ALBAWABA - Elon Musk now finds himself in a position of influence that most CEOs only fantasize about following Donald Trump’s reelection. Musk not only provided financial and verbal support for Trump’s campaign, but Trump also assured him of a special advising position in his administration that would be centered on reducing government expenditures.
Musk may now have unheard-of influence over federal laws, particularly those that directly affect his commercial interests at SpaceX, Tesla, and X (previously Twitter).
Trump openly declared his plan to name Musk his unofficial "Secretary of Cost Cutting" and referred to Musk as a “super genius.” This position is more than simply symbolic for Musk as it may allow him to directly interact with legislators and simplify laws, according to Bloomberg.
Musk has always been an opponent of government red tape, particularly with regard to the strict rules that SpaceX and Tesla must abide by. He may now be able to work toward some of the regulatory improvements he has been seeking in this post, such as quicker clearances for autonomous cars or space ventures.
Musk wasn’t only a silent Trump backer, however. He was in the spotlight, using his America PAC to donate over $130 million to Trump’s campaign and other important Republican contests.
The tech conglomerate has organized town hall rallies and even made appearances at Trump rallies, often with even more prominence than Trump’s own running partner, in critical states like Pennsylvania, demonstrating his influence.
This political effort seems to have been successful considering Trump’s recent position turnaround on electric cars, which he had previously attacked, may be a gesture to Musk and might benefit Tesla in the years to come, Bloomberg reports.
The market reacted quickly. Following Trump’s victory, Tesla’s shares increased by 15% as investors were more hopeful that Musk’s influence in Washington would work in the company’s favor.
By reducing competition from Chinese electric car heavyweights like BYD and NIO in the U.S., Trump’s efforts to restrict Chinese imports may also benefit Tesla. This safeguard would improve Tesla’s standing in the market and increase Musk’s already substantial wealth, which Forbes recently estimated to be $284 billion.
However, Musk’s political activity has not been well received by many. His impact, according to some critics, goes too far and calls into question the place of fortune in elections, advocating for amendments to election legislation that may limit the influence of wealthy individuals.
