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This seems poorly thought out. As stated it’s purview would pretty much be covered by existing departments and by necessity, the required experienced personnel would need to be drawn from said departments so it’s not as if, for example, it’d suddenly free up all those Air Force personnel to do other Air Force jobs. And it’s not going to save on the budget as the new branch will need funding which at best means diverting what was already being spent on the existing departments and at worse (and probably the more likely unfortunately) would be allocated by cutting funding to non-military things such as education, and that’s before factoring in the administrative costs that’d come from the reorganisation, purchase of new uniforms, etc.
Considering this is Trump, I find it entirely believable that his intention is not simply reorganising existing diverse departments into a single combined one for efficiency purposes, but rather to have an armed force in space. If I was a conspiracy theorist I’d think this was a Russian ploy getting Trump to do this to give them a pretext to go to war without looking like the aggressors due to the breaking of the whole no weapons in space treaty.