Slate Auto, an electric vehicle (EV) startup backed by Jeff Bezos, has recently revised its pricing strategy for its forthcoming all-electric pickup truck. Initially, the company had promoted a starting price of under $20,000, a figure that was achievable through the inclusion of the $7,500 federal EV tax credit. However, following the passage of President Trump’s tax cut bill, which is set to eliminate this federal incentive in September, Slate Auto has ceased advertising this sub-$20,000 price point.
The federal EV tax credit has been a significant factor in making electric vehicles more affordable to consumers. By reducing the effective purchase price, this incentive has played a crucial role in promoting the adoption of EVs across the United States. Slate Auto had strategically incorporated this credit into its pricing model to offer its electric pickup truck at a competitive and attractive price.
When Slate Auto emerged from stealth mode in April, the company heavily emphasized the affordability of its upcoming pickup truck, highlighting the sub-$20,000 starting price made possible by the federal tax credit. This pricing was a cornerstone of their marketing strategy, aiming to position the vehicle as an accessible option for a broad range of consumers. The language promoting this price point was present on Slate’s website until recently, as confirmed by the Web Archive.
The removal of the federal tax credit presents a challenge for Slate Auto’s mission to deliver an affordable electric vehicle. Without this incentive, the company faces the task of reassessing its pricing structure to maintain competitiveness in the evolving EV market. As of now, Slate Auto has not disclosed the new starting price for its pickup truck in the absence of the federal credit. A spokesperson for the company declined to comment on this recent change.
Production of the pickup truck is slated to commence at the end of 2026 at the earliest. Slate Auto’s business model emphasizes high customization, offering a range of options that allow consumers to tailor the vehicle to their specific needs and preferences. This approach suggests that the base model may not be the primary choice for many buyers, who might opt for additional features and upgrades.
The initial sub-$20,000 price point was a significant draw for Slate Auto’s product, serving as a major highlight during its April launch event. At the event, Chief Commercial Officer Jeremy Snyder addressed the broader issue of vehicle affordability, stating, The auto industry has driven prices to a place that most Americans simply can’t afford. But we’re here to change that. CEO Chris Barman echoed this sentiment, emphasizing the company’s commitment to delivering an affordable vehicle that has long been promised but never realized.
In light of the impending removal of the federal EV tax credit, Slate Auto is faced with the challenge of adjusting its pricing strategy to continue offering a competitively priced electric pickup truck. The company’s dedication to affordability and customization remains central to its mission, as it navigates the changing landscape of the EV market.
