In February 2013, at a press conference in New York, Palmer announced plans to build a modern-day replica of the liner RMS Titanic. It was planned that Titanic II would be built in China and make its maiden voyage from Southampton to New York City in 2016 (later postponed to 2018). Palmer hoped to recreate the Titanic as closely as possible to its familiar external and internal appearance. According to Palmer, the Titanic II would be 883 feet (269 m) long, weigh 55,800 long tons (56,700 t) gross, and carry 2,435 passengers and 900 crew. Palmer said the Titanic II would honour the memories of those who died and survived on the Titanic. The Titanic was operated by the White Star Line and Palmer's company is named Blue Star Line.
In July 2013, Palmer was referred to in an iPhone application as making light of Australian Prime Minister Julia Gillard by having sandwiches thrown at her. News Corp Australia publications were critical of the app, calling it sexist, while referring to his weight in an opinion poll with an option saying "We should have one for big Clive Palmer".
On 25 April 2013, Palmer announced a "reformation" of the United Australia Party, which had been folded into the present-day Liberal Party in 1945, to stand candidates in the 2013 federal election, and had applied for its registration in Queensland. Another representative of a former South Australian political party, The United Party, lodged a formal objection to the registration of the name "Palmer United Party" with the Australian Electoral Commission (AEC). The AEC further determined that the names "Uniting Australia Party" and "Palmer United Party" were distinct and the name "Palmer United Party" was not prohibited.
Palmer ran as the candidate in the Sunshine Coast seat of Fairfax for his party in the 2013 Australian federal election. In the first count he won by only 7 votes over Liberal National Party (LNP) candidate Ted O'Brien, triggering an automatic recount. While he had won only 26.5 percent of the primary vote, Palmer overtook O'Brien on Labor and Green preferences. During the recount, he filed many challenges to votes cast for O'Brien, and made unsupported claims that the Australian Electoral Commission was tainted by corruption. Ultimately, he was confirmed as winner with 50.3% of the vote – a margin of 53 votes.
His party was also successful in the Senate in 2013, where three of his party members were elected and won a shared balance of power. The senators were elected in Queensland, Western Australia and Tasmania.But soon the party fell into disarray. The Tasmanian Senator Jacqui Lambie resigned from the Palmer United Party on 24 November 2014 announcing that she would remain in the Senate as an independent. Lambie's resignation followed several weeks of disagreements with Palmer. The Queensland Senator Glenn Lazarus also quit the party on 13 March 2015 citing issues with Palmer.
Up until 2013, the Forbes list included Australia's 40 richest people; it then expanded to 50 people.