The Trump Organization’s newly-announced smartphone will likely be made in China, experts say, despite claims that the device will be manufactured in the U.S.

Owned by U.S. President Donald Trump, the company on Monday announced the T1, a gold-colored device which it said would retail for $499. The smartphone will run Google’s Android operating system.

The Trump Organization says the phone will be “built in the United States” — but experts note the phone was likely designed and would be manufactured by a Chinese firm.

“There is no way the phone was designed from scratch and there is no way it is going to be assembled in the U.S. or completely manufactured in the U.S.,” Francisco Jeronimo, vice president at International Data Corporation, told CNBC on Tuesday. “That is completely impossible.”

Jeronimo suggested that the phone would likely be produced by a Chinese original device manufacturer (ODM) — a type of company that designs and manufacturers 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 said in a note on Monday.

Jeff Fieldhack, research director at Counterpoint Research added that “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 U.S. While those have yet to materialize, the American president has poured scrutiny on Apple‘s supply chain, urging the iPhone maker to manufacture its flagship handset in the U.S. The call is part of a broader desire from Trump to see more manufacturing of electronics be undertaken in the U.S.

Several experts have noted that manufacturing iPhones in the U.S. would be nearly impossible and would certainly raise the price of the product substantially. On top of that, getting large-scale manufacturing off the ground in the U.S. would take several years.

At T1’s $499 price point, the smartphone will likely use a processor from Taiwanese firm MediaTek, which would be manufactured in Taiwan. If the device were to contain a Qualcomm chip instead, that would also likely have to be made in Taiwan.

The phone’s advertised 50-megapixel camera will meanwhile require image sensing chips — a market that is dominated by Japanese firm Sony for smartphones. There are smaller players in China and elsewhere.

The device’s memory is one area that could use American technology, potentially from Micron, which manufactures its components in the U.S. But other players, like South Korea’s Samsung, could be potential suppliers.

“Even when there is local manufacturing available the company will have to rely on components that are being imported from outside the US,” Counterpoint Research’s Fieldhack said.

Tencent has spent years evolving into a gaming and social media giant in China and in the process, has built up its cloud computing capabilities.

The technology firm is now looking to bring that expertise to Europe as it ramps up expansion of its cloud business overseas, Dowson Tong, CEO of Tencent’s cloud group told CNBC.

“We have strengths and competence in very specific technology areas, as well as industry verticals,” Tong said in an interview last week. “These are are very unique technology capabilities that have been developed over many years [and] started from our products in China.”

“So we intend to bring a lot of this technology expertise to Europe. We’re talking to a lot of interested potential customers.”

Tencent’s European push will pitch it against U.S. hyperscalers Amazon, Microsoft and Alphabet-owned Google, which collectively make up 70% share of Europe’s cloud market.

But the Chinese firm is hoping to focus on specific areas where it has built up capabilities to differentiate from rivals.

Tong said these include cloud technologies for areas like optimizing video streaming, ensuring a smooth gaming experience, and developing and hosting so-called “super apps” like WeChat — China’s biggest messaging service. WeChat is often seen as the pioneer of super apps, a term that refers to an application with multiple functions, such as messaging and payments.

Tong gave an example of Tencent’s cloud computing work with French telecommunications firm Orange in supporting the company’s Max it app in Africa. In the area of gaming, Tencent’s cloud technology can improve “latency,” which is a technical term for the lag between a player’s actions and what happens on screen, Tong said.

The Chinese company is also betting on European companies opting for multiple cloud providers for services, instead of relying on one or two of the big players.

“I would say that’s actually a … deliberate strategy of ours to make the customers feel more comfortable using our technology, especially in a multi-cloud environment,” he said, adding that customers want to be able to interoperate.