Elon Musk launches “America Party” to challenge the two-party system

Billionaire entrepreneur Elon Musk has officially launched a new U.S. political party named the America Party, declaring it a bold step to “give you back your freedom” and challenge the entrenched two-party system.

The announcement was made via a post on X (formerly Twitter), following a poll in which over 65% of approximately 1.2 million participants supported the idea. Musk wrote, “By a factor of 2 to 1, you want a new political party…and you shall have it!” 

The launch follows Musk’s public break with President Donald Trump, sparked after Trump signed the controversial $3.4 trillion “One Big Beautiful Bill”. Musk labelled the legislation “debt slavery” and vowed to oppose lawmakers who backed the spending package.

Musk, who previously served as the head of the short-lived Department of Government Efficiency (DOGE) and was once Trump’s top campaign donor, now intends to pivot against his former ally and support challengers to those who approved the fiscal bills.

He outlined a tactical electoral strategy, comparing it to the tactics of the Theban general Epaminondas by saying the party would target “two to three Senate seats and eight to ten House districts”, aiming to act as swing votes in a divided Congress.

However, experts warn that forming a viable third party in the US faces daunting hurdles: state-by-state ballot access laws, significant signature requirements, and entrenched Republican and Democrat dominance.

Following the announcement, Azoria Partners delayed its planned Tesla ETF launch, citing investor unease over Musk’s political ambitions and their potential impact on Tesla’s governance and focus.