Trump's $499 'U.S.-built' smartphone will most likely be manufactured in China

Trump’s $499 ‘U.S.-built’ smartphone will most likely be manufactured in China

Experts believe the Trump Organization’s newly announced smartphone will be made in China, despite claims that it will be manufactured in the United States.

The company, owned by President Donald Trump, announced on Monday the T1, a gold-colored device priced at $499. The smartphone will use Google’s Android operating system.

The Trump Organisation claims the phone will be “built in the United States” — but experts believe it was designed and manufactured by a Chinese company.

“The phone was not designed from scratch, and it will not be assembled or completely manufactured in the United States,” Francisco Jeronimo, vice president at International Data Corp., told CNBC on Tuesday. “That is completely impossible.”

According to Jeronimo, the phone will most likely be produced by a Chinese original device manufacturer, or ODM — a company that designs and manufactures products based on the specifications of another firm.

“Despite being advertised as an American-made phone, it is likely that this device will be initially produced by a Chinese ODM,” Blake Przesmicki, an analyst at Counterpoint Research, wrote in a note on Monday.

According to Jeff Fieldhack, research director at Counterpoint Research, “the U.S. does not have local manufacturing capabilities readily available.”

Smartphone manufacturing came into focus after Trump threatened tariffs on devices imported into the United States. While those have yet to materialise, the American president has focused attention on Apple’s supply chain, urging the company to manufacture its flagship device in the United States. The call is part of Trump’s broader desire to see more electronics manufacturing take place in the US.

Several experts have noted that manufacturing iPhones in the United States would be nearly impossible, raising the product’s price significantly. Furthermore, establishing large-scale manufacturing in the United States would take many years.

Even if some of the device’s manufacturing took place in the United States, smartphone supply chains are global, with handset components coming from a variety of countries.

The Trump Organization’s T1 is no exception. While no details on specific components have been revealed, the specifications may provide an indication of what to expect.

The device will feature a 6.8-inch AMOLED display, a type of screen primarily manufactured by South Korean company Samsung. The screen is also manufactured by LG, a South Korean company, as well as Chinese firm BOE.

In comparison, Apple’s top-end iPhone 16 Pro Max has a 6.9-inch display and costs $1,199.

At $499, the T1 will most likely use a processor from Taiwanese company MediaTek, which will be manufactured in Taiwan. If the device were to contain a Qualcomm chip, it would most likely have to be manufactured in Taiwan.

Meanwhile, the phone’s advertised 50-megapixel camera will require image sensing chips, a market dominated by Japanese smartphone manufacturer Sony. There are smaller companies in China and elsewhere.

The device’s memory is one area that could use American technology, possibly from Micron, which manufactures its components in the United States. However, other players, such as Samsung, could be potential suppliers.

“Even if there is local manufacturing available, the company will have to rely on components imported from outside the United States,” Counterpoint Research’s Fieldhack stated.

The Trump Organisation did not immediately respond to CNBC’s request for comment on the experts’ findings.

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