Trump's billionaire ally, Musk, to step down from govt role: reports

WASHINGTON: US President Donald Trump has conveyed to his members of Cabinet and other close contacts that billionaire and ally Elon Musk will soon step down from his government role, Politico reported on Wednesday, citing three people close to Trump.

The tech tycoon was tasked by Trump to lead efforts to cut government funding and dismantle various US agencies as a special employee of the government. 

Politico has reported that both Trump and Musk decided in recent days that the SpaceX CEO will soon return to governing his businesses but the publication failed to provide a specific date. 

Representatives for the White House, the Musk-led task force and Musk did not immediately respond to requests for comment on the report.

Shares of some companies, including government contracting companies, rose following the report. Shares of Musk's Tesla, which were down 2% in early trading after a sharper-than-expected fall in first-quarter deliveries, reversed course and were up 3%.

Trump and Musk have both recently indicated that Musk would move on but have not said when.

Asked if he wanted Musk to stay longer than his 130-day term, Trump told reporters on Monday: "I think he's amazing, but I also think he's got a big company to run. At some point, he's going to be going back. He wants to."

Based on a 130-day term, Musk's time as a special government employee would be set to end as soon as the end of May. He told Fox News last week that he was confident he would finish most of the work to cut $1 trillion in federal spending.