Trump signals Musk departure from cost-cutting post is imminent

Elon Musk is preparing to reduce his role in the Trump administration’s efficiency drive, as his leadership of the informal Department of Government Efficiency (DOGE) increasingly collides with the financial and reputational needs of Tesla, AFP reported. 

US President Donald Trump acknowledged Musk’s decision during a cabinet meeting, saying the billionaire would be welcome to remain but was being pulled back toward his core businesses.

Musk’s association with controversial government spending cuts has led to growing brand damage for Tesla, including a surge in calls for consumer boycotts and a series of high-profile vandalism incidents. 

While Musk’s role in DOGE was never formal, his visibility and close ties to Trump made him a central figure in the administration’s cost-reduction campaign.

“The vast majority of the people in this country respect and appreciate you,” Trump said at the meeting, before noting that Musk likely needed “to get back home to his cars.”

Musk confirmed he intends to step back, telling Trump he appreciated the support but needed to focus on Tesla. “They did like to burn my cars, which is not great,” he said, referencing recent protests.

David Sacks, a senior DOGE figure and longtime Musk ally, said the billionaire would retain a supervisory role but delegate operational duties—mirroring the strategy he used at Twitter after its acquisition in 2022.

The change marks a significant shift in how the Trump administration’s cost-cutting agenda is perceived, with Musk’s departure likely to remove one of its most high-profile advocates. 

It also comes at a time when Tesla is contending with internal challenges, declining market share, and increased scrutiny from investors over Musk’s divided attention.

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in the Trump administration’s efficiency drive, as his leadership of the informal Department of Government Efficiency (DOGE) increasingly collides with the financial and reputational needs of Tesla. 

US President Donald Trump acknowledged Musk’s decision during a cabinet meeting, saying the billionaire would be welcome to remain but was clearly being pulled back toward his core businesses.

Musk’s association with controversial government spending cuts has led to growing brand damage for Tesla, including a surge in calls for consumer boycotts and a series of high-profile vandalism incidents. 

While Musk’s role in DOGE was never formal, his visibility and close ties to Trump made him a central figure in the administration’s cost-reduction campaign.

“The vast majority of the people in this country really respect and appreciate you,” Trump said at the meeting, before noting that Musk likely needed “to get back home to his cars.”

Musk confirmed he intends to step back, telling Trump he appreciated the support but needed to focus on Tesla. “They did like to burn my cars, which is not great,” he said, referencing recent protests.

David Sacks, a senior DOGE figure and longtime Musk ally, said the billionaire would retain a supervisory role but delegate operational duties — mirroring the strategy he used at Twitter after its acquisition in 2022.