Trump's Feud with Musk Sparks $22B SpaceX Contract Review

- Tensions between President Trump and Elon Musk prompt contract evaluation - Contracts worth approximately $22 billion include essential NASA and Pentagon deals On June 13, 2025, Reuters reported that the White House has initiated a comprehensive review of SpaceX's federal contracts, estimated at $22 billion. According to the report, this action follows a public disagreement between President Donald Trump and SpaceX CEO Elon Musk, prompting the White House to direct the Defense Department and NASA to evaluate the details of SpaceX's agreements, which cover crucial missions for national security and space exploration. The Reuters report further indicated that this decision to review the contracts occurred earlier in June and is perceived by some sources as a retaliatory measure for Musk's recent critical comments about President Trump. The contracts under scrutiny include a $5 billion deal with NASA for the Dragon spacecraft, which remains the sole American system capable of ferrying astronauts to and from the International Space Station. Additionally, Reuters mentioned that Pentagon officials are allegedly considering minimizing SpaceX’s involvement in "Golden Dome," a new missile defense project. Regarding the broader contract review, on June 6, 2025, President Donald Trump said aboard Air Force One, "We'll take a look at everything." A White House spokesperson, as cited in the Reuters report, reiterated the administration's commitment to a thorough review process for all bids and contracts. In contrast, a NASA representative confirmed to Reuters the agency will continue collaborating with industry partners to fulfill the president's space objectives. However, governance experts, also according to Reuters, voiced concerns that political and personal motivations might influence government expenditure and national security measures. The review follows Elon Musk's critical remarks about President Trump, which, as detailed by Reuters, reportedly triggered the administration's decision to audit SpaceX’s contracts. In addition, the report noted Musk had temporarily threatened to discontinue Dragon spacecraft operations, although he later reversed that decision.