US and Ukrainian officials also discussed “deterrence capabilities” that Ukraine will need “to sustain a lasting peace.”
Witkoff and Kushner’s talks in Florida with Umerov, Ukraine’s lead negotiator, and Hnatov follow discussions between President Vladimir Putin and the US envoys at the Kremlin on Tuesday.
Friday’s session took place at the the Shell Bay Club in Hallandale Beach, a high-end private golf and lifestyle destination owned by Witkoff’s real estate development company.
Previous diplomatic attempts to break the deadlock have come to nothing and the war has continued unabated. Officials largely have kept a lid on how the latest talks are going, though Trump’s initial 28-point plan was leaked.
Ukrainian President Volodymyr Zelensky said his country’s delegation in Florida wanted to hear from the US side about the talks at the Kremlin.
Zelensky, as well as European leaders backing him, have repeatedly accused Putin of stalling in peace talks while the Russian army tries to press forward with its invasion. Zelensky said in a video address late Thursday that officials wanted to know “what other pretexts Putin has come up with to drag out the war and to pressure Ukraine.”
Speaking to Russian journalist Pavel Zarubin on Friday, Kremlin foreign affairs adviser Yuri Ushakov praised Kushner as potentially playing an important role in ending Russia’s invasion of Ukraine. Ushakov also took part in Tuesday’s talks at the Kremlin.
“If any plan leading to a settlement is put on paper, it will be the pen of Mr. Kushner that will lead the way,” Ushakov said.
The flattering comments about Kushner by the senior Russian official come as Putin has sought to sow division between Trump and Ukraine and Europe at a moment when Trump’s impatience with the conflict is mounting. Putin said his five-hour talks this week with Witkoff and Kushner were “necessary” and “useful,” but some proposals were unacceptable.
Kushner, who is married to Trump’s daughter Ivanka, was a senior adviser to Trump during his first term and was the president’s point person on developing the Abraham Accords, which formalized commercial and diplomatic ties between Israel and a trio of Arab nations.
Kushner has played a more informal role in Trump’s second go-around, but he helped Witkoff close out ceasefire and hostage negotiations between Israel and Hamas this fall. Trump tapped Kushner again to pair up with Witkoff to try to find an endgame to Russia’s invasion of Ukraine.
The European take on the peace talks
Ushakov, who accompanied Putin on a visit to India on Friday, repeated the Russian president’s recent criticism of Europe’s stance on the peace talks. Kyiv’s European allies are concerned about possible Russian aggression beyond Ukraine and want a prospective peace deal to include strong security guarantees.
Kyiv’s allies in Europe are “constantly putting forward demands that are unacceptable to Moscow,” Ushakov told Russia’s state-owned Zvezda TV. “Putting it mildly, the Europeans don’t help Washington and Moscow reach a settlement on the Ukrainian issues.”
French President Emmanuel Macron said Friday that he made progress during a visit to Beijing on getting Chinese leader Xi Jinping’s support for peace efforts.
“We exchanged deeply and truthfully on all points, and I saw a willingness from the (Chinese) president to contribute to stability and peace,” Macron said.
The French president said he stressed that Ukraine needs guarantees that Russia won’t attack it again if a settlement is reached and that Europe must have a voice in negotiations.
“The unity between Americans and Europeans on the Ukrainian issue is essential. And I say it, repeat it, emphasize it. We need to work together,” Macron said.
The latest drone attacks
Russian drones struck a house in central Ukraine, killing a 12-year-old boy, officials said, while long-range Ukrainian strikes reportedly targeted a Russian port and an oil refinery.
The Russian attack on Thursday night in Ukraine’s central Dnipropetrovsk region destroyed the house where the boy was killed and also two women were injured, according to the head of the regional military administration, Vladyslav Haivanenko.
The Ukrainian air force said Russia fired 137 drones of various types during the night.
Ukrainian drones attacked a port and an oil refinery inside Russia overnight as part of Kyiv’s campaign to disrupt Russian logistics, Ukraine’s general staff said.
The drones struck Temriuk sea port in Russia’s Krasnodar region and the Syzran oil refinery in the Samara region, starting blazes, a statement said. Syzran is about 800 kilometers (500 miles) east of the border with Ukraine.
The Russian Defense Ministry said only that its air defenses intercepted 85 Ukrainian drones over Russian regions and Crimea, which Russia illegally annexed in 2014.