The Washington Post reported that Elon Musk made direct personal appeals to President Donald Trump, urging him to reconsider the new wave of sweeping tariffs.
As tensions escalated over the planned 50% tariff on Chinese imports, Musk publicly voiced his opposition on social media while also seeking to influence the president directly.
Two people familiar with the moves confirmed that Musk's efforts were not fruitful. Trump has stuck to his plan despite showing some openness to negotiations, following his announcement last week of a 34% tariff.
As the new round of tariffs takes effect, many of Musk's allies in the tech and business sectors are quick to express their concerns. Some have made direct appeals to Trump administration officials, including Vice President J.D. Vance.
According to the Washington Post, a group of business leaders sought to form an informal coalition aimed at pressuring the administration to adopt more moderate trade policies. They hoped that Trump would heed Treasury Secretary Scott Besant's advice and soften his stance.
But the appointment of Commerce Secretary Howard Lutnick, previously considered a Musk ally, changed the trajectory of expectations. Lutnick has become an influential voice supporting economic protectionism, making it difficult for internal coalitions to alter the administration's position.
By Monday evening, Musk appeared to be trying to defuse the situation, sharing a post from the official US Trade Representative's account defending the tariffs, citing unfair trade practices. Musk simply commented, "Good points."
Musk runs Tesla and has investments around the world. He has always been wary of protectionist policies, as Tesla's manufacturing and marketing are carried out in both China and the United States, making such policies a direct threat to the company's profits.
Musk is said to be leaving his official advisory role within Trump's inner circle in the coming weeks, but the ramifications of this high-profile dispute could extend beyond his departure from an official position.
The dispute between Musk and Trump over tariffs is not just a trade dispute; it also reflects broader rifts within the uneasy alliance between Silicon Valley elites and the political forces that previously helped them rise to power.
For Musk, the world's richest man, the cost of protectionist policies could go beyond balance sheet numbers. They are now tied to politics, public image, and influence in an election year that could reshape the global economy once again.