Elon Musk warns Donald Trump's rates could cause the recession by late 2025 | Today news

Tesla CEO Elon Musk has issued a strong warning that US President Donald Trump’s proposed aggressive rates could push the country into a recession by late 2025. In a post on X, Musk said: ‘The Trump tariffs will cause a recession,’ which has a dramatic shift from his earlier support for Trump. The hostilities began when Trump criticized Tesla CEO, Musk in the Oval Office. Within hours, the once close relationship has disintegrated into full public view, as the world’s most powerful man and his richest personal streaks have launched on each other on Trump’s truth and Musk’s X. “The easiest way to save money in our budget, billions of rands and billions is to terminate Elon’s government subsidies and contracts,” Trump said Musk’s opposition to the bill is rooted in a provision that will scale the tax credits of electric vehicles that benefit Tesla. “Elon was” thin “, I asked him to leave, I took away his EV mandate that forced everyone to buy electric cars that no one else wanted (which he knew for months that I was going to do!), And he just went crazy!” ‘Posted Trump. Musk has the idea of ​​creating a new political party, “representing the 80% in the middle.” Musk denied the motivation in a post on X, saying that he was doing well with reducing the EV credits as lawmakers ‘the mountain of disgusting pork in the bill’ ditch. ” Big Beautiful Bill ‘After leaving the government, Musk extensively criticized that Trump’s proposed Republican legislative package – which Trump called his’ one big beautiful bill’, said extensively. Musk argued that the plan would exacerbate the US budget deficit and significantly damage the electric vehicle industry. The Trump tariffs will cause a recession. One important provision in the bill would scheduled the federal tax credit of up to $ 7,500 for buyers of certain EVs, including Tesla models, by the end of 2025 – seven years earlier than. Analysts at JPMorgan estimate that this move could cut Tesla’s annual profit by $ 1.2 billion. (With inputs of AP)