You're trying to lower your import costs, but high shipping fees per electric tricycle are eating into your profits. This makes it harder to compete in your local market.
Your import options are CBU (Completely Built-Up), SKD (Semi-Knocked-Down), and CKD (Completely Knocked-Down). The best choice depends on your order volume, local assembly capabilities, and your country's import taxes on parts versus finished vehicles, directly impacting your final cost.
Choosing how your electric 3 wheelers are shipped is one of the most important financial decisions you'll make. It affects everything from freight costs to import duties and final assembly time. As a factory, we prepare shipments in all three formats every day. Let's walk through what each option means for you, so you can pick the one that makes the most sense for your business.
What Does CBU Import Mean for Electric 3 Wheelers?
You need electric trikes that are ready for immediate sale or use. Spending time and money on local assembly is not an option for your business model right now.
CBU means the electric 3 wheeler is imported fully assembled and ready to drive. It is the simplest import method, requiring no local assembly, perfect for importers who want to sell or deploy vehicles straight from the container.
CBU, or Completely Built-Up, is the most straightforward way to import. When the container arrives, you unload the vehicle, give it a quick charge, and it's ready to go. The main benefit is convenience. There are no technical challenges or assembly headaches. However, this convenience comes at a price: freight costs. A fully assembled electric tricycle takes up a lot of space. For some of our larger, heavy-duty electric cargo tricycle models with integrated welded frames, CBU is the only option because they cannot be efficiently disassembled. In a standard 40-foot container, you might only fit 10 to 14 of these CBU units. This method is best for distributors who need immediate showroom models, government projects with tight deadlines, or small businesses buying just one or two units for their own operations.
| CBU (Completely Built-Up) | Pros | Cons |
|---|---|---|
| Assembly | None required | - |
| Frete | - | Highest per unit |
| Good For | Immediate use, small orders | - |
| Bad For | - | Large volume importers |
How Does SKD Import Work for Electric 3 Wheelers?
CBU shipping is too expensive per unit, but you don't have a full factory setup for complex assembly. You need a middle ground that saves money without being too difficult.
SKD means the electric 3 wheeler is shipped partially assembled. We build major components like the chassis and powertrain, while parts like the cabin, wheels, and cargo box are packed separately to save shipping space.
SKD, or Semi-Knocked-Down, is the perfect balance for many of our clients. It’s our most popular option for B2B distributors in places like the Philippines and Peru. We do most of the complex work at our factory. For example, with our electric tuk-tuk taxis or electric garbage trucks, we ship the main frame with the motor, axles, and controller already installed. Then we pack the wheels, seats, roof, and doors separately alongside the frame. This simple change has a massive impact on shipping density. Instead of 10-14 CBU units, a 40-foot container can now hold 28 to 35 SKD units. The final assembly is simple and usually takes a local mechanic a few hours with basic tools. There is no welding or complex wiring involved, just bolting on the final parts. This makes SKD the ideal choice for importers who want to significantly lower their freight cost per vehicle but don't want to invest in a full production line.
What Are the Benefits and Challenges of CKD Import for Electric 3 Wheelers?
You are a large-scale distributor, but your country's high import tariffs on finished vehicles are destroying your profit margins and making you less competitive in the market.
CKD, or Completely Knocked-Down, involves importing the electric 3 wheeler as a complete set of individual parts. This offers maximum container loading and can lead to lower import taxes, as parts are often taxed at a lower rate.
CKD is the ultimate choice for maximizing space and minimizing costs, but it requires a serious commitment. With CKD, we disassemble the entire vehicle into its core components—the frame, motor, controller, battery packs, wheels, nuts, and bolts are all packed separately. For a model like our open electric cargo tuk-tuk, where the cargo box and handlebars are easily removed, we can fit 50 to 60 units in a single 40-foot high-cube container. This is a game-changer for your cost-per-unit. More importantly, many countries want to encourage local jobs. They do this by setting lower import duties on vehicle parts compared to fully built vehicles. Clients of mine in Kenya and Nigeria save a lot on taxes this way. The challenge? You need an assembly line, trained workers, and good quality control. This isn't for beginners; it's for high-volume importers building a long-term business with local assembly.
How Should Importers Choose Between CBU, SKD, and CKD for Electric 3 Wheelers?
You are still not sure whether CBU, SKD, or CKD is the right import strategy for your business. Making the wrong choice could lead to high costs or operational headaches.
Choose CBU for low volume or immediate use. Pick SKD for a good balance of shipping savings and simple assembly. Opt for CKD if you are a high-volume importer with an assembly line, aiming to minimize freight costs and import duties.
The right choice comes down to your specific business model. When a new potential partner talks to me, I always ask three questions to help them figure out the best path forward. Before you place your next order, ask yourself these same questions to make sure you're setting yourself up for success.
- What Is Your Order Volume? Are you ordering two units or two hundred? For small orders of 1-5 units, CBU is the most logical choice. For full container load orders, SKD or CKD will drastically lower your per-unit shipping cost and make you more competitive.
- What Are Your Assembly Capabilities? Be honest about what you can handle. If you have no workshop or mechanics, stick with CBU. If you have a small team with basic tools, SKD is perfect. If you have a dedicated assembly facility and skilled labor, CKD offers the highest profit potential.
- What Are Your Local Import Taxes? This is critical. You must speak with a local customs broker. Ask them for the import duty on a complete electric tricycle (HS Code 8711.60) versus the duty on vehicle parts. The difference could be thousands of dollars per container.
Conclusão
Your import strategy—CBU, SKD, or CKD—directly impacts your costs and competitiveness. Analyze your volume, assembly capacity, and local taxes to choose the most profitable path for your business.
