Elon Musk is escalating a political showdown by threatening to unseat Republican lawmakers supporting Trump’s massive tax-and-spending bill, and to launch a new “America Party” if it passes.
At a Glance
- Musk denounced the Senate’s $3.3 trillion-plus tax-and-spending package and called it “a disgusting abomination.”
- He promised to target and “fire” any lawmaker who campaigned on spending cuts but then backed the legislation.
- Musk warned that if the bill becomes law, the “America Party” will form “the next day” to challenge the GOP.
- He pledged support to Rep. Thomas Massie, a holdout against Trump’s package, signaling a direct challenge within the party.
- Trump allies have responded by forming a counter‑PAC aimed at Musk‑backed candidates.
Republican Rifts and Spending Showdown
The U.S. Senate narrowly passed Trump’s “Big, Beautiful Bill” this week, increasing the national debt by over $3 trillion while slashing Medicaid and rolling back EV subsidies—measures Musk has publicly opposed. On July 3, he unleashed a social media firestorm, branding the bill a “disgusting abomination” and warning that lawmakers who broke deficit‑cutting promises would be voted out in November 2026, as reported by the Associated Press.
He doubled down after the Senate vote: “If this insane spending bill passes, the America Party will be formed the next day,” according to the Washington Post.
Behind the scenes, Musk’s allies are mobilizing dollars and digital firepower. His America PAC—originally a megadonor for Trump’s 2024 run—is now shifting funds to pro‑fiscal‑discipline challengers. TIME confirms the group’s pivot from kingmaker to king-breaker.
Meanwhile, a Trump-aligned counterstrike is already underway: James Fishback’s FSD PAC is targeting Musk-backed candidates with millions in negative ads and primary threats.
Read more about Musk’s third‑party threat to Republicans.
What Happens Next?
Musk’s broadside is already reverberating through Washington. Two Republican lawmakers—Senators Thom Tillis and Don Bacon—have abruptly announced they will not seek reelection, citing pressure from both Trump loyalists and Musk’s looming insurgency, as confirmed by multiple sources.
The Tesla CEO has also thrown his weight behind Kentucky Rep. Thomas Massie, calling him “a rare voice of sanity” for opposing the bill. Their alliance now threatens to turn Massie’s 2026 race into the first billion-dollar proxy war within the Republican Party.
Still, experts warn that Musk’s third-party ambitions may stumble—his political ventures have a rocky history. His failed effort to flip Wisconsin’s Supreme Court last year, despite outspending opponents 8-to-1, serves as a cautionary tale.
Yet Musk’s firebrand messaging—railing against “debt slavery,” “fake fiscal conservatives,” and “GOP frauds”—has already reshaped Republican discourse. Observers note that even some Democrats are expressing support for his criticism of the bill’s reckless scale.
Whether the “America Party” emerges as a lasting force or a headline-grabbing bluff, one thing is clear: Musk’s ideological insurgency is destabilizing the Republican base—and 2026 may be the most chaotic midterm cycle in decades.
