Tesla and SpaceX CEO Elon Musk suffered a staggering $34 billion loss in net worth on Thursday, following a fiery exchange with US President Donald Trump.
According to the Bloomberg Billionaires Index, the plunge ranks among the largest single-day personal losses ever recorded.
The dispute began after Musk publicly criticized Trump’s latest spending initiative—dubbed the “Big Beautiful Bill”—and warned that the administration’s new tariffs could push the US into a recession later this year. Musk’s remarks triggered a swift and personal response from Trump.
In retaliation, the President accused Musk of being “bitter” over the removal of electric vehicle tax credits—vital incentives for Tesla’s customer base. Trump also rescinded the nomination of Jared Isaacman, a known Musk ally, to lead NASA, and threatened to cut government contracts with Musk’s companies, including SpaceX, which has several high-value federal deals.
Unfazed, Musk fired back on social media with the statement: “Go ahead, make my day.” He followed this with a bold move, announcing plans to decommission SpaceX’s Dragon spacecraft.
White House Press Secretary Karoline Leavitt weighed in, calling Musk’s reaction “unfortunate” and stressing the President’s commitment to pushing forward with his legislative agenda.
Tesla stock plummeted by over 14 percent in the wake of the controversy, wiping out approximately $138 billion in market value. Musk, who holds a substantial share of Tesla, personally bore a $34 billion hit.
This latest incident underscores Musk’s history of triggering market volatility through his online activity. In November 2021, a Twitter poll he conducted led to a weeklong slump in Tesla shares and a $50 billion decline in his net worth.
What you should know
Elon Musk’s financial fortunes remain tightly bound to his public persona and market-sensitive behavior. His recent clash with President Trump not only cost him billions but also exposed the fragility of his government-linked ventures, especially at a time of increasing political and economic tension.
