America's $20,000 electric pickup could rival Tesla, but it comes with a catch

A new electric pickup truck costing under $20,000 could become the new rival to Tesla, but it does come with a catch.

Known as the Slate Truck, the EV will be available for less than $20,000 thanks to government incentives and is expected to go into production next year.

The vehicle is able to drive 150 miles per charge, is only available in the color grey and can seat two people.

If you need to fit more than two people then you can get the SUV upgrade kit that can be added as a bolt on to the truck.

However, while the design of the car is simple and stripped back, this will make it affordable to consumers in the US.

On the Slate Auto website, it said: “It's a Slate. A radically simple electric pickup truck that can change into whatever you need it to be – even an SUV. Made in the USA at a price that’s actually affordable (no really, for real).”

The new Slate Truck is expected to go into production next year (Slate)

The car manufacturer’s prices certainly look cheaper than Tesla’s after the Cybertruck launched with a price of $69,990 for the base model.

Slate has simplified the manufacturing process by eliminating paint as Jeremy Snyder, who is Slate’s chief commercial officer and formerly led Tesla’s global business efforts, said: “We have no paint shop, we have no stamping.”

He continued: “The vehicle is designed, engineered, and manufactured in the US, with the majority of our supply chain based in the US.”

“Because we only produce one vehicle in the factory with zero options, we’ve moved all of the complexity out of the factory,” Snyder added.

And Snyder believes that the cost of running the truck should also be as low as possible.

The new pickup is set to rival Tesla's Cybertruck (UCG/Contributor/Getty Images)

He went on to say: “From the very beginning, our business model has been such that we reach cash flow positivity very shortly after start of production. And so from an investment standpoint, we are far less cash-reliant than any other EV startup that has ever existed, as far as I know.”

This could spell trouble for Elon Musk, who has found himself at the center of government in recent months.

Tesla shareholders have expressed their disapproval over the CEO’s decision to stretch his time even further by taking on the role of head of the Department of Government Efficiency (DOGE).

It costs just $50 to preorder a truck on Slate’s website, with the vehicle expected to be available for delivery towards the end of 2026.