A. WHAT IS A CKD / SKD GENERATOR?
CKD and SKD Generators are generators that have not been fully assembled. CKD and SKD are acronyms indicating the state of the generator’s assembly at the time of shipment. Here’s a quick breakdown:
1. CKD Generator: Completely Knocked Down. The generator is shipped as parts that have not been assembled.
2. SKD Generator: Semi Knocked Down. The generator is shipped with its main components assembled but not connected. Generators at this stage are considered partly assembled.
B. WHAT ARE THE BENEFITS OF CKD / SKD?
1. Lower import taxes. Often customs services have different tax categories for CKD/SKD and fully assembled generators. Import taxes for fully-assembled generators is typically much higher than for CKD/SKD generators.
2. Smaller capital investment. Vertical integration may be great for quality control, but it’s a lot more expensive to set up and maintain. Buying parts instead of producing them can reduce the amount of capital investment necessary to produce each completed unit by reducing the number of materials you need to have on hand to produce each individual part.
3. Lower transportation costs. Parts take up less space than generators, allowing you to send a greater number of units per container, thus decreasing the shipping cost of each individual unit.
4. Lower assembly expenses. When you buy a fully assembled generator you are paying the company a markup on the cost on the cost of parts and labour. By ordering the parts you can eliminate the markup on labour. Additionally, the markup on the individual parts is a lot lower when before they are fully assembled. Thus it can be far more cost-effective to have your machines assembled locally than to have them preassembled.
5. Enhanced assembly quality. When you assemble locally, you have better control over the assembly process, which allows you to make sure the assembly is done correctly. If a generator is sold for less than you can buy the parts and assemble it, that might be an indication that the seller is cutting corners, which can cost you a fortune in liability lawsuits and onsite repairs.
6. Compliance with Local Regulations: Many developed countries, such as Canada or the US, have strict regulations which Chinese manufacturers may not be familiar with. Assembling the parts locally allows you to ensure that your machines are compliant with local regulations like UL or CSA.
7. Avoid Made-In-China Labels (Sometimes): Many countries around the world now require certification proving the country of origin for imports. In some countries, the Made-In-China label comes with increased import taxes or local stigma. However, in some of these countries, the concern is primarily over the origin of finished goods, not intermediary goods (parts used in the assembly process). In some cases, you may be able to avoid using Made-In-China labels on your products by purchasing parts and assembling them in your local market or in a third country. Please note, this practice does not work in every country. It is always best to get legal advice from a licensed attorney before you try this.
8. Improved productivity. Instead of having separate crews producing a myriad of parts, you can get all the parts ready to assemble allowing you to streamline your processes and increase productivity for your assembly workers.
9. Increased competitiveness. In a competitive market, specialization is king. Assembling parts rather than purchasing completed units can decrease your cost per unit as you are getting both the parts and the labour for less than your competitors are paying for their fully assembled generators. You can pass a portion of these savings on to your customers increasing your competitiveness in the market and increasing your overall profit for your investors.
10. Expand the scope of supply and demand. Being more competitive by taking advantage of the lower cost of buying CKD/SKD generators should increase your business, allowing you to purchase and assemble more units while maintaining a healthy profit margin. More demand, more supply, better prices, everybody wins.
C. WHAT IS THE SUPPLY RANGE OF your CKD/SKD Generators?
At Symbiosistas, you can get the best CKD or SKD generator solution for your business. Our CKD/SKD generator options include but are not limited to:
1. Engines: We can provide a variety of international and Chinese brand engines with or without a radiator installed. Our engine selection includes diesel, gas, biogas, and dual-fuel engines.
2. Alternators: We can supply you with all of the most popular international alternator brands, as well as high-quality Chinese alternators.
2. Control Systems: We can provide you with many controller brands. The most common requests we get are for ComAp, Deepsea, Smartgen, and Woodward, but we can supply other controller brands as well.
3. Base Frame Tank: We can provide Bunded, double-bunded, or single-layer base fuel tanks. We can also provide you with external or customized fuel tanks.
4. Soundproof Enclosure: For silent generators, we can provide you with CKD/SKD or fully assembled canopies. Options include the standard Silent package, Rental canopy package, Containerized canopy package, Anti-Corrosive Zinc canopy package, and Custom canopy packages. We also offer other canopy assembly-related components.
5. Custom Generators: If you want to produce specialized generators for a project or for a niche market, we can provide you with the components you need to make them.