Elon Musk’s enterprises, Tesla and SpaceX, have collectively received over $38 billion in federal assistance and contracts throughout the last twenty years, as revealed by an investigation conducted by The Washington Post on February 26. The findings indicate that Tesla, Musk’s electric vehicle manufacturer, has gained nearly $15.7 billion in governmental support, while SpaceX, his aerospace company, has obtained around $22.6 billion in funding and contracts. This financial backing encompasses loans, tax credits, and state incentives that have significantly contributed to their growth.For example, Tesla was granted a $465 million loan from the U.S. Department of Energy in 2010 through the Advanced Technology Vehicles Manufacturing program, which it successfully repaid in 2013. The company also benefited from a federal electric vehicle tax credit of $7,500 until 2019, when it surpassed the sales threshold of 200,000 vehicles.
Furthermore, Tesla generates income by selling carbon credits to other automotive manufacturers and has received various state-level incentives aimed at bolstering electric vehicle production and infrastructure. In contrast, SpaceX has secured billions in contracts from NASA, including funding for the Commercial Crew Program, which supports missions to the International Space Station, and the Commercial Resupply Services program for cargo deliveries. Additionally, the company has obtained contracts from the U.S. Department of Defense for military satellite launches and national security operations. A significant portion of this government support was allocated during Joe Biden’s presidency from 2021 to early 2025, providing crucial financial resources for Musk’s initiatives in electric vehicles and space exploration.Musk, who currently heads the Department of Government Efficiency (DOGE), has implemented budget and staffing reductions across various federal agencies. The investigation by The Washington Post prompts a critical examination of the role of government incentives in corporate expansion and Musk’s influence on federal budgetary decisions.
