Early on Sunday morning India time, he posted on X, “By a factor of 2 to 1, you want a new political party and you shall have it! 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.”
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Musk’s dramatic breach with Donald Trump, whom he helped get elected as the US President, came over the One Big Beautiful Bill Act. What exactly is Musk’s problem with Trump’s flagship legislation, and how soon can his political party take off? We explain, in 3 points.
What is the Big Beautiful Bill and why does Musk oppose it?
The One Big Beautiful Bill basically covers many of Trump’s campaign promises in one big legislation. While you can read a detailed explainer on the Bill here, briefly, it announces tax cuts on the one hand, and promises to spend a lot more on border security, defence, and deporting illegal immigrants on the other.
To compensate for loss of income from the tax cuts and the increased spending, it cuts back some welfare measures and subsidies. It also raises the debt ceiling, which is the amount the US government is allowed to borrow.
Musk’s problems seem to be about this increased debt ceiling, which he says is financially irresponsible, and with the cutting of subsidies to certain sectors such as green energy, which will directly impact his electric car business Tesla.
“The latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country,” Musk posted on X recently. “It gives handouts to industries of the past while severely damaging industries of the future,” he added, in what is apparently a reference to the Bill not giving much support to environment-friendly technologies like electric vehicles.
On a different occasion, asked on X why he stopped supporting Trump, Musk had said, “Increasing the deficit from an already insane $2T under Biden to $2.5T. This will bankrupt the country.”
What do we know about the America Party so far?
Apart from its name, not much. Musk has been saying that the US two-party system is essentially a ‘uniparty’, with similar financial policies that don’t represent “the 80% in the middle”, but hasn’t explained how his party intends to do that, or what its ideology or vision is.
On Sunday morning, he reposted an X a comment from another user, which said, “Is this the America Party platform? -reduce debt, responsible spending only; -modernize military with ai/robotics; -pro tech, accelerate to win in ai; -less regulation across board but especially in energy; -free speech ; -pro natalist; -centrist policies everywhere else.”
Musk has gone from being a Democrat supporter to Trump’s biggest backer to now founder of a new party, so his own political views are difficult to pin down. But he has spoken about the need for Americans to have more children, and for the government to not interfere too much in how industries grow.
How soon can the America Party be an actual contender in elections?
Musk’s plans are ambitious. When a user on X asked if he plans to start competing in the 2028 Presidential elections or the midterm elections next year, he said “next year”.
About his battle plans, he has said, on different occasions, “The way we’re going to crack the uniparty system is by using a variant of how Epaminondas shattered the myth of Spartan invincibility at Leuctra: Extremely concentrated force at a precise location on the battlefield”; and “One way to execute on this would be to laser-focus on just 2 or 3 Senate seats and 8 to 10 House districts. Given the razor-thin legislative margins, that would be enough to serve as the deciding vote on contentious laws, ensuring that they serve the true will of the people.”
Epaminondas was a Greek general who defeated the superior Spartan army through two innovative tactics. The Spartan Army’s elite unit would stand on the right flank of its battle formation. Epaminondas went with an asymmetrical military formation, packing all his best warriors on the left side, and making those columns of soldiers deeper than usual. On the right side, he kept his weaker troops, but at an angle, so that they did not meet the Spartans first. Thus, his left wing’s concentrated might smashed through the Spartans, defeating them before they could understand what was happening.
Musk seems to be saying that his party’s candidates will strategically fight from the constituencies that promise the best returns, and win just enough seats to hold up Bills they oppose.
Although Musk’s enormous wealth makes a lot of things possible, all of this is easier said than done.
America’s political structure favours the two-party system and it is difficult for newcomers to break through. Many, like the Green Party, the Libertarian Party, etc., have tried.
To fight the national-level elections, a new party has to register with the Federal Election Commission, only after which it can spend money above a certain limit on election activities. Musk’s party is yet to register.
Also, states have their own rules, and for a party’s presidential candidate to appear on the ballot in all 50 states, it must meet the requirements of each state individually. All of this requires grassroot presence and patience. Whatever Musk’s personal appeal — and wealth — creating a party organisation of this magnitude is not easy.
Also, Musk was born in South Africa, so he can’t run for President. The billionaire will not only have to create a party, but also a Presidential candidate of sufficient stature, before his wealth can bankroll that candidate’s campaign.