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President Donald Trump hosts an expanded bilateral meeting and working lunch with King Abdullah II of Jordan and his son, Crown Prince Hussein bin Abdullah, Tuesday, February 11, 2025, in the Cabinet Room of the White House. (Official White House Photo by Daniel Torok)

Tesla’s stock dropped over 7% to $294.88 on Tuesday, losing billions in market value, as tensions flared between CEO Elon Musk and President Trump. Trump’s Truth Social posts threatened to cut federal subsidies for Tesla, claiming they’re essential to its survival.

This followed Musk’s criticism of a Senate bill slashing EV tax credits, which could cost Tesla $1.2 billion annually.

The new feud came just hours after Musk blasted the Senate’s advancement of Trump’s sweeping tax and spending bill, which includes provisions to slash electric vehicle tax credits earlier than expected.

Musk called the bill “insane” and accused supporters of the bill in the Senate of breaking spending cut promises.