CKD

CKD

CKD stands for "Completely Knocked Down" and refers to kits that are sent to assembly facilities to minimize customs expenditures and reach required levels of local content in a particular market. It can also be used as a stabilizing agent for waste due to its absorptive capacity and alkaline properties.From: Mastering the Business of Global Trade [2019], A taxonomy of international manufacturing networks [2019], Stabilization and Solidification of Hazardous, Radioactive, and Mixed Wastes [2019]

Foreign presence and balance of payments (1981–2000)

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Purchase Book

Published in Jatinder Singh, Global Players and the Indian Car Industry, 2018

Jatinder Singh

Second, it was a compulsion for Daewoo to export as it signed an MoU with the DGFT in 1997 to import 60,000 CKD/SKD kits to manufacture Matiz and Ceilo cars. As part of an MoU signed with DGFT, Daewoo was forced to increase its exports in order to neutralise its import payments. Though the firm’s exports increased after 1996–97 but were still far behind the target as there was a huge gap between import payments and export earnings of the firm.

A taxonomy of international manufacturing networks

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Journal Information

Published in Production Planning & Control, 2019

Andreas Feldmann, Jan Olhager

The divergent network configuration is attractive to companies that want to deliver products with many variants and short delivery lead times to customers but are dependent on economies of scale in the manufacturing of components. The proximity to market in the assembly factories is used to both reduce logistics cost and be closer to the customers. Complex components typically have a higher value density. This structure relates well to manufacturers that use “knocked down” (KD) or “completely knocked down” (CKD) kits that are sent to assembly facilities, minimising customs expenditures, since duties for components are lower than those for end products and allowing for reaching the required levels of local content in the particular market.

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Foreign presence and balance of payments (1981–2000)

A taxonomy of international manufacturing networks