US President Donald Trump on Sunday called Tesla chief Elon Musk's plan to launch his party 'ridiculous', further deepening the feud with his former close ally.

"I think it's ridiculous to start a third party," Trump was quoted as saying by BBC.

"It's always been a two-party system and I think starting a third party just adds to the confusion," he told reporters before boarding Air Force One.

Musk Launches 'America Party'

Musk said on Saturday that he launched a new political party in the United States to challenge what the tech billionaire described as the country's "one-party system."

"When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy. Today, the America Party is formed to give you back your freedom," he posted on X.

"By a factor of 2 to 1, you want a new political party and you shall have it!" he posted on Saturday.

Musk, who was Trump's biggest political donor during the 2024 election, had a bitter fallout with the US President after leading the Republicans' effort to slash spending and cut federal jobs as head of the so-called Department of Government Efficiency (DOGE).

The Tesla chief has clashed with Trump over the president's massive domestic spending plan, saying it would explode the US debt, and vowed to do everything in his power to defeat lawmakers who voted for it.

Trump continues attacking Musk on Truth Social

Trump wrote a long post on Truth Social where he targeted Musk over his plan to launch his own political outfit and said the plan to open a third party in the US has always total disruption and chaos.

He wrote, "I am saddened to watch Elon Musk go completely 'off the rails,' essentially becoming a TRAIN WRECK over the past five weeks. He even wants to start a Third Political Party, despite the fact that they have never succeeded in the United States - The System seems not designed for them."

"The one thing Third Parties are good for is the creation of Complete and Total DISRUPTION & CHAOS, and we have enough of that with the Radical Left Democrats, who have lost their confidence and their minds!" he said.

He targeted Musk's push for EV mandate, which would have forced everyone to buy an electric car in a short period of time."

"It is a Great Bill but, unfortunately for Elon, it eliminates the ridiculous Electric Vehicle (EV) Mandate, which would have forced everyone to buy an Electric Car in a short period of time. I have been strongly opposed to that from the very beginning. People are now allowed to buy whatever they want - Gasoline Powered, Hybrids (which are doing very well), or New Technologies as they come about - No more EV Mandate," he said.