WASHINGTON

Tesla CEO Elon Musk said Thursday that the "real reason" government documents on disgraced financier Jeffrey Epstein have not been fully made public is because President Donald Trump is mentioned in them, the latest in a growing rift between the once close allies.

"Time to drop the really big bomb: @realDonaldTrump is in the Epstein files. That is the real reason they have not been made public. Have a nice day, DJT!" Musk wrote on X. "Mark this post for the future. The truth will come out.”

Musk and Trump have been exchanging increasingly pointed barbs on Thursday after the tech billionaire left the administration and went on to rally opposition to Trump's massive spending and tax bill.

Trump earlier Thursday hinted that he may retaliate against his once-close aide by cutting billions of dollars in government funding for Musk's companies.

"The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts," he said in a social media post. "I was always surprised that Biden didn’t do it!"

'Without me, Trump would have lost the election'

Musk said earlier that Trump would have lost the 2024 US election without his support, and suggested that it may be time for the country to establish a new political party.

"Without me, Trump would have lost the election, Dems would control the House and the Republicans would be 51-49 in the Senate," Musk wrote on X. "Such ingratitude."

Musk posted a poll asking his more than 220 million followers if it is time to form a new political party in the US. While the poll has 23 hours to conclude, nearly 83% of respondents said it is time.

The comments, and the apparent testing of the political waters, mark the latest escalation in the growing feud between the once-close political allies after Musk left the White House where he led Trump's government-slashing effort.

Trump said Thursday that he is "very disappointed" with Musk amid the tech billionaire's campaign against the president's signature spending and tax bill.

The president suggested that Musk's criticism of his "big, beautiful bill" may be rooted in jealousy. "I think he misses the place. I think he got out there and all of a sudden he wasn't in this beautiful Oval Office," he said.

"I'm very disappointed, because Elon knew the inner workings of this bill better than almost anybody sitting here, better than you people. He knew everything about it. He had no problem with it. All of a sudden, he had a problem, and he only developed the problem when he found out that we're going to have to cut the EV mandate," Trump said in the Oval Office as he hosted German Chancellor Friedrich Merz.

Tesla shares drop amid intensifying row

The "EV mandate" refers to a long-standing one-time tax credit of up to $7,500 for those who purchase electric vehicles.

Shares of Tesla were sharply lower in late-day trading, with the auto manufacturer down nearly 16% amid the intensifying row.

Musk quickly responded with a post on X with "whatever," and rebutted Trump's suggestion that he had even seen the bill before he left the White House, calling the claim "false." He acknowledged, however, that some of his opposition stems from the elimination of the electric vehicle tax credit.

"This bill was never shown to me even once and was passed in the dead of night so fast that almost no one in Congress could even read it!" he wrote.

"Keep the EV/solar incentive cuts in the bill, even though no oil & gas subsidies are touched (very unfair!!), but ditch the MOUNTAIN of DISGUSTING PORK in the bill. In the entire history of civilization, there has never been legislation that both big and beautiful. Everyone knows this! Either you get a big and ugly bill or a slim and beautiful bill. Slim and beautiful is the way," he added.

Musk ramped up his crusade Wednesday to convince lawmakers to kill Trump's "big, beautiful bill," which is estimated to add $2.42 trillion to US budget deficits over the next decade.

"Bankrupting America is NOT ok!" Musk posted Wednesday on X.