Trump officials reviewed SpaceX contracts, found most too critical to cut – WSJ

Published 21/07/2025, 01:44
© Reuters

Investing.com-- The Trump administration launched a review of SpaceX’s federal contracts shortly after President Donald Trump suggested in early June that the government should consider cutting ties with Elon Musk’s businesses, The Wall Street Journal reported on Sunday, citing people familiar with the matter.

The review, initiated by the General Services Administration (GSA), aimed to assess potential waste in SpaceX’s multibillion-dollar agreements across federal agencies, the report said.

On June 9, a GSA official asked the Defense Department, NASA, and other agencies to submit detailed “scorecards” listing the value of each contract and the availability of viable competitors, the WSJ report stated.

While some contracts remain under scrutiny, White House and Pentagon officials ultimately concluded most SpaceX deals were critical to national defense and NASA missions, underscoring the company’s dominance in rocket launches and satellite services, the WSJ reported.

The push followed Trump’s public attacks on Musk via Truth Social, where he called for the termination of Musk’s federal contracts. Tesla (NASDAQ:TSLA) CEO Musk, once a close adviser to Trump, had recently criticized the president’s tax-and-spending bill.

Despite tensions, SpaceX continued winning major government awards, including a $5.9 billion Pentagon deal in April and upcoming NASA missions, the report added.

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