Slate's cheap EV truck ditches optional battery pack, upgrades standard range

Slate, maker of the stripped-down EV pickup truck, found another way to simplify its product: the battery. When the startup revealed its starting price on Wednesday — $24,950 before destination, taxes, and other fees — it also said it had changed its battery strategy, eliminating the optional 240-mile pack but bumping the standard pack from 150 miles to 205. How Slate pulled that off illustrates just how significantly the battery market in the U.S.

has changed in the past four years. Initially, the startup planned to use nickel-manganese-cobalt (NMC) cells. The chemistry is widely used in the automotive industry and favored for its energy density, which translates into longer range.

But NMC is also expensive, mostly due to high nickel and cobalt prices. Recently, automakers have begun to use another chemistry, lithium-iron-phosphate (LFP). Battery packs that use LFP are less energy dense but cheaper by about 40%, thanks in part to lower-cost ingredients like iron, one of the main cathode materials, which replaces nickel and cobalt.

There were good reasons why Slate, and other automakers, started with NMC. The LFP supply chain today is concentrated in China. That wasn’t always the case — early U.S.

battery startup A123 Systems was founded to commercialize the technology. But after a few missteps, it fell into bankruptcy and was bought in 2013 by a Chinese auto parts company. Since then, Chinese battery companies have embraced the chemistry and dominated production of LFP cells.

LFP’s foreign origin meant that, before last summer, EVs that used it wouldn’t qualify for a $7,500 tax credit under the Inflation Reduction Act. Only batteries made of materials sourced domestically or from companies with which the U.S. had a free trade agreement would qualify.

But when the One Big Beautiful Bill Act axed the tax credits, those concerns evaporated, as well. Chinese manufacturers were back in consideration. Slate said it is working with Hefei-based battery company Gotion to source the cells, which will be built at a factory in Illinois, according to InsideEVs.

The other reason automakers passed over LFP batteries was their limited range. Automakers selling into the U.S. market have prioritized range, though vehicles that can travel more than 300 miles on a charge tend to be pricey — pretty much the opposite of what Slate is going for.

In reality, most people don’t need that much range, and as charging networks have grown in size, reach, and speed, range anxiety is gradually waning. While LFP cells will never match NMC in energy density, modern variations of the chemistry have helped close the gap. Ford, GM, Rivian, and Tesla all offer models that use LFP cells.