Trump vs Musk: How the ‘online fight' between US President and Tesla CEO may become a ‘problem' for SpaceX
The ripple effects of
Elon Musk
's "online fight" with President Donald Trump are becoming clear, as the White House has reportedly ordered the
Department of Defense
and
NASA
to review billions of dollars in existing
SpaceX
contracts. Initiated earlier this month, this scrutiny signals the administration's intent to potentially terminate business and subsidies for Musk's companies.
Citing Four individuals familiar with the order, news agency Reuters claim that the directive aims to gather details for potential retaliation against Musk and his various ventures. This comes soon after Trump spoke aboard Air Force One on June 6, "We'll take a look at everything." Pentagon officials are concurrently considering reducing SpaceX's potential role in a new US missile defense system.
What scrutiny of contracts may mean for Elon Musk's SpaceX
The report indicates that SpaceX currently has approximately $22 billion in federal contracts. The report says that the scrutiny is intended to provide the administration with the necessary "political ammunition" should President Trump decide to act against Musk. Until recently, Musk served as a senior advisor to the President and headed the Department of Government Efficiency (DOGE).
A White House spokesperson said that the "
Trump administration
is committed to a rigorous review process for all bids and contracts." Similarly, a NASA spokesperson affirmed the agency's commitment to "continue to work with our industry partners to ensure the president's objectives in space are met."
In recent years, Musk's SpaceX has become a strong partner for the US government in aerospace and defense operations. SpaceX's role in the government includes launching satellites and other space cargo, and potentially managing a key component of the administration's planned "Golden Dome" missile shield.
The government's reliance on SpaceX was underscored by Musk's recent, though later walked-back, threat to decommission the company's
Dragon spacecraft
. The Dragon, under a roughly $5 billion NASA contract, currently remains the sole US vessel capable of transporting astronauts to and from the International Space Station.
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