Slate, which named a new chief executive last month, wants to tap consumer demand for more affordable vehicles with a stripped-down, two-seater pickup that can go 150 or 240 miles on a single charge. That goal was challenged after Congress eliminated a $7,500 federal tax credit for EVs last year that would have subsidized the cost of the vehicle.
The Troy, Michigan-based startup has raised money even as established automakers have lost billions on electric car investments and more mature EV players like Rivian Automotive Inc. and Lucid Group Inc. have struggled to turn a profit. Harbinger Motors, which makes electric chassis for commercial fleet vehicles, managed to raise funds in November from companies including FedEx Corp. and RV maker Thor Industries Inc.
Slate will announce its truck’s exact retail price when it begins taking online orders in June. It says more than 160,000 people have put down a $50 refundable deposit. The base model lacks standard comforts like power windows or an audio and infotainment system, but owners can add features by accessorizing the vehicle over time.
Slate is investing $400 million to convert an idled printing plant in Warsaw, Indiana, for vehicle production.
In March, Slate named Peter Faricy, an Amazon.com, Inc. veteran and former chief executive officer of solar company SunPower Corp., as CEO. One of his goals is to develop an online marketplace where third-parties can develop and sell accessories to truck owners. He replaced Chris Barman, a former Fiat Chrysler engineer, who is remaining with the company to spearhead the truck launch.
Founded in 2022, Slate was spun out in 2023 from Re: Build Manufacturing LLC, which focuses on developing manufacturing tech in the US. It’s the brainchild of Miles Arnone, an industrial turnaround executive, and Jeff Wilke, the former head of retail at Amazon. They have described Slate’s mission as a test case to prove that streamlining manufacturing processes and leaving customization to consumers can produce an affordable, US-made vehicle.
Slate investors also include Jeff Bezos, venture capital firms General Catalyst Partners LLC and Slauson & Co.
–By Gabrielle Coppola (Bloomberg)
