Trump calls Elon Musk a "train wreck," and Musk responds by saying he's "scared."

The US president says he's saddened to see Elon Musk "completely lose his way" following the South African billionaire's surprising announcement of the creation of a new political party to combat what he calls the "one-party Republican/Democratic system."

The rift between US President Donald Trump and South African tycoon Elon Musk , a former ally of the US president, is complete and the confrontation between the two continues to escalate day after day .

The latest cause for confrontation has been Elon Musk's announcement of the creation of a new political party , called America Party , to "return freedom" to the United States after conducting a survey of his followers on the social network 'X', formerly known as Twitter and owned by the South African billionaire.

"By a factor of 2 to 1, you want a new political party and you should have it. When it comes to bankrupting our country with waste and corruption, we live in a one-party system, not a democracy . Today, the America Party has formed to give you back your freedom," Musk said on 'X'.

Donald Trump wasted no time responding to his former political ally, who made significant donations to fund his campaign in the last presidential election, urging voters to vote for the Republican candidate over Democrat Kamala Harris . The US president called Musk a "train wreck" and predicted the failure of his new political party.

" It saddens me to see Elon Musk completely lose his way , essentially becoming a train wreck over the last five weeks," the president said on his Truth Social network on Sunday.

"He even wants to start a third political party, despite the fact that they've never thrived in the United States : the system doesn't seem designed for them," added the White House resident, who opined that the country already has "enough" problems with the Democratic Party without adding more "chaos and disruption."

Trump attributed Musk's anger, and his recent opposition to the new tax and budget law championed by the president, to the elimination of incentives for electric vehicles like those of Tesla , of which Musk is co-founder and CEO. Trump claims that the South African tycoon knew in advance of his rejection of public subsidies for the purchase of electric vehicles .

A few days ago, Trump threatened to withdraw subsidies to Elon Musk's companies ( Tesla, X and SpaceX ) after the businessman asked Republican congressmen to vote against Trump's new tax law.

" Elon can take more subsidies than any human being in history , by far. Without subsidies, Elon would probably have to close up shop and move back home to South Africa . No more rocket launches, no more satellites, no more electric car production, and our country would save a fortune ," Trump said in a threatening tone.

Musk denied on Sunday's 'X' that his new political party has yet been registered with the Federal Election Commission and asserted that Donald Trump is "afraid." "The America Party is needed to fight the Republican/Democratic one-party system," the billionaire said in a message in which he accused the Republican and Democratic parties of having contributed to the increase in public debt in the United States.

Musk resigned as White House efficiency chief in late May amid disagreements with Trump over the so-called "big, beautiful" bill that was finally signed into law on July 4 following the Republican victory in Congress.

The South African tycoon claimed he was leaving politics and focusing on his businesses , but now he appears poised to wage an unpredictable political battle against Donald Trump and the two major US parties.