Trump tells close allies that Elon Musk ‘will step back from US government soon’

President Donald Trump has reportedly told his inner circle that Elon Musk will soon step back from leading the Department of Government Efficiency (DOGE).

Trump and Musk in recent days decided that the billionaire super-entrepreneur should return to his businesses and serve in a supporting role in government instead of DOGE head, three sources close to the president told Politico on Wednesday.

The president is pleased with Musk’s work, the sources said.

But some within the federal government have criticized DOGE’s drastic recommendations to eliminate employees’ positions, and Musk’s Tesla dealerships have been targets of shootings and vandalism.

A senior administration official told Politico that Musk will most likely remain an informal adviser and still be in the White House but less frequently. Another official said anyone who thinks Musk will vanish from the premises is ‘fooling themselves’.

Representatives with the White House, DOGE and Musk did not immediately comment on the report.

Tesla stock has also suffered amid Musk’s growing presence in the West Wing.

Following the report, Tesla shares, which had dipped 2% in early trading, shot up 3%. Shares of other companies including those contracting with the government also climbed.

Trump on Monday replied to a question on if Musk wanted to stay in his role past his 130-day term by saying, ‘I think he’s amazing, but I also think he’s got a big company to run. At some point, he’s going to be going back. He wants to.’

A month ago, Trump allies had predicted that Musk was there to stay and that the president would try to find a way for him to exceed his 130-day limit in the administration.

Musk is chief executive of Tesla and SpaceX and purchased X (formerly Twitter), among other ventures that have made him the richest man in the world.

On Tuesday, Musk was reclaimed the top spot on Forbes’ billionaires list.

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