Musk Becomes 'DOGE Chief' in Trump's Second Term... "Shockwave to the System"

Elon Musk, the 'world's richest person' and CEO of Tesla, who played the biggest role in Donald Trump’s victory in the U.S. presidential election, has, as expected, been appointed head of the 'Department of Government Efficiency (DOGE),' responsible for reforming the next administration. Entrepreneur-turned pro-Trump politician Vivek Ramaswamy is also set to lead DOGE alongside CEO Musk.

On the 12th (local time), President-elect Trump stated, "The great Elon Musk will lead the Department of Government Efficiency in collaboration with American patriot Vivek Ramaswamy," adding, "These two outstanding Americans will work together to dismantle government bureaucracy, eliminate excessive regulations, reduce wasteful spending, and restructure federal agencies."

President-elect Trump had previously indicated plans to launch a government efficiency department headed by CEO Musk. It is anticipated that this move will lead to federal government spending cuts of at least $2 trillion. CEO Musk declared in a statement that there is a lot of waste throughout the government and that he will "send shockwaves through the system." Ramaswamy, who will serve alongside him, is a biotechnology entrepreneur who ran as the youngest candidate in the Republican presidential primary but withdrew and has since shown pro-Trump loyalty, earning a reputation as a "loyalist."

From the left in the photo: Elon Musk, CEO of Tesla; Donald Trump, President-elect of the United States; and Vivek Ramaswamy, an entrepreneur-turned pro-Trump politician. Photo by AFP Yonhap News.

DOGE, led by CEO Musk and Ramaswamy, will operate as an independent advisory committee. Since most of Musk’s wealth is in stocks, and due to restrictions such as stock blind trusts, he reportedly preferred a high-level committee chair position rather than a federal cabinet secretary role. Some have expressed concerns that Musk might leverage his influence in the Trump administration to favorably steer federal investigations and lawsuits related to his affiliates. The Guardian described this appointment as "a reward for two supporters who have helped Trump from the private sector."

Notably, President-elect Trump drew attention by naming the department’s acronym DOGE after the cryptocurrency 'Dogecoin,' which Musk once promoted. Following the official announcement of the appointment, Dogecoin’s price surged sharply.

On the same day, President-elect Trump explained that the department’s reform work would be completed no later than July 4, 2026. He said, "A smaller government, higher efficiency, and less bureaucratic government will be a perfect gift to America celebrating the 250th anniversary of the Declaration of Independence," expressing confidence that "they will succeed."