CBU, SKD, and CKD in Display Exports: How to Optimize Cost and Logistics

In the global digital signage and display industry, businesses face different challenges when sourcing equipment: logistics costs, tariff implications, local assembly capabilities, and customization needs. CNLC understands that one size does not fit all. That’s why we provide three flexible delivery models—CBU, SKD, and CKD—to meet diverse client requirements across international markets.

Whether you are a distributor, system integrator, or OEM partner, understanding these models will help you select the best solution for your business.

What Are CBU, SKD, and CKD in the Display Industry?

• CBU (Completely Built-Up): Fully assembled, ready-to-use products shipped directly from the factory

• SKD (Semi Knocked Down): Semi-assembled kits requiring partial assembly at the destination

• CKD (Completely Knocked Down): Full component kits shipped unassembled, enabling complete local assembly

Each model offers different benefits in terms of cost, logistics, customization, and technical involvement. Let’s explore them in detail.

1. CBU – Completely Built-Up: The Turnkey Solution

The CBU model is ideal for clients who need ready-to-install products with zero technical complexity. CNLC provides fully assembled LCD displays, LED screens, and light box solutions that meet global standards for durability, brightness, and outdoor performance.

Who Chooses CBU?

• Global distributors who prioritize speed and convenience

• Retail solution providers needing plug-and-play digital signage

• Projects requiring small-batch customization with short lead times

Key Benefits of CBU

✔ Complete product delivered, ready for immediate installation
✔ Superior quality control under factory conditions
✔ Optional custom designs for unique branding or project needs

Example Use Case: A retail chain launching 50 stores across Europe needs consistent, high-quality digital signage delivered within a tight timeline. The CBU model ensures uniform standards and rapid deployment.

2. SKD – Semi Knocked Down: The Smart Balance

The SKD model is a popular choice for system integrators, engineering companies, and regional assembly partners. Under SKD, CNLC provides the structural framework, housing, and key mechanical parts, while the client sources specific components—such as LG LCD panels or specialized LED modules—locally.

Why SKD?

• Reduces shipping costs due to optimized packaging

• Helps minimize import duties in certain regions

• Offers flexibility in component selection

Best For:

✔ Businesses with basic assembly capabilities
✔ Companies seeking cost-efficiency without compromising quality
✔ Markets where local labor and parts are affordable and accessible

Example Scenario: A digital signage integrator in the Middle East sources LG LCD panels locally while importing SKD kits from CNLC. This approach saves on logistics and complies with local regulations.

3. CKD – Completely Knocked Down: Maximum Control for OEMs

The CKD model is designed for OEM partners and local manufacturers who aim to establish full-scale assembly operations in their home country. CNLC supplies all components, along with technical documentation, assembly training, and production support.

CKD Package Includes:

✔ Complete component sets
✔ Assembly guides and engineering support
✔ Optional on-site training for local teams
✔ Assistance with machinery setup and quality assurance

Advantages:

• Enables full local manufacturing

• Reduces overall logistics and tariff costs

• Ideal for large-scale or long-term projects requiring local compliance

Example: A partner in South America sets up a factory to assemble 1,000 units annually using CKD kits from CNLC. This model maximizes cost efficiency and strengthens their local supply chain.

How to Choose the Right Model for Your Business?

Why CNLC?

With over 18 years of experience in the display industry, CNLC specializes in high-brightness LCD digital signage, LED billboards, and outdoor light box solutions. Our manufacturing facilities in Guangzhou use precision-molded aluminum structures and cutting-edge technology to deliver durable, customizable, and globally compliant products.

When you partner with CNLC, you gain:

• Flexible delivery models tailored to your business

• Expert engineering support for seamless integration

• Proven global experience across Europe, the Middle East, and North America

Conclusion

Choosing between CBU, SKD, and CKD depends on your business size, market strategy, and operational capabilities. CNLC is here to help you select the most efficient solution, whether you need a turnkey system, semi-assembled kit, or a full OEM component package.

📩 Contact us today to explore which model works best for your next project:
🌐 www.cnlcdisplay.com| ✉ info@cnlcdisplay.com