Elon Musk's Shift from Biden to Trump: The Background of a Political Change

The division began with a slight at the electric car summit at the White House – and escalated further.

7/29/2024, 10:33 AM
Eulerpool News Jul 29, 2024, 10:33 AM

The rift between Elon Musk and President Joe Biden began with a clear rejection that quickly escalated.

In early 2021, shortly after Biden's inauguration, the new administration began implementing its campaign promises to promote electric vehicles. At that time, Tesla produced about two-thirds of all electric vehicles on U.S. roads. However, Tesla was also the only major U.S. automaker without unionized factory workers, and some of its labor practices were under scrutiny by federal authorities.

Tesla representatives attempted multiple times to establish contact between Biden and Musk after the President's inauguration, but to no avail. According to insider sources, the Biden administration did not want to anger the powerful United Auto Workers (UAW) union, which urged the White House to keep a distance from Musk.

In August 2021, Biden organized an event to promote electric vehicles and signed an executive order aiming for half of all new cars to be emission-free by 2030. Shortly before the event, White House staff called Tesla and apologized: Musk was not invited.

Instead, executives from General Motors, Ford, and Chrysler parent Stellantis were welcomed, all of which are companies that lag significantly behind Tesla in EV production and employ thousands of UAW members.

We made it clear to the government where we stand," said a former union representative. "We didn't have to issue an ultimatum. They understood.

The situation worsened further when Biden declared in November 2021 while promoting the new infrastructure bill: "In the auto industry, Detroit is leading the world in electric vehicles." He addressed GM CEO Mary Barra and praised her: "You have electrified the entire automotive industry. I mean it. You have led, and that counts.

Here is the translated heading in English:

"Tesla's executives, including Musk, were outraged. In the fourth quarter of 2021, when Biden made these remarks, Tesla delivered more than 115,000 EVs in the U.S., while GM produced only 26.

Musk and his representatives declined to comment.

Musk's Alienation from the Democratic Party Has Far-Reaching Consequences, as the Richest Man in the World Now Supports Trump. According to the Wall Street Journal, Musk plans to donate approximately $45 million per month to the pro-Trump Super PAC America PAC, which he founded together with other prominent tech executives.

Musk has said that he founded the Super-PAC, but that his contributions are "at a much lower level.

Musk's political development partially took place on Twitter, which he now operates under the name X. There, he has railed against what he calls the 'woke mind virus' and criticized Biden's policies in various areas.

According to people close to him, as Musk became wealthier, he increasingly became a target of criticism, especially from the left, which alienated him from the Democratic Party.

He frequently sparred on Twitter with Senator Elizabeth Warren (D., Mass) and Senator Bernie Sanders (I., Vt.) over issues such as a possible wealth tax on billionaires and the regulation of large tech companies.

No one likes to be attacked," said Bradley Tusk, a venture capitalist and former campaign manager for Michael Bloomberg. "If Democratic lawmakers attack someone endlessly, the response will be 'to hell with you.' He is a human being, and when you are used as political fodder, you naturally react in a certain way.

Biden staffers have tried to mend the relationship with Musk. In 2022, after another event where Biden praised GM and Ford for their EV efforts, Musk criticized Biden on Twitter.

Sure, here's the translation of the heading to English:

"Brian Deese, then a senior adviser to Biden, called Rohan Patel, then Vice President of Global Public Policy and Business Development at Tesla, and said the tweet was aggressive and unproductive. Deese requested a conversation with Musk to discuss his concerns.

In a phone call with Deese and Biden's then-chief of staff Ron Klain, Musk complained that Biden was misrepresenting the facts about EVs and not giving Tesla proper recognition. The two men listened and said they would relay his comments to the president.

Ultimately, Musk felt not only excluded by the White House but also persecuted.

Musk and his companies have also been subject to regulatory actions in previous years.

A spokesperson for the FTC said the agency's investigations were not politically motivated, while a representative of the FCC said it made decisions based on facts, not politics.

A spokesperson for the Justice Department declined to comment. Officials from the department said the SpaceX lawsuit is based on an investigation that began during the Trump administration in May 2020.

Despite his complaints about the government, Musk's personal fortune has increased significantly during Biden's term. On the day of Biden's inauguration, his wealth was valued at $184 billion according to Forbes. Today, he is worth $234 billion and ranks as the richest person in the world.

Tesla Benefits from Biden's Inflation Reduction Act, Which Provides Hundreds of Billions of Dollars in Subsidies for Investments in Renewable Energy Projects. SpaceX Has Achieved Several Major Successes During Biden's Term, Including Approximately $4 Billion in NASA Contracts to Develop a Lander for Transporting Astronauts to the Moon and Collaboration with the Federal Aviation Administration to Triple the Number of Launches Approved by the Agency Between 2021 and 2023.

While Trump and Musk are now political allies, their relationship remains complicated. Musk was critical during Trump's presidency and frequently commented that the country was being governed by a 'gerontocracy'.

Trump wrote on Truth Social in 2022 that Musk had tried to lobby him on behalf of his companies during his presidency. "I could have said, 'Get on your knees and beg,' and he would have done it," Trump wrote.

Musk emphasized that the new Super PAC is not intended to be a hyper-partisan organization. While the Republican Party is not without flaws, it now aligns more closely with his views on meritocracy and personal freedom.

In a podcast, Musk recently said that the new Super-PAC is not intended to be a hyper-partisan organization. While the Republican Party is not without flaws, it now aligns more closely with his views on meritocracy and personal freedom.

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