Elon Musk’s Tesla and SpaceX have benefited from government contracts and regulatory credits worth an estimated $38 billion over 20 years. The majority of these funds, almost two-thirds, were awarded to his companies in the past five years alone. Last year, Tesla received $6.3 billion in federal and local funding, making it the largest amount committed to Musk’s businesses.
Musk’s SpaceX has secured government contracts with NASA and the Department of Defense, totaling billions of dollars. In contrast, Tesla collected $11.4 billion in regulatory credits. Despite this, Musk is still charged with reducing government spending and jobs while recusing himself when a conflict of interest arises.
A reported $465 million loan from the Energy Department helped Tesla navigate difficult times. This loan was personally secured by Musk, who held daily meetings with Tesla executives to discuss paperwork. The company later received additional funding through other grants and tax credits.
The Trump administration claims to be committed to cutting waste, fraud, and abuse in government contracts. However, critics argue that the president’s close relationship with Musk creates a conflict of interest. Musk is worth $358 billion and owns multiple companies, including electric-car maker Tesla, rocket maker SpaceX, social media platform X, and more.
The White House has stated that if Elon Musk identifies a potential conflict of interest in his contracts, he will excuse himself from those agreements. Nonetheless, the full extent of government funding for Musk’s businesses remains unclear due to missing information on defense and intelligence matters.
Source: https://fortune.com/2025/02/26/elon-musk-companies-billion-government-funding-tesla-spacex-doge