US Election 2024: Trump’s Support for Musk
Brian Hughes praised Musk, calling him “a genius, an innovator,” and noted that Musk “has literally made history by building creative, modern, and efficient systems.” Hughes added that Trump believes Musk could help improve the effectiveness of the federal government.
Tax Cuts Could Favor Musk
If Trump returns to the presidency, Musk might also benefit from tax cuts. Trump has been vocal about maintaining low taxes for corporations and the wealthy. During his first term, he reduced the corporate tax rate from 35% to 21%. Trump has since expressed a desire to extend these tax cuts. A report from the Center on Budget and Policy Priorities highlighted that extending Trump’s tax cuts for another decade could direct 41% of the benefits to high-income households, through rate reductions and special deductions.
Regulatory Relief for Musk’s Companies
Trump’s second term could also mean less regulatory pressure for Musk’s companies, particularly SpaceX. SpaceX, which already secures billions in government contracts, could continue its lucrative deals with the Defense Department and NASA. SpaceX is the only company currently able to transport astronauts to and from the International Space Station, following issues with Boeing’s Starliner spacecraft.
Musk’s companies have faced multiple regulatory challenges under the Biden administration, including disputes over environmental concerns at a SpaceX launch site and issues at Tesla factories. Legal challenges are also ongoing with Musk’s America PAC, including a case regarding $1 million daily prize giveaways.
Potential Regulatory Shift
Legal expert Angela Aneiros from Gonzaga University stated that a second Trump term could significantly alter the regulatory landscape, potentially benefiting Musk’s business ventures. Federal agencies could shift focus away from investigating regulatory compliance and turn attention to other matters, such as immigration enforcement.