Elon Musk Threatens to Scrap SpaceX’s Dragon After Trump Contract Warning, Then Reverses Decision

Elon Musk announced on Thursday that SpaceX would start decommissioning its Dragon spacecraft immediately, following a warning from President Donald Trump about the potential termination of government contracts with Musk’s companies.

However, the Tesla and SpaceX CEO reversed his statement just hours later after an X user advised him to “cool off and take a step back for a couple days.”

This sudden change came amid an intensifying exchange between Musk and Trump. Their dispute began after Musk publicly opposed a significant tax bill backed by the Republican president.

“In light of the President’s statement about cancellation of my government contracts, @SpaceX will begin decommissioning its Dragon spacecraft immediately,” Musk posted on X, formerly known as Twitter.

Trump Targets Musk’s Contracts

The trigger for Musk’s statement was a post by Trump on Truth Social, where the former president stated, “The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts.” Trump also remarked, “I was always surprised that Biden didn’t do it!”

Dragon is the only American spacecraft currently capable of transporting crew to and from the International Space Station (ISS). Any potential move to decommission it would have significant implications for NASA’s operations.

Social Media Appeal and Quick Turnaround

Later that evening, an X user with the handle @Fab25june pleaded with Musk to reconsider his decision.

“This is a shame this back and forth,” the user wrote. “You are both better than this. Cool off and take a step back for a couple days.”

Musk responded promptly: “Good advice. Ok, we won’t decommission Dragon.”

Bloomberg’s “Odd Lots” co-host Joe Weisenthal shared a screenshot of the exchange, noting humorously that “An account with 184 followers has achieved de-escalation between two of the most powerful people in the world.”

Uncertainty Lingers Despite Reversal

It remains unclear whether Musk’s retreat is permanent or just a temporary pause in his standoff with Trump. On Thursday, Musk continued his fierce online criticism of both Trump and his proposed legislation.

Musk also expressed frustration over his falling-out with Trump, whom he had strongly supported in the past. Until the previous week, Musk was a top government advisor and had donated over a quarter billion dollars to Trump’s 2024 campaign.

“Without me, Trump would have lost the election,” Musk tweeted. “Dems would control the House and the Republicans would be 51-49 in the Senate.” He concluded with the remark: “Such ingratitude.”

Dragon’s Critical Role in Space Operations

Despite the brief threat, the Dragon spacecraft remains central to NASA’s spaceflight program. Since 2020, SpaceX has been ferrying astronauts, cargo, and scientific equipment to the ISS using its Dragon capsules.

The service has been vital in eliminating NASA’s reliance on Russia’s Soyuz spacecraft, though at least one American astronaut still flies aboard the Russian vehicle.

With Boeing’s Starliner capsule grounded following a problematic test flight, SpaceX’s Dragon is currently the only U.S. spacecraft operational for human transport to the ISS.

In fact, two NASA astronauts returned aboard a SpaceX vehicle earlier this year after Starliner’s failure forced a nine-month delay.

NASA’s partnership with SpaceX extends beyond the ISS. The agency has also contracted the company to use its Starship rocket for future lunar missions and to handle the safe deorbiting of the ISS at the end of its operational life.

Private Missions Also Rely on Dragon

Even private companies such as Axiom Space, based in Houston, rely on Dragon for their missions. Axiom has scheduled a flight using a Dragon capsule for the upcoming week.

Throughout the brief period of uncertainty, NASA refrained from making any public comments regarding Musk’s announcement. Observers noted that it was difficult to assess the seriousness of Musk’s original statement—a sentiment that reflects his often unpredictable social media activity.

For now, however, the situation appears to have stabilized. Dragon capsules remain active, NASA operations continue as planned, and astronauts are not at risk of being stranded in space. Much like Musk’s fluctuating mood, the Dragon spacecraft is back on its regular flight path.