Elon Musk’s trillionaire status sparks backlash from Democrats calling for taxing the ultra-rich

NEW YORK CITY, NEW YORK: Elon Musk's rise to becoming the world's first trillionaire has triggered a wave of criticism from progressive politicians, with several lawmakers using the historic milestone to renew calls for wealth taxes and changes to economic policy.

The backlash emerged on Friday, June 12, after SpaceX's initial public offering pushed Musk's fortune to unprecedented levels.

Bernie Sanders and Elizabeth Warren push tax proposals

Among the first lawmakers to respond was Bernie Sanders, who has spent years advocating for higher taxes on wealthy Americans.

Sanders described Musk becoming a trillionaire as an "absurdity" and used the moment to promote legislation aimed at expanding Social Security benefits while increasing taxes on high-income earners.

The senator argued that the milestone emphasised the need for changes to the current tax system.

His proposal seeks to increase monthly Social Security payments while extending the program's long-term financial stability through higher taxes on wealthy Americans.

Elizabeth Warren echoed those concerns and also used Musk's new status to advocate for a wealth tax.

Warren highlighted the scale of Musk's fortune by comparing it to the earnings of an average American family.

According to Warren, the "typical American household would have to work more than 11 million years to make Elon Musk's level of wealth."

Democratic leaders condemn growing wealth gap after SpaceX IPO

Other Democratic figures delivered even sharper reactions.

Sen Ed Markey of Massachusetts called Musk's transition from billionaire to trillionaire "disgusting" and argued that the development reflects growing economic inequality.

"While working people struggle to get by, the billionaire class is becoming the trillionaire class," Markey said.

Graham Platner, who recently won the Democratic nomination for one of Maine's US Senate seats, also weighed in on the historic moment.

Acknowledging Musk's new status, Platner wrote, "Let's make sure he's also the last."

The comments highlighted how Musk's trillionaire milestone has quickly become a political talking point among Democratic politicians who have long pushed for tax reforms targeting the wealthiest Americans.

Rather than focusing solely on Musk himself, many of the reactions centered on concerns about wealth concentration and economic fairness.

Mamdani revives wealth tax debate 

New York City Mayor Zohran Mamdani also joined the conversation shortly after news of Musk's trillionaire status spread.

Using social media, Mamdani connected the SpaceX IPO to his long-standing support for taxing wealthy individuals.

“Reason #1,000,000,000,000 why we should tax the rich," Mamdani wrote in response to Musk becoming the world's first trillionaire.

The comment was consistent with the platform Mamdani campaigned on, which included proposals aimed at increasing taxes on wealthier residents.

Musk and Mamdani have previously found themselves on opposite sides of political debates.

The Tesla and SpaceX chief publicly backed Mamdani's opponent, former New York Governor Andrew Cuomo, during the city's mayoral race.

Elon Musk leads over world's richest after SpaceX stock surge

Musk reached the trillionaire milestone after SpaceX shares surged following the company's IPO.

The stock opened above its initial offering price and climbed to $150 per share after debuting at $135.

The rally added hundreds of billions of dollars to Musk's net worth and widened the gap between him and every other wealthy individual on the planet.

According to estimates cited Friday afternoon, Musk's fortune stood at approximately $1.2 trillion.

That placed him far ahead of Google co-founder Larry Page, whose estimated net worth was listed at $295 billion.

Not everyone reacted negatively to the milestone.

Goldman Sachs CEO David Solomon congratulated Musk and praised his accomplishments, saying it had been "incredible to see his vision come to life."

Influencer Jake Paul also celebrated the achievement, revealing that he had invested $9.4 million in SpaceX and offering his congratulations.