{"id":2466359,"date":"2025-07-24T17:03:59","date_gmt":"2025-07-24T21:03:59","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/trump-backtracks-on-pulling-musks-government-subsidies-contradicting-leavitt\/"},"modified":"2025-07-24T17:05:44","modified_gmt":"2025-07-24T21:05:44","slug":"trump-backtracks-on-pulling-musks-government-subsidies-contradicting-leavitt","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/trump-backtracks-on-pulling-musks-government-subsidies-contradicting-leavitt\/","title":{"rendered":"Trump backtracks on pulling Musk\u2019s government subsidies, contradicting Leavitt"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ftrump-backtracks-on-pulling-musks-government-subsidies-contradicting-leavitt%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2466359&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The article reports that former President Donald trump has reversed his earlier threats to withdraw government subsidies from Elon Musk&#8217;s companies. Despite previous indications from Trump&#8217;s White House press secretary that contracts with Musk&#8217;s businesses, including his AI company xAI, might be discontinued, Trump clarified on Truth Social that he wants Musk&#8217;s companies to thrive, emphasizing their success benefits the U.S. Musk&#8217;s companies continue to receive meaningful government contracts, such as a recent multimillion-dollar Pentagon deal for his AI company. The feud between Trump and Musk, which had escalated in <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/no-spike-in-florida-coronavirus-cases-despite-no-mask-mandate\/\" title=\"No Spike in Florida Coronavirus Cases Despite No Mask Mandate\">recent weeks<\/a> with Trump even threatening deportation and criticizing Musk&#8217;s subsidies, seems to have softened. Musk has faced criticism for profiting extensively from government contracts during his role as a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/top-biden-coronavirus-adviser-announces-last-day-in-job\/\" title=\"Top Biden Coronavirus Adviser Announces Last Day in Job\">special government employee<\/a>, but Trump&#8217;s <a href=\"https:\/\/amzn.to\/3YuVZYV\" >latest statements suggest<\/a> a possible easing of tensions.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Trump backtracks on pulling Musk&rsquo;s government subsidies, contradicting Leavitt<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_2181087\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>President <a href=\"http:\/\/washingtonexaminer.com\/tag\/donald-trump\" target=\"_blank\" rel=\"noopener\" title=\"Donald Trump\">Donald Trump<\/a> on Thursday said the U.S. will not be pulling its subsidies of <a href=\"http:\/\/washingtonexaminer.com\/tag\/elon-musk\" target=\"_blank\" rel=\"noopener\" title=\"Elon Musk's\">Elon Musk&rsquo;s<\/a> companies, despite earlier <a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/3459166\/trump-threatens-deport-musk-gop-big-beautiful-bill\/\" target=\"_blank\" rel=\"noopener\" title=\"threats\">threats<\/a> to do so and White House press secretary Karoline Leavitt&rsquo;s Wednesday indication that the U.S. would not pursue contracts with his businesses.<\/p>\n<p>Trump and Musk&rsquo;s feud exploded last month after simmering criticism escalated into the president threatening to take away Musk&rsquo;s government contracts, triggering a back-and-forth that effectively ended their relationship. On Thursday, Trump said that he would not take them away.<\/p>\n<div class=\"recommended-stories\">\n<h2>Recommended Stories<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/3481078\/watch-live-trump-signs-executive-orders\/\">WATCH LIVE: Trump signs executive orders<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/3481180\/watch-live-trump-fed-tour-amid-jerome-powell-scrutiny\/\">WATCH LIVE: Trump tours the Federal Reserve amid Powell scrutiny<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/3480999\/trump-fed-tour-who-is-joining-visit\/\">Trump Fed tour: Here&#8217;s who is joining the visit<\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"article-paywall\">\n<p>&ldquo;Everyone is stating that I will destroy Elon&rsquo;s companies by taking away some, if not all, of the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/this-is-not-so-trump-gives-big-elon-update-that-proves-presidents-critics-wrong\/\" title=\"&#039;This Is Not So&#039;: Trump Gives Big Elon Update That Proves ...&#039;s Critics Wrong\">large scale subsidies<\/a> he receives from the U.S. Government. This is not so! I want Elon, and all businesses within our Country, to THRIVE, in fact, THRIVE like never before!&rdquo; Trump said in a <a href=\"https:\/\/truthsocial.com\/@realDonaldTrump\/posts\/114908467282299011\" target=\"_blank\" rel=\"noopener\" title=\"post\">post<\/a> on Truth Social.<\/p>\n<p>He reasoned that success for Musk&rsquo;s companies would extend into prosperity for the U.S., so he wants to &ldquo;keep it that way!&rdquo;<\/p>\n<p>His announcement came just one day after Leavitt indicated that the U.S. would not pursue contracts with Musk&rsquo;s AI company.<\/p>\n<p>&ldquo;I don&rsquo;t think so, no,&rdquo; Leavitt responded when asked if Trump would support the move.<\/p>\n<p>She was then asked if that meant the U.S. would withdraw its recently negotiated contract with xAI, to which she responded that she&rsquo;d discuss the matter with the president.<\/p>\n<p>Despite the fallout from their feud, Musk has continued to receive lucrative government contracts. Earlier this month, his xAI was <a href=\"https:\/\/www.washingtonexaminer.com\/policy\/defense\/3470790\/grok-pentagon-use-x-ai-elon-musk\/\" target=\"_blank\" rel=\"noopener\" title=\"awarded\">awarded<\/a> a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/watch-colin-kaepernick-compares-nfl-combine-to-slave-auction-in-netflix-series\/\" title=\"WATCH: Colin Kaepernick Compares NFL Combine to Slave Auction in Netflix Series\">multimillion-dollar contract<\/a> with the Pentagon to &ldquo;leverage the technology and talent of U.S. frontier AI companies to develop agentic AI workflows across a variety of mission areas.&rdquo;<\/p>\n<p>Musk&rsquo;s company SpaceX <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2025-07-22\/spacex-warns-investors-elon-musk-could-return-to-us-politics\" target=\"_blank\" rel=\"noopener\" title=\"\">informed<\/a> investors this week that the billionaire &ldquo;may in the future serve in similar roles and devote significant time and energy&rdquo; to efforts similar to his stint as leader of the Department of Government Efficiency.<\/p>\n<p>Though Musk&rsquo;s businesses haven&rsquo;t suffered directly for earning the ire of Trump, tensions between the two reached their zenith earlier this month. On July 1, the president threatened to deport Musk and use DOGE on his companies.<\/p>\n<p>&ldquo;I don&rsquo;t know. We&rsquo;ll have to take a look. We might have to put DOGE on Elon,&rdquo; Trump told reporters. &ldquo;You know what DOGE is? DOGE is the monster that might have to go back and eat Elon.&rdquo;<\/p>\n<p>&ldquo;Wouldn&rsquo;t that be terrible? He gets a lot of subsidies,&rdquo; he continued.<\/p>\n<p><strong><a href=\"https:\/\/www.washingtonexaminer.com\/policy\/defense\/3470790\/grok-pentagon-use-x-ai-elon-musk\/\" target=\"_blank\" rel=\"noopener\" title=\"PENTAGON ANNOUNCES IT WILL BEGIN USING GROK, X&rsquo;S AI\">PENTAGON ANNOUNCES IT WILL BEGIN USING GROK, X&rsquo;S AI<\/a><\/strong><\/p>\n<p>Trump&rsquo;s retreat in rhetoric could signal a new detente between the two. Musk&rsquo;s threats to create a new third party have largely evaporated following dismal polling.<\/p>\n<p>Musk has faced <a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/3430227\/elizabeth-warren-report-elon-musk-profited-trump-administration\/\" target=\"_blank\" rel=\"noopener\" title=\"criticism\">criticism<\/a> for his companies&rsquo; use of government contracts while he was a special government employee. One report estimated that Musk made over $100 billion while in his position.<\/p>\n<\/div>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_2181087\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"2181087\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Trump reverses stance on Musk subsidies, contradicts Leavitt<\/p>\n","protected":false},"author":2653,"featured_media":2466360,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/01\/Elon-Musk-Donald-Trump.webp","fifu_image_alt":"","footnotes":""},"categories":[33651],"tags":[4435,59839,50576,4250,3634],"class_list":["post-2466359","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-western-journal","tag-backtracks","tag-government-subsidies","tag-leavitt-2","tag-musk","tag-trump"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/01\/Elon-Musk-Donald-Trump.webp","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2466359","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2653"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2466359"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2466359\/revisions"}],"predecessor-version":[{"id":2466363,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2466359\/revisions\/2466363"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2466360"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2466359"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2466359"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2466359"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}