Following a public feud with President Donald Trump, billionaire Elon Musk is reportedly pausing his plans to launch a new political party, the “America Party.” Citing sources familiar with the matter, the Wall Street Journal reported that Musk wants to focus on his various companies and avoid damaging his relationship with influential Republicans, including Vice President J.D. Vance.
Shifting Political Strategy
Musk’s decision comes after a public disagreement with President Trump over a new tax and spending bill. According to the Journal, the billionaire has been working to maintain ties with Vice President J.D. Vance, and has reportedly told associates that forming a new party would harm that relationship.
Musk is now considering using some of his financial resources to support Vance should he decide to run for president in 2028. This potential shift in strategy follows Musk’s substantial financial support in the 2024 election, where he spent nearly $300 million to help elect Trump and other Republicans.
Concerns About Time and Attention
The report also highlights concerns among investors about whether Musk can dedicate enough time and attention to his companies, especially Tesla, given his political ambitions. Tesla’s shares have dropped over 18% this year after the company reported its worst quarterly sales decline in more than a decade. Musk himself has warned of “a few rough quarters” ahead.
Musk unveiled the America Party in July, but public response has been mixed. While a Quantus Insights poll found that 40% of registered voters would consider backing his party, other data shows that 55% of Americans view him unfavorably. Vice President Vance has publicly advised Musk to “try to fix the Republican Party” from within, arguing that a third party would be a “huge mistake.”
