Why Slate Automotive says it has cracked the code to affordable EVs
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Slate Automotive says its compact pickup truck has cracked the code to making affordable, U.S.-built EVs. Can it still succeed without a federal tax credit?
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financial news
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August 15, 2025
07:18 PM
CNBC
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The Jeff Bezos-backed Slate Automotive says it can sell an American-made electric vehicle pickup truck for half of the average transaction price in the U.S.Slate's pitch is keep the vehicle as simple as possible to on manufacturing costs, and then let owners add on and customize the truck however they want.The Slate Truck is compact — two doors and two seats in its most basic form
It is spare — if you want an infotainment system, you have to add that yourself
The vehicle is almost endlessly customizable.Slate plans to sell more than 100 accessories for its truck, including a kit that will convert it to a 5-seat SUV
But Slate also wants to make the truck "open source," meaning anyone could make accessories for the pickup.So far, more than 100,000 people have made reservations for Slate's small barebones truck.Price has been Slate's big selling point
Nearly half of American car shoppers say the top drawback to EVs is sticker price, according to a May 2025 survey by J.D
Meanwhile, President Donald Trump has been levying tariffs on foreign automakers and slashed federal incentives for EVs, making it more difficult for consumers to buy EVs.Earlier in 2025, the company advertised that its truck would start below $20,000 with the $7,500 federal EV tax credit
It then wiped that language from its website around the time the Trump Administration issued an executive order in July that began the rollback of EV incentives.The company says the case for its cheap truck will remain strong after federal EV tax credits expire in September.The question for Slate is whether the vehicle is still compelling at around $27,000 or $28,000 as it would be around $20,000
There is only one vehicle in the United States transacting below $20,000 — the Mitsubishi Mirage
But below $30,000 there are 20 models, according to Cox Automotive
One of those is the Ford Maverick, which comes with either a straight internal combustion engine or a hybrid powertrain, and has many of the features the Slate lacks."All of a sudden, that price point just doesn't look very competitive anymore," said Market Re Telemetry Vice President Sam Abuelsamid, adding that Slate could lower its price to appeal to consumers. "But now you start to eat into that fit margin."Watch the to learn more
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