7 hours ago
Last Updated:May 21, 2025, 10:14 IST
Elon Musk will reduce political contributions after supporting Trump led to Tesla boycotts and sales decline. He will focus on leading Tesla and cost-cutting efforts.
US President Donald Trump with Elon Musk | File Image/AP
Elon Musk, who reportedly spent nearly USD 300 million last year to support Donald Trump’s return to the White House, has announced a substantial cut in his political contributions. The shift comes as his public alignment with Trump has sparked boycott calls against Tesla in both the U.S. and Europe, contributing to a dip in the automaker’s sales and investor unease.
Amid growing pressure, Musk reaffirmed his commitment to lead Tesla for another five years. He also confirmed that, following his endorsement of Trump, he had been asked to spearhead cost-cutting efforts across the federal bureaucracy.
“In terms of political spending, I’m going to do a lot less in the future," Musk said at an economic forum in Qatar. “I think I’ve done enough."
Musk’s political retreat could deal a blow to Trump and the Republican Party, for whom he has been a major donor. However, it could benefit his businesses—most notably Tesla and SpaceX—by distancing them from mounting political controversies that have weighed on consumer sentiment and stock performance.
Despite scaling back, Musk left the door open for future political involvement: “If I see a reason to do political spending in the future, I will do it."
Musk, who also heads companies like SpaceX, has spent a considerable portion of this year working on the White House’s Department of Government Efficiency (DOGE) initiatives — a commitment that has raised concerns among investors worried he’s not giving Tesla enough attention. These concerns have intensified following a 13% plunge in Tesla’s deliveries during the first quarter, marking the steepest decline in the company’s history.
To reassure investors, Musk said last month that starting in May, he would scale back his involvement with DOGE to just one or two days a week.
A White House source, cited by Reuters, downplayed Musk’s decision to scale back political spending, emphasising that he remains fully aligned with Trump and the Republican Party.
According to the source, Musk will continue to offer support through various channels — including advisory roles, financial contributions, and informal influence within key donor networks.
The source added that Musk’s reduced public visibility is seen as a strategic move in response to escalating political criticism, and noted that the president supports Musk’s decision to reassess how prominently he wants to appear as a backer.
Another individual familiar with Musk’s thinking said the move does not signal a full retreat from politics but is partly motivated by his desire to stabilize and refocus his business interests.
(With inputs from Reuters)
Location :Doha, Qatar
First Published:News world 'I’ve Done Enough…': Elon Musk To Cut Political Funding As His Support For Trump Hits Tesla
