NEW YORK – Industry experts are casting doubt on the Trump Organization’s claim that its upcoming $499 gold smartphone will be entirely manufactured in the United States.
Immediate Impact
As the Trump Organization unveils plans for its new gold-colored handset, questions arise regarding the feasibility of producing such a device entirely within the United States. An industry analyst told the BBC it would be “virtually impossible” for the phone, priced at $499 (£367.50), to be built domestically.
Key Details Emerge
The proposed phone will be accompanied by a mobile service with a monthly fee of $47.45, a nod to Donald Trump’s tenure as the 47th and 45th president. Despite claims of a business trust managed by his children, ethical concerns persist about leveraging the Trump brand for profit.
“It’s unbelievable that the Trump family has created yet another way for President Trump to personally profit while in office,” said Meghan Faulkner, communications director for Citizens for Responsibility and Ethics in Washington.
Manufacturing Doubts
The Trump family has not disclosed which company would manufacture the phone in the US. Eric Trump suggested on “The Benny Show” podcast that while all phones could eventually be American-made, the initial batch may not be.
Industry Response
Experts challenge the “built in the United States” claim, arguing that manufacturing smartphones domestically from scratch is not currently feasible. Prof Tinglong Dai of Johns Hopkins’ Carey Business School stated, “They don’t even have a working prototype. It’s extremely unlikely.”
“You would have to have a miracle. You would need to have economies of scale and sustainable demand for this kind of product,” Prof Dai added.
The announcement arrives amid President Trump’s efforts to pressure Apple CEO Tim Cook to produce iPhones in the US, threatening a 25% import tax on foreign-made devices.
By the Numbers
- Price of the Trump phone: $499
- Monthly service fee: $47.45
- Estimated net worth of Donald Trump: $5.1 billion
Background Context
This development builds on Trump’s longstanding strategy of licensing his name for profit, a practice that has expanded since his political ascent. In his latest financial disclosure, Trump reported earnings exceeding $600 million last year, with significant contributions from branded merchandise.
Expert Analysis
Analyst Leo Gebbie of CCS Insight noted the lack of a high-tech supply chain in the US necessary for smartphone assembly. “However, it’s possible that the device could be assembled in the US with parts imported from abroad,” Gebbie said, suggesting this might be the most feasible way to claim American sovereignty.
What Comes Next
The Trump Organization has not provided details about its business partners or addressed ethical concerns. The announcement promises a service reflecting American values, with US-based customer support and discounted international calls for military families.
The move represents a significant shift from traditional manufacturing practices and raises questions about the future of smartphone production in the US. As the story unfolds, industry watchers will be keenly observing the Trump Organization’s next steps.
