Musk Abandons Third Party, Vows Support for JD Vance in 2028

Elon Musk has chosen Vice President JD Vance as his support for the upcoming 2028 United States presidential election rather than continuing to pursue his own political party known as the “America Party.”

According to the WSJ, Musk’s political plans involved abandoning his “America Party” creation project because Republican candidates could lose votes to his new party.

Musk decided to put the new party project on hold after a month because he realized it could pull votes away from Republican candidates, thus diminishing their chances in 2028. Musk kept in regular communication with JD Vance throughout the recent weeks, which led to his decision not to pursue his own political party.

Financial support for Vance

Musk told his associates that he plans to finance Vance’s presidential campaign if he decides to run in 2028. 

The alliance between Musk and Vance follows the billionaire’s enhanced role in U.S. political affairs alongside his interest in backing candidates who share his economic and political views.

A win for Republicans

The Republican Party feels relieved about this development. In his previous statements, Musk indicated his intention to target important seats during the 2026 midterm elections, which included several Republican-held positions. With the third-party threat eliminated, GOP leaders now view Musk as an ally instead of an unpredictable force.

The current Polymarket user projections indicate a split Congress for 2026 with Republican control of the Senate and Democratic control of the House representing a typical “castling” political scenario.

Balance of U.S. political power predictions: 2026 Midterms. Source: polymarket

The party idea emerged because of Musk’s feud with Trump

The controversy between Donald Trump and Elon Musk led Musk to consider launching his own political party in July. Musk strongly opposed the One Big Beautiful Bill Act because it contained a $3.3 trillion debt increase projection for the following decade.

Musk considered the bill to be against all principles of his Department of Government Efficiency since it focused on cutting down government spending and waste.

Trump responded with his signature confidence to describe Musk as “off the rails” after Musk proposed forming a new political party. The intense argument between them developed into a prominent media event, which attracted public attention from all sides.

Market participants reacted negatively to the political activities of Musk

The political activities of Musk caused a negative impact on his investors. Tesla stock lost 20% of its value after Musk used X (formerly Twitter) to conduct a survey about starting a new political party in June. 

The company’s investors demonstrated their concern about the way political pursuits diverted attention from fundamental business operations.

Betting on Vance

Musk now focuses on supporting established politicians instead of creating his own political party. The strategy operates based on efficiency since it makes more sense to support the quickest vehicle rather than create a new one.

The Polymarket community assigns JD Vance a 53% chance to win the Republican nomination in 2028, while giving him a 28% chance to become president in that year above California Governor Gavin Newsom, who stands at 18%.

Republican Presidential Nominee 2028. Source: polymarket

Final thoughts

Elon Musk has transitioned from attempting to create a new political party to supporting established politicians because this method offers him more control over the process. The endorsement of JD Vance by Musk reshapes the 2028 political landscape and reveals the future direction of financial power in American politics.