Why Ram's CEO Just Made the Case for Small Electric Trucks
Ram CEO Tim Kuniskis just said the quiet part out loud: "the days of affordable full-size trucks are over" and don't expect prices to drop below $40,000. Speaking at a media event in Michigan this week, Kuniskis made it crystal clear that the era of cheap big trucks is done — and this reality is reshaping what affordable truck capability looks like.
The Math That Changes Everything
The numbers tell the story. The 2025 Ram 1500 starts at $40,275, but the truck began at $31,695 in 2019 — that's nearly a $9,000 jump in six years. This isn't unique to Ram: the average transaction price of a new vehicle was $48,699 in April, up from $36,843 in April 2019.
Kuniskis admits this reality is pushing Ram toward a mid-size truck that will enable them to return to sub-$40,000 pricing. The timing remains unclear, though the company has more than 25 product announcements lined up through 2026.
Where This Leaves Truck Buyers
This pricing shift highlights exactly why the small electric truck segment exists. While Ram figures out their Dakota successor, other manufacturers are already operating in this space.
The Ford Maverick starts at $28,590 with a hybrid powertrain delivering an estimated 42 mpg in the city. For 2025, Ford added all-wheel drive capability to the hybrid system. The Slate Truck promises to start under $20,000 after federal incentives, though it's still in preproduction with specifications subject to change.
The pricing gap becomes apparent with electric options. The F-150 Lightning starts at $49,875, putting it in the same territory as premium full-size gas trucks but with the complexity and cost of a full-size platform.
Ram's Electric Strategy Takes a Different Path
Interestingly, Ram is taking a unique approach to electrification that might address both the pricing and capability concerns. The Ram 1500 Ramcharger uses an extended-range electric vehicle (EREV) design — essentially a battery-electric truck with a 3.6-liter V6 engine that acts as an onboard generator to recharge the battery rather than driving the wheels directly.
This approach promises 663 system horsepower and a projected 690-mile range, addressing one of the biggest concerns with electric trucks: range anxiety while towing. The Ramcharger is expected to arrive in mid-2025, ahead of the fully electric Ram 1500 REV that will follow in 2026 or 2027.
The EREV design represents an interesting middle ground — electric driving with gas backup — that could influence how other manufacturers approach affordable electric trucks. It's not quite the same as a small, purpose-built electric truck, but it shows how automakers are experimenting with different solutions to the range and cost challenges of electric powertrains.
The Bigger Picture
Kuniskis's admission signals that the entire truck industry is acknowledging what many buyers already know: the basic work truck that could haul plywood for $25,000 is disappearing. As he put it, with mandates and required tech, you can't strip a full-size truck down far enough and make money.
This creates space for smaller, purpose-built alternatives. If you're looking at $40,000+ for a truck anyway, the calculation changes. Electric powertrains offer lower operating costs, smaller trucks are easier to maneuver in urban areas, and right-sized capability often matches actual usage better than oversized trucks.
Small electric trucks represent one path forward, though each comes with tradeoffs. They offer lower operating costs and modern features, but often with less towing capacity and payload than traditional trucks. Meanwhile, approaches like Ram's EREV system attempt to bridge the gap between electric efficiency and traditional truck capability — though at full-size truck prices.
The question isn't whether cheap full-size trucks will return — Kuniskis made clear they won't. The question is which alternative approaches will actually deliver the capability and value that truck buyers need. Whether that's small electric trucks, hybrid systems like the Maverick's, or range-extended designs like the Ramcharger, the shift toward electrification is happening across multiple size classes and price points.
