President-elect Donald Trump announced on Tuesday that he has selected tech billionaire Elon Musk, the world’s wealthiest person, and former Republican presidential candidate Vivek Ramaswamy to lead a new “Department of Government Efficiency.” The department’s goal will be to reduce federal spending and eliminate waste.
Trump explained that the department will collaborate with the White House and the Office of Management and Budget to implement significant structural reforms within the federal government. The department’s work is expected to conclude by July 4, 2026.
Trump emphasized that Musk and Ramaswamy would help dismantle government bureaucracy, cut unnecessary regulations, reduce wasteful spending, and reorganize federal agencies as part of the “Save America” movement.
Musk, known for his leadership of SpaceX and Tesla, had previously indicated during the 2024 campaign that he would accept a role in the administration, possibly heading a “Department of Government Efficiency” (DOGE). Musk has claimed he could cut $2 trillion from the federal budget but has not outlined specific plans.
Trump described the department as potentially being “the Manhattan Project of our time” but did not provide details about its budget or size.
Although Musk has never held a government position, his companies have extensive government contracts, including with military and intelligence agencies, raising concerns about potential conflicts of interest and oversight issues.
Ramaswamy, a biotech entrepreneur who ran for president in 2024, became a close ally of Trump after his primary loss. As a candidate, Ramaswamy advocated for the closure of several federal agencies.
Trump praised the creation of the department, saying it would bring an entrepreneurial approach to government and push for significant reform.
Musk has been a major supporter of Trump, injecting substantial funds into the 2024 campaign and advising on various policy issues.
Reports also suggest Musk has had frequent contact with Russian President Vladimir Putin, further complicating the situation.
Despite these concerns, Trump expressed confidence that Musk and Ramaswamy would drive efficiency and reduce waste in the federal government, which spends $6.5 trillion annually.
