Elon Musk Loses $15.3 Billion Amid Bold Move to Launch His Own Political Party

Ohana Magazine – Elon Musk fortune has shrunk by $15.3 billion after he revealed plans to launch a new political party. This bold move spooked investors and rattled financial markets, sparking concern about Musk’s focus and Tesla’s future.

Investors React as Elon Musk Launches “America Party”

On July 5, Musk announced his new political platform called the “America Party.” Just two days later, Tesla’s stock plummeted by 6.8%, closing at $293.94. The drop wiped out over $79 billion from Tesla’s market value. Musk’s wealth is heavily tied to Tesla shares. With the stock losing value, his net worth fell to $346 billion—down from $361 billion the day before. The Bloomberg Billionaires Index confirmed this massive shift.

Concerns Rise Over Musk’s Commitment

Investor confidence in Musk’s leadership continues to fade. Back in May, Tesla shareholders asked him to commit at least 40 hours a week to the company. His recent political shift reignites fears that he may be spreading himself too thin. Tensions are also brewing between Elon Musk and President Donald Trump. Although Musk supported Trump in 2024 and held a key advisory role, the two now clash over fiscal policies. Musk criticized the “One Big Beautiful Bill,” saying it increases U.S. debt and cuts green energy incentives.

Trump Responds, Dismisses Musk’s Political Effort

Trump didn’t hold back. On Truth Social, he called Musk’s America Party “a joke” and said the tech mogul had gone “off the rails.” The remark deepens their ongoing rift and adds more drama to the political landscape. History suggests third-party runs rarely succeed in the U.S. Elections have long been dominated by Republicans and Democrats. Previous efforts by the Libertarian and Green Parties failed to make an impact.

Experts Warn of Business Risks

Political analysts and investors are raising red flags. Scott Lucas from Dublin University said Tesla is facing a “perfect storm” of tariff issues, slashed EV subsidies, and leadership instability. Ivana Delevska, founder of Spear Invest, voiced her concerns too. She said the risks now outweigh the rewards and confirmed she recently sold her Tesla shares. Jed Dorsheimer, an analyst at William Blair, added that investor patience is wearing thin. He noted that Tesla needs Musk’s full attention, especially during volatile market conditions.