As Elon Musk‘s so-called Department of Government Efficiency (DOGE) continues its punitive onslaught against government agencies in what he claims is an effort to reduce wasteful spending, his own companies continue to enjoy lucrative federal contracts. Tesla and SpaceX have been awarded some $230 million worth of contracts so far in 2025, on top of billions claimed over the past several years.
Now, as first reported by Drop Site News, it appears that President Donald Trump‘s State Department, led by Marco Rubio, expects to pay $400 million for some kind of “armored” Tesla vehicles. But don’t worry — Musk, now a special government employee for Trump, has assured the public that potential conflicts of interest as he unilaterally decides where government funds are directed will not be an issue.
The prospective $400 million budget item appears on the latest version of the State Deptartment’s procurement forecast, updated on Dec. 23, during Trump’s transition period and one month before his inauguration. The largest contract in the document, it’s expected to span five years, and describes a planned purchase of “Armored Tesla (Production Units).” It does not specify whether this refers to Cybertrucks, though Musk has touted the toughness of the Tesla vehicle’s stainless steel exterior and called it a “futuristic battle tank.” The truck, however, has been criticized for its production quality, which has resulted in multiple recalls since its debut in 2023. Retail sales have disappointed.