According to the SpaceX founder, it would be beneficial for both Europe and the United States to transition towards a zero tariff scenario. This move would essentially establish a free trade zone between Europe and North America.
On a previous occasion, Trump distanced himself even more from the tariffs proposal when he criticized a top trade advisor in a remarkable public outburst on X.
Musk expressed his disagreement shortly after announcing his decision to step down from the recently formed Department of Government Efficiency (DOGE).
The Trump administration attempted to downplay his resignation, stating that it was always agreed he would leave.
However the timing of Musk’s resignation and his trade policy advocacy has raised eyebrows as some speculate that his departure from DOGE could be linked to policy disagreements.
Musk personally lost billions in the market’s reaction to the tariffs, with the US stock market experiencing its worst trading week in five years.
He made his feelings known on Saturday by going after White House advisor Peter Navarro after he insisted that the tariffs would eventually pay off during an appearance on CNN.
The world’s richest man took to his X social media platform to respond to a post that noted Navarro has a PhD in economics from Harvard.
‘A PhD in Econ from Harvard is a bad thing, not a good thing. Results in the ego/brains>>1 problem,’ Musk wrote.
After a user responded to say that Navarro was ‘correct’, Musk remarked: ‘He ain’t built s***.’
Navarro told CNN’s Phil Mattingly: ‘Here’s the analytical issue, we’re trying to do under the principle that the president wants to charge those countries what they charge us.
‘As you pointed out, Vietnam has an applied tariff rate that’s much larger than ours, but doesn’t come near the tariff we charge them, so the question is how do you value the following, Phil?
‘So let me count the ways. You’ve got to value currency manipulation, you’ve got to value the VAT tax distortions, dumping, export subsidies, technical barriers of trade, agricultural barriers to trade, quotas, bans, counterfeiting, intellectual property theft, and all of that.
‘So, here’s the punchline. If you look at the trade deficit… should the U.S. have chronic and sustained deficits? They should not.’
But Musk remained unconvinced and continued his attacks on Navarro late into the evening, including responding ‘yup’ at 2am to a meme reading: ‘In every disaster throughout American history, there always seems to be a man from Harvard in the middle of it.’
Social media was left divided by Musk’s break from Trump, with some questioning if it was a sign the billionaire was falling out with the president.
‘I’m confused… aren’t you guys on the same team?’ one X user responded.
‘Who are you trying to please by publicly dissing Navarro? China? You can’t tell him privately? I thought you are part of the team,’ another added.
It comes as demonstrators gathered at the National Mall in Washington DC to protest against Musk and the cuts he made while at DOGE.
The protests forced First Lady Melania Trump to postpone the White House spring garden tours, because they would clash with the demonstrations.
Trump said as he announced his tariffs this week that nations around the world will be hit with at least a 10 percent tariff on their imports with some reaching up to a whopping 50 percent.
The tariffs are being levied based on ‘barriers to entry.’ That means the European Union will be hit with 20 percent tariffs because it charges a 39 percent tariff on America.
The U.K., on the other hand, got off relatively easy. Since it only charges the U.S. a 10 percent tariff, it will pay 10 percent in return.
China will pay a 34 percent tariff, with the White House calculating that the U.S. pays 67 percent when currency manipulation is factored in.
‘My fellow Americans, this is liberation day, we’ve been waiting for a long time,’ Trump proclaimed. ‘In a few moments, I will sign a historic executive order instituting reciprocal tariffs on countries throughout the world.’
As Trump spoke the stock market tanked – with Dow futures dropping more than 250 points, the S&P 500 falling 100 points and Nasdaq futures dripping more than 400 points.
