# Knock-Down transport chains (automotive)

*Last updated: 2026-06-25*

> Unlike fully assembled vehicle shipments (CBU – Completely Built-Up), a knock-down transport chain in the automotive industry covers end-to-end logistics of disassembled vehicles or component kits from the production site to the assembly plant at destination.

Unlike fully assembled vehicle shipments (CBU – Completely Built-Up), a knock-down transport chain in the automotive industry covers end-to-end logistics of disassembled vehicles or component kits from the production site to the assembly plant at destination. The industry distinguishes two principal levels of disassembly: CKD (Completely Knocked Down) and SKD (Semi Knocked Down). The chain encompasses packaging, ocean freight, customs clearance and in-country distribution – with the dual objective of minimising freight volume and benefiting from lower import duties on parts compared to finished vehicles. On long-haul routes to Africa, Asia or Latin America, the approach cuts total logistics costs substantially while enabling local value creation through in-market assembly. OEMs and their logistics partners must carefully align packaging specifications with the rules of origin and tariff schedules of the destination country.

**Source:** [https://en.wikipedia.org/wiki/Knock-down_kit](https://en.wikipedia.org/wiki/Knock-down_kit)

## Quick Facts

| Property | Value |
|---|---|
| Term | Knock-Down transport chains (automotive) |
| Language | EN |
| Word count | 131 |
| Last updated | 2026-06-25 |
| Source | https://en.wikipedia.org/wiki/Knock-down_kit |

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