Rocket Lab USA stock rises amid Musk-Trump space feud

Published 07/07/2025, 12:24
© Reuters.

Investing.com -- Rocket Lab USA (NASDAQ:RKLB) stock rose 3% in pre-market trading on Monday as investors shifted attention to SpaceX competitors amid Elon Musk’s escalating political tensions with President Donald Trump.

The gains for the space launch provider came as Tesla (NASDAQ:TSLA) shares fell nearly 7% following CEO Musk’s weekend announcement of plans to launch a new "America Party." The political move has raised concerns among Tesla investors about Musk’s focus on the electric vehicle maker.

The friction between Musk and Trump intensified after Trump criticized Musk’s political ambitions as "ridiculous" on Sunday. The president suggested that Musk’s earlier appointment to lead NASA would have presented a conflict of interest given his substantial business interests in the space sector.

This public disagreement appears to be benefiting Rocket Lab and potentially other space industry competitors as uncertainty grows around SpaceX’s relationship with government contracts under a potential second Trump administration.

Rocket Lab, which provides launch services and spacecraft components, has been positioning itself as a key player in the commercial space race, competing with Musk’s SpaceX in certain market segments.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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