Musk’s Criticism of the “Big Beautiful” Bill Intensifies — He Again Calls for a New Political Party

TradingKey – As the U.S. Senate moves forward with the so-called “Big Beautiful” bill, opposition within the country is growing stronger. Tesla CEO and former head of the Department of Government Efficiency (DOGE), Elon Musk, has once again criticized the legislation.

U.S. fiscal deficits are expanding rapidly, with national debt rising in a stepwise fashion. Under both Democratic and Republican administrations, the debt burden continues to grow.

 Musk argues that raising the debt ceiling by $5 trillion will set a new record, and neither major party is truly delivering for the American people — in his view, they are effectively the same party.

Musk reiterated his call for the formation of a new political force — one that would be independent from the Democrats and Republicans and willing to speak out on behalf of ordinary citizens.

It's worth noting that this version of the bill is more aggressive than the earlier draft in May:

• It introduces new excise taxes on wind and solar energy projects that use certain imported components.
• It shortens the timeline for clean energy projects to qualify for federal tax credits under the Clean Electricity Tax Credit program, pushing full operation deadlines up to the end of 2027.

These changes have caused hesitation among some conservative Republican lawmakers who worry about the impact on green energy subsidies and trade policy.

Investors are also concerned about Musk’s increasing involvement in politics. Previously, his deep engagement with DOGE and the escalating tension with Trump had already triggered a wave of market anxiety — leading to a sharp drop in Tesla shares.

On July 1st, early in the morning U.S. Eastern Time, Trump responded to Musk’s criticism via social media: Elonmay get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to SouthAfrica.

In response, Musk immediately fired back: he supports cutting all subsidies starting now. At the time of writing, Tesla stock (TSLA) was down 6% in pre-market trading, showing how sensitive investor sentiment remains to Musk’s political activities.