Musk Calls Trump’s Tax-Cut and Spending Bill ‘a Disgusting Abomination’ 

Elon Musk looks on during a news conference with US President Donald Trump in the Oval Office of the White House in Washington, DC, on May 30, 2025. (AFP)
Elon Musk looks on during a news conference with US President Donald Trump in the Oval Office of the White House in Washington, DC, on May 30, 2025. (AFP)
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Musk Calls Trump’s Tax-Cut and Spending Bill ‘a Disgusting Abomination’ 

Elon Musk looks on during a news conference with US President Donald Trump in the Oval Office of the White House in Washington, DC, on May 30, 2025. (AFP)
Elon Musk looks on during a news conference with US President Donald Trump in the Oval Office of the White House in Washington, DC, on May 30, 2025. (AFP)

Billionaire Elon Musk plunged on Tuesday into the congressional debate over President Donald Trump's sweeping tax and spending bill, calling it a "disgusting abomination" that will increase the federal deficit.

Several fiscally conservative Republicans in the US Senate supported the views Musk expressed in social media posts, which could complicate the bill's path to passage in that chamber.

"I'm sorry, but I just can't stand it anymore," Tesla and SpaceX CEO Musk wrote in a post on his social media platform X. "This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination."

He added: "Shame on those who voted for it: you know you did wrong. You know it."

Musk's comments hit a nerve. Republican deficit hawks have expressed concerns about the cost of the bill, which would extend the 2017 tax cuts that were Trump's main legislative accomplishment, while boosting spending on the military and border security.

The House of Representatives passed it by one vote last month, after the nonpartisan Congressional Budget Office said the measure would add $3.8 trillion to the federal government's $36.2 trillion in debt.

The Senate, also controlled by Trump's Republicans, aims to pass the "One Big Beautiful Bill Act" in the next month, though senators are expected to revise the House version.

Republicans on the Senate Finance Committee, which oversees tax policy, are due to meet with Trump at the White House on Wednesday afternoon to discuss making the bill's business-related tax breaks permanent, according to Senator Steve Daines, a panel member. Analysts have warned that such a move would greatly increase the measure's cost.

Republican Senate Majority Leader John Thune said he disagreed with Musk's assessment about the cost of the bill and stood by the goal of passage by July 4.

"We have a job to do - the American people elected us to do. We have an agenda that everybody campaigned on, most notably the president of the United States, and we're going to deliver on that agenda," the South Dakota lawmaker told reporters.

Republican House Speaker Mike Johnson also dismissed Musk's complaints, telling reporters, "my friend Elon is terribly wrong."

TEST OF INFLUENCE

Musk's loud opposition to a bill that Trump has urged Republicans to pass presents a test of his political influence a week after leaving his formal role in the administration as a special government employee with the Department of Government Efficiency came to an end. As DOGE chief, he upended several federal agencies but ultimately failed to deliver the massive savings he had sought.

The richest person in the world, Musk had spent nearly $300 million to back Trump's presidential campaign and other Republicans in last year's elections. But he has said he would cut his political spending substantially while returning to his role as Tesla CEO.

The White House dismissed Tuesday's attack, just as Trump dismissed earlier Musk complaints about the legislation.

"Look, the president already knows where Elon Musk stood on this bill," spokeswoman Karoline Leavitt said at a White House briefing. "It doesn't change the president's opinion. This is one big, beautiful bill, and he's sticking to it."

REPUBLICAN DISAGREEMENTS

Senate Republicans were divided about the bill even before Musk's missives. Deficit hawks are pushing for deeper spending cuts than the $1.6 trillion over a decade in the House version, while another coalition of rural-state Republicans are pushing to protect the Medicaid healthcare program for low-income Americans.

One of the hawks, Senator Mike Lee, called on party members to use the Trump bill and future spending measures to reduce the deficit.

"We must commit now to doing so, as this is what voters justifiably expect - and indeed deserve - from the GOP Congress," the Utah Republican said on X while reposting Musk's message.

Republicans have a 53-47 seat majority in the Senate and can afford to lose support from no more than three members, if they expect to pass the legislation with a tie-breaking vote from Vice President JD Vance by a July 4 deadline.

Another hardliner, Senator Ron Johnson, predicted that lawmakers would not be able to meet the deadline and secure an adequate number of cuts.

Lee and Johnson are among at least four Senate hardliners demanding that the bill be changed to restrict the growth of the debt and deficit.

The faction of party lawmakers determined to limit spending cuts to project Medicaid beneficiaries and business investments in green energy initiatives is of similar size.

"I certainly have an interest in making sure people with disabilities are not harmed. But also, there's the broad issue of how does it affect hospital reimbursements," Senator Jerry Moran told reporters.

"There's a set of my colleagues who are pushing to do more. And so, it turns on how do you get the votes to pass a bill," the Kansas Republican said.

Other Senate Republicans said lawmakers may have to look elsewhere to boost savings, including the possibility of leaving Trump's much touted tax break proposals for tips, overtime pay and Social Security benefits for later legislation.

"Those are all Democrat priorities. I'm not sure why we shouldn't be doing that in a potential bipartisan bill to create headspace for this bill," said Republican Senator Thom Tillis.



US Says Mexico Agrees to Water Treaty Obligations

FILE PHOTO: The sun sets over the Rio Grande River in Salineno, Texas, US, February 18, 2025. REUTERS/Cheney Orr/File Photo
FILE PHOTO: The sun sets over the Rio Grande River in Salineno, Texas, US, February 18, 2025. REUTERS/Cheney Orr/File Photo
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US Says Mexico Agrees to Water Treaty Obligations

FILE PHOTO: The sun sets over the Rio Grande River in Salineno, Texas, US, February 18, 2025. REUTERS/Cheney Orr/File Photo
FILE PHOTO: The sun sets over the Rio Grande River in Salineno, Texas, US, February 18, 2025. REUTERS/Cheney Orr/File Photo

The United States and Mexico reached an agreement on water-sharing on Friday, after President Donald Trump threatened new sanctions.

Trump said Mexico owed 800,000 acre-feet of water to the US and demanded it release a quarter of this amount by December 31 or be hit with a new five percent tariff, AFP said.

The Republican leader accused Mexico of violating a 1944 treaty under which the US shares water from the Colorado River in exchange for flows from the Rio Grande, which forms part of the border between the two countries.

"The United States and Mexico reached an understanding to meet the current water obligations of American farmers and ranchers," the US Department of Agriculture agency said in a statement.

It said the agreement includes both the current water cycle and the deficit from the previous cycle.

The two countries are expected to finalize the plan at the end of January.

The agreement as it stands would have Mexico releasing 202,000 acre-feet of water starting next week.

US Agriculture Secretary Brooke Rollins said in a statement on Friday that Mexico "has delivered more water in the last year than in the previous four years combined," but fallen short of their obligations.

"Farmers across South Texas have been reeling from the uncertainty caused by the lack of water. Now they can expect the resources promised to them," Rollins added.

Rollins echoed Trump's threat saying that if "Mexico continues to violate its commitments, the United States reserves the right and will impose five percent tariffs on Mexican products."

Mexican President Claudia Sheinbaum has not commented on the agreement, but on Tuesday expressed confidence in reaching a solution.

At the time, she also cautioned it would be physically impossible to meet the December 31 deadline because of limitations on the pumping equipment, but said: "We have the best will to deliver the amount of water that is owed."

Mexico acknowledged that it has been behind in its water deliveries to the US over the past five years, citing drought in 2022 and 2023.

Trump had previously threatened Mexico in April with economic repercussions over the water dispute, prompting Mexico at the time to immediately send water.

Mexican goods currently face a 25 percent tariff unless they fall under the United States-Mexico-Canada Agreement (USMCA), a free trade deal struck during Trump's first term and which Washington is aiming to renegotiate in 2026.


Bolivian Court Orders Ex-president Jailed for 5 Months on Corruption Charges

Former Bolivian President Luis Arce Catacora enters San Pedro prison after a judge ordered him held in pre-trial detention for five months as part of an investigation into alleged embezzlement, in La Paz, Bolivia, December 12, 2025. REUTERS/Claudia Morales
Former Bolivian President Luis Arce Catacora enters San Pedro prison after a judge ordered him held in pre-trial detention for five months as part of an investigation into alleged embezzlement, in La Paz, Bolivia, December 12, 2025. REUTERS/Claudia Morales
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Bolivian Court Orders Ex-president Jailed for 5 Months on Corruption Charges

Former Bolivian President Luis Arce Catacora enters San Pedro prison after a judge ordered him held in pre-trial detention for five months as part of an investigation into alleged embezzlement, in La Paz, Bolivia, December 12, 2025. REUTERS/Claudia Morales
Former Bolivian President Luis Arce Catacora enters San Pedro prison after a judge ordered him held in pre-trial detention for five months as part of an investigation into alleged embezzlement, in La Paz, Bolivia, December 12, 2025. REUTERS/Claudia Morales

A Bolivian court on Friday ordered the country's former President Luis Arce to remain detained for five months while he awaits trial on corruption charges, the latest development in a case that threatens to exacerbate Bolivia's political tensions.

Arce, 62, a leader from Bolivia’s Movement Toward Socialism party, was elected in 2020 and left office a month ago following the election of Bolivia's first right-wing leader in nearly two decades. He strongly denies the charges of breach of duty and financial misconduct. He faces up to six years in prison if convicted.

Two days after Arce's sudden arrest on the streets of Bolivia's capital of La Paz, a judge ordered his detention in a virtual hearing Friday, The Associated Press reported.

Arce was transferred to one of Bolivia's largest prisons in La Paz at night. No trial date was announced.

The accusations concern the alleged diversion of millions of dollars from a state fund into private accounts and date back to when Arce served as economy minister under former President Evo Morales from 2006 until 2017.

Although the scandal first broke in 2017, investigations into the alleged graft stalled during Morales' presidency as Bolivia's courts proved submissive to the political power of the day. The case was reopened when conservative President Rodrigo Paztook office last month, ending almost two decades of dominance by the Movement Toward Socialism, or MAS, party.

Paz campaigned on a promise to clean up the government and seek justice for corruption as he rode to power on a wave of outrage over Bolivia's worst economic crisis in four decades.

Arce criticized the charges as political persecution.

“I’m a scapegoat,” he told the judge, insisting that he had no personal involvement in the government fund under scrutiny, which supported the Indigenous people and peasant farmers who formed the backbone of MAS support.

“The accusations are politically motivated.”

Officials involved in the previous iteration of the investigation say Arce is accused of siphoning off money from rural development projects to secure loyalty from MAS-allied union and Indigenous leaders during election campaigns.

Morales was elected to three consecutive terms, but was ousted in 2019 when his reelection to an unprecedented fourth term sparked accusations of fraud and mass protests.

Arce's lawyers asked the judge to grant his release pending trial, citing the ex-president's battle with kidney cancer several years ago.

But Judge Elmer Laura denied the appeal, and even exceeded the prosecution’s request of three months in a juvenile detention center by ordering five months in a state prison.

“These are crimes that directly affect state assets and resources that were allocated to vulnerable sectors," Laura said.


Iran Detains 18 Crew Members of Foreign Tanker Seized in Gulf of Oman

St Nikolas ship X1 oil tanker involved in US-Iran dispute in the Gulf of Oman which state media says was seized is seen in the Tokyo bay, Japan, October 4, 2020, in this handout picture. Daisuke Nimura/Handout via REUTERS
St Nikolas ship X1 oil tanker involved in US-Iran dispute in the Gulf of Oman which state media says was seized is seen in the Tokyo bay, Japan, October 4, 2020, in this handout picture. Daisuke Nimura/Handout via REUTERS
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Iran Detains 18 Crew Members of Foreign Tanker Seized in Gulf of Oman

St Nikolas ship X1 oil tanker involved in US-Iran dispute in the Gulf of Oman which state media says was seized is seen in the Tokyo bay, Japan, October 4, 2020, in this handout picture. Daisuke Nimura/Handout via REUTERS
St Nikolas ship X1 oil tanker involved in US-Iran dispute in the Gulf of Oman which state media says was seized is seen in the Tokyo bay, Japan, October 4, 2020, in this handout picture. Daisuke Nimura/Handout via REUTERS

Iranian authorities detained 18 crew members of a foreign tanker seized in the Gulf of Oman on Friday that they said was carrying 6 million liters of smuggled fuel, Iranian media reported on Saturday, citing the Hormozgan province judiciary.

It said those detained under the ongoing investigation include the captain of the tanker, Reuters reported.

The semi-official news agency Fars said the crew were from India, Sri Lanka and Bangladesh.

The authorities said the tanker had committed multiple violations, including "ignoring stop orders, attempting to flee, (and) lacking navigation and cargo documentation".

Iran, which has some of the world's lowest fuel prices due to heavy subsidies and the plunge in the value of its national currency, has been fighting rampant fuel smuggling by land and sea to neighboring countries.