In premarket trading today, Tesla shares have dropped as much as 7.6% after Elon Musk’s bold announcement to start a political party. Musk says the new party, called “The America Party,” would aim for “just 2 or 3 Senate seats and 8 to 10 House districts.”
Musk’s announcement follows days of negative posts from the CEO about Trump’s sweeping new spending reforms.
Last week, following the approval of the Big Beautiful Bill, Musk wrote, “It is obvious with the insane spending of this bill, which increases the debt ceiling by a record FIVE TRILLION DOLLARS that we live in a one-party country – the PORKY PIG PARTY!! Time for a new political party that actually cares about the people.”
Musk added, “Given the razor-thin legislative margins, that would be enough to serve as the deciding vote on contentious laws, ensuring that they serve the true will of the people.”
“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.”
Musk has not yet disclosed the registration location of the party, but he stated that the party would caucus independently and that legislative discussions would involve both parties.
Following Musk’s posts, Trump remarked that third political parties “have never succeeded in the United States” and claimed that “the one thing (they) are good for is the creation of complete and total DISRUPTION & CHAOS.”
He added, “I’m saddened to watch Elon Musk go completely ‘off the rails,’ essentially becoming a TRAIN WRECK over the past five weeks.”
Last week, Tesla announced a record decline in second-quarter sales, with vehicle sales dropping 13.5%.
By CEO NA Editorial Staff
