Musk Defies Trump With Call for Tariff-Free Future
Billionaire tech mogul Elon Musk has publicly broken with President Donald Trump’s expansive tariff policy, expressing hope for the eventual creation of a tariff-free trade zone between the United States and Europe. The comments, made Saturday during an appearance at “The League Congress” hosted by Italian Deputy Prime Minister Matteo Salvini, signal a surprising policy divergence between Trump and one of his closest advisors.
“I hope it is agreed that both Europe and the United States should move, ideally, in my view, to a zero tariff situation, effectively creating a free trade zone between Europe and North America,” Musk stated, according to NBC News. The Tesla and SpaceX CEO added he has offered this perspective directly to the president.
Musk’s remarks come just days after Trump unveiled sweeping tariffs affecting most of America’s trading partners, including a 20% tariff on European Union imports. The president’s announcement triggered a historic market sell-off, with major indices posting their largest declines since the early days of the Covid-19 pandemic.
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Free Movement Advocacy
Beyond tariff elimination, Musk advocated for increased freedom of movement between the regions. “More freedom of people to move between Europe and North America if they wish, if they wish to work in Europe or wish to work in America, they should be allowed to do so, in my view,” he said during the video interview, as reported by Fox News.
These positions stand in stark contrast to Trump’s “America First” trade philosophy. During Wednesday’s Rose Garden event announcing the tariffs, Trump characterized America’s trading relationships in harsh terms, claiming the U.S. has been “looted, pillaged, raped and plundered” by other nations’ trade policies.
Despite the market turmoil following the announcement, Trump has remained steadfast. In a Saturday post on Truth Social, the president wrote that China “and many other nations, have treated us unsustainably badly. We have been the dumb and helpless ‘whipping post.'” He characterized his tariff policy as an “ECONOMIC REVOLUTION,” urging supporters to “HANG TOUGH.”
🚨 ELON MUSK: “I hope that the United States and Europe establish a very close partnership. I hope that with the tariffs, the United States and Europe move to a zero tariff situation, effectively creating a free trade zone between Europe and North America. I also hope that… pic.twitter.com/HuguEZjSy2
— Autism Capital 🧩 (@AutismCapital) April 5, 2025
International Reaction
Global leaders have responded with alarm to Trump’s tariff announcement. European Commission President Ursula von der Leyen expressed that Europeans “feel let down by our oldest ally” and warned that “uncertainty will spiral and trigger the rise of further protectionism. The consequences will be dire for millions of people around the globe.”
The European Union and other nations targeted by the tariffs have threatened retaliatory measures later this month. China, facing the steepest tariff at 34% (bringing Trump’s total tariffs on Chinese goods to 54%), has promised to “take countermeasures to safeguard its own rights and interests.”
Musk’s comments suggest potential divisions within Trump’s inner circle regarding the wisdom of the president’s confrontational trade approach. As head of the newly created Department of Government Efficiency (DOGE), Musk has been instrumental in helping shape administration policy, making his public break on trade philosophy particularly notable.
Economic Implications
The billionaire’s free trade advocacy comes as financial analysts grow increasingly concerned about the economic impact of Trump’s policy. JPMorgan has raised its probability of a global recession to 60% if the tariffs remain in place, while markets have experienced their worst two-day wipeout in history.
The initial 10% “baseline” tariff took effect at U.S. ports of entry on Thursday, with higher rates for specific countries set to begin this week. The Trump administration has characterized these measures as necessary to protect American industry and workers, though critics warn they will likely increase prices for U.S. consumers on a wide range of goods.
Whether Musk’s advocacy for a “zero tariff situation” will influence the president’s approach remains unclear. Neither the White House nor Musk responded immediately to requests for comment on the apparent policy divergence.
As global markets prepare to react to another week of trade tensions, Musk’s vision of tariff-free trade between long-standing allies offers a markedly different path forward than the one currently being pursued by the administration he serves.
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