In a stunning announcement early Monday, tech billionaire Elon Musk declared that President Donald Trump has agreed to shut down the U.S. Agency for International Development (USAID). The agency, which administers billions in humanitarian aid and development assistance across more than 100 countries, is now the latest casualty of the Trump administration’s sweeping overhaul of the federal government.
Musk made the revelation during an X Spaces discussion alongside former DOGE co-leader Vivek Ramaswamy and Sen. Joni Ernst (R-Iowa). He asserted that after a detailed review of USAID’s operations, the decision was clear: the agency had to go.
“A Ball of Worms”
“So to be clear, in shutting down, which we’re in the process of doing, shutting down USAID, the reason for that, as opposed to simply trying to do some minor housecleaning, is that, as we dug into USAID, it became apparent that what we have here is not an apple with a worm in it, but we have actually just a ball of worms,” Musk said.
The billionaire emphasized that USAID was beyond repair, suggesting that even efforts to reform the agency would be futile.
“That is why it’s got to go,” Musk added. “It’s beyond repair.”
Hours after Musk’s remarks, USAID staff received notice instructing them to stay out of the agency’s headquarters in Washington. The Associated Press reported that over 600 employees were locked out of the system overnight. Those who retained access received an email stating that the building “will be closed to Agency personnel on Monday, Feb. 3.”
Power Struggle at USAID
Musk’s Department of Government Efficiency (DOGE) commission has been engaged in a battle for control over USAID in recent days. The Trump administration placed two senior officials on administrative leave after they refused to turn over classified materials to DOGE teams, according to the AP.
Ultimately, DOGE operatives gained access to certain classified intelligence reports within the agency. Musk later posted on X, “We spent the weekend feeding USAID into the wood chipper. Could gone to some great parties. Did that instead.”
Musk had previously called USAID a “criminal organization,” and Trump echoed that sentiment while speaking to reporters Sunday night.
“It’s been run by a bunch of radical lunatics. And we’re getting them out,” Trump said.
Congressional Concerns and Uncertain Future
The abrupt move to shut down USAID has alarmed congressional Democrats, who are now pressing the State Department for answers. There had been prior speculation that Trump might merge USAID with the State Department rather than eliminate it entirely.
“Any attempt to reorganize or redesign USAID requires advance consultation with, and notification to, Congress,” Senate Foreign Relations Committee Democrats wrote in a letter to the State Department.
As uncertainty looms over the fate of USAID, questions remain about how international development and humanitarian assistance will be handled moving forward. With Musk and the Trump administration determined to push their vision of government efficiency, the shutdown signals yet another radical shift in U.S. foreign aid policy.
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