Trump Says Musk’s New Party Will Help Republicans

In a surprising twist in the ongoing saga between President Donald Trump and billionaire Elon Musk, Trump expressed an unexpected optimism about Musk’s newly announced third political party, the “America Party.” Speaking to reporters before a cabinet meeting on July 8, 2025, Trump commented, “Elon Musk's party will hep us. Third parties are always good for me.” The statement comes amid a highly publicized feud between the two former allies, raising questions about the future of American politics and the Republican Party’s strategy heading into the 2026 midterm elections.

Here Is What You Need To Know

The rift between Trump and Musk, once close allies, began over disagreements about Trump’s sweeping domestic policy bill, dubbed the “One Big Beautiful Bill Act.” Signed into law on July 4, 2025, the legislation extended tax cuts, increased spending on border security and defense, and eliminated tax credits for electric vehicles, a move that, according to Trump, directly impacted Musk’s company, Tesla. Musk, who previously led the Department of Government Efficiency (DOGE) to slash federal spending, called the bill a “disgusting abomination” that would “bankrupt America” by adding an estimated $5 trillion to the federal deficit.

Frustrated with what he sees as fiscal irresponsibility, Musk announced the formation of the America Party on July 5, 2025, via his social media platform, X. 

He stated, “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’s party aims to focus on fiscal conservatism and plans to target a small number of congressional races in 2026, specifically “2 or 3 Senate seats and 8 to 10 House districts,” to influence key votes.