Musk, Ramaswamy lead push for $2 trillion in federal budget cuts

Elon Musk and Vivek Ramaswamy, appointed to lead the newly created US Department of Government Efficiency, are consulting with experts from across the country to implement large-scale budget cuts.

Musk and Ramaswamy are interviewing candidates for positions in the department and seeking advice on its structure from both Washington insiders and Silicon Valley leaders, Caliber.Az reports citing US media.

They are collaborating with lawyers, business figures, and tech industry professionals to build a framework for the department's initiatives.

Russell Vaught, who is set to become the Director of the White House Office of Management and Budget, has expressed support for Musk and Ramaswamy's efforts to reduce federal spending. One of the key focuses will be fixing technical issues with government employee data collection and updating outdated software systems, but the full scope of the department’s budget or its funding sources is yet to be determined. While the department's success is uncertain, experts have warned that its efforts could disrupt workers and businesses reliant on the stability of federal regulations and funding.

Musk and Ramaswamy have proposed cutting $2 trillion in federal spending, a plan Musk had referenced during the election campaign. However, experts, even those who support President-elect Donald Trump, are divided on whether this cut would be achieved within a single year — an almost impossible task unless programs like social security and health insurance are significantly reduced — or spread over a longer period. Last year, the US federal government spent nearly $7 trillion.

Trump, a Republican, is expected to implement these cuts through executive orders, bypassing Congress. Musk and Ramaswamy believe this approach would be constitutionally sound and shield the reforms from being undone by future presidents. This method is also intended to prevent the changes from facing challenges in Congress, which could slow down or block them.

On November 12, Trump officially announced the creation of the “Department of Government Efficiency” in his second term, with Musk and Ramaswamy leading the charge. Trump hailed the duo as instrumental in dismantling government bureaucracy, reducing excessive regulations, cutting wasteful spending, and restructuring federal agencies.

The efficiency commission was a key component of Trump’s broader economic plans, initially revealed in September. Musk had agreed to take on the role if Trump was re-elected. In a statement, Musk promised the department’s work would "send shockwaves through the system," targeting waste across federal agencies.

Ramaswamy, who previously challenged Trump in the Republican presidential primary before endorsing him in January, had made reducing government spending and waste a major campaign promise. He has frequently called for eliminating federal agencies, a stance that aligns with his campaign slogan, "SHUT IT DOWN."

In September, Trump emphasized that the first priority of the commission would be to eliminate fraud and improper payments within six months, an effort that he believes could save trillions of dollars. Trump's goal is for the department to finish its work by July 4, 2026, marking the 250th anniversary of the Declaration of Independence. "A smaller government, with more efficiency and less bureaucracy, will be the perfect gift to America," Trump stated, expressing confidence in Musk and Ramaswamy's success.

By Tamilla Hasanova