Why Musk sees Trump as America’s business fixer

Elon Musk, the high-profile CEO of Tesla and SpaceX, has emerged as a vocal supporter of Republican presidential nominee Donald Trump, earning praise from the former president. “He is a once-in-a-generation industry leader, and our broken federal bureaucracy could certainly benefit from his ideas and efficiency,” Trump told Newsweek.

Musk’s political leanings, however, have not always aligned with the GOP. Previously a Democrat and an outspoken supporter of Barack Obama and Hillary Clinton, Musk endorsed Trump as his 2024 candidate on July 13, fueling his campaign with millions through his pro-Trump group, America PAC. His contributions to Democrats as recently as 2016, and a 2020 vote for Biden, underscore the shift.

Musk’s alignment with Trump appears rooted in mutual priorities, notably deregulation. In frequent posts on X (formerly Twitter), Musk argues that overregulation stifles innovation, especially in space exploration, a central aim of SpaceX. “Voting for Trump is voting for Mars!” he wrote, referencing his vision for a “multiplanetary civilization.” Musk even proposed a Department of Government Efficiency, or DOGE, to streamline federal regulations, which could directly benefit SpaceX and Tesla.

In addition to regulatory flexibility, Musk’s support for Trump could yield tax advantages. Trump hinted at a new role for Musk as “secretary of cost-cutting,” which could provide him access to an obscure tax provision allowing indefinite deferrals on capital gains—potentially worth billions if he joins a future administration.

Their political alignment extends beyond economics. Trump and Musk share similar stances on cultural issues, including restrictions on gender-affirming care for minors. Musk, whose daughter, Vivian Jenna Wilson, has been openly critical of his views on gender identity, has used X to voice opposition to what he calls the “woke mind virus.”

Both Trump and Musk have also championed free speech. After purchasing Twitter in 2022, Musk removed many content moderation safeguards, which critics argue has led to an uptick in hate speech. His America PAC now targets swing-state voters, promoting a petition pledging allegiance to the First and Second Amendments. This dovetails with Trump’s criticism of “censorship” by media and social platforms, a complaint that fueled his 2020 executive order aimed at limiting social media protections.

As Musk bankrolls America PAC’s $1 million daily sweepstakes for petition signers, his motivations remain complex. Experts suggest a blend of self-interest, ideological alignment, and a flair for contrarianism. Dr. Thomas Gift of University College London told Newsweek, “Musk’s belief in free speech, stricter border controls, deregulation, and less progressive stances on trans issues all play a role. But his support for Trump may simply boil down to ‘because he can.’ Musk revels in being a contrarian, and nothing is more contrarian in elite circles than going full-on MAGA.”

[Information sourced from Newsweek]