The CEO of Troy, Michigan–based EV startup Slate Auto, Chris Barman, says the removal of the federal electric vehicle tax credit is creating new opportunities in the battery supply chain. At Fortune’s Brainstorm Tech conference, Barman explained that some battery suppliers have scaled back launch plans for other EV makers, which in turn is freeing up capacity that Slate can tap into.
Though the $7,500 federal incentive helped power Slate’s original ambition to price its modular electric pickup under $20,000, the company now sees a silver lining: greater access to suppliers as the industry recalibrates.
Exploring Battery Supplier Opportunities
Barman said Slate conducted outreach to several battery makers and observed that many competitors are pausing or dialing back their EV production schedules. This has opened up supply chain bandwidth, allowing smaller automakers like Slate to secure critical components more easily and potentially on favorable terms.
Pricing Strategy Amid Policy Shifts
Slate originally advertised a sub–$20,000 base price, assuming the federal credit would apply. With its elimination, the company has adjusted expectations: the actual base price is now projected in the mid-$20,000s.
Despite this, Slate maintains its goal of keeping its EV affordable, and says securing cost-effective battery supplies may help preserve that vision as much as possible.
A Minimalist, Customizable EV Model
Slate’s electric truck features a stripped-down design, no power windows, radios, or touchscreens, optimized for cost-savings and modularity. Customers can add over 100 accessories, including an SUV conversion kit. Slate’s lean component strategy also simplifies production and may help offset rising supply costs.
Why It Matters
As federal incentives for EVs fade, the industry faces a challenging phase, particularly for startups relying on lower-priced models. Slate’s ability to pivot and find opportunity in supply chain shifts may offer a blueprint for resilience amid policy disruptions.
