In automotive terms, CBU stands for “Completely Built-Up”. It refers to a vehicle that is fully assembled in a factory and ready for sale. This means that all the major components of the vehicle, such as the engine, transmission, and body, are assembled in the factory before being shipped to the destination country for sale. CBUs are usually more expensive than CKD (Completely Knocked Down) vehicles, which are shipped in parts to be assembled in the destination country. CBUs are typically imported by countries with limited automotive manufacturing capabilities or where the cost of labor is high.
CBU cars are generally more expensive than CKD (Completely Knocked Down) cars due to higher production costs and import duties. However, in Malaysia, CBU cars from certain countries are sometimes cheaper than locally assembled CKD cars due to government policies and market conditions.
Malaysia imposes high taxes and tariffs on imported cars to protect the local automotive industry, which is dominated by national car makers such as Proton and Perodua. However, the government has also negotiated trade agreements with certain countries that allow for lower tariffs on CBU cars from those countries. For example, under the Malaysia-Japan Economic Partnership Agreement, Japanese-made CBU cars can enter Malaysia at lower tariffs than cars from other countries.
In addition, market conditions such as exchange rates and supply and demand can also affect the pricing of CBU cars in Malaysia. For example, if the Japanese yen is weak compared to the Malaysian ringgit, Japanese automakers may be able to offer their CBU cars at lower prices to compete with local CKD cars.
Overall, the pricing of CBU cars in Malaysia is influenced by a combination of factors, including production costs, import duties, government policies, trade agreements, exchange rates, and market conditions.
Here’s a comparison table between CBU and CKD:
| CBU (Completely Built-Up) | CKD (Completely Knocked Down) | |
|---|---|---|
| Assembly | Fully assembled in factory | Assembled in destination country |
| Shipping | Shipped as a whole unit | Shipped in parts and packages |
| Cost | More expensive | Cheaper |
| Local Employment | Fewer jobs created | More jobs created during assembly |
| Customization | Limited customization options | Greater flexibility for customization |
| Market Availability | Available in wider markets | Limited to markets with local assembly capabilities |
Car brand with their manufacturing & assembly plant in Malaysia
| Car Brand | List of Assemblers |
|---|---|
| Toyota |
Assembly Services Sdn Bhd (Shah Alam Plant) Jalan Pelaya 15/1 40000 Shah Alam Selangor Darul Ehsan Tel : 03-5123 2000 |
| Toyota |
Assembly Service Sdn Bhd (Bukit Raja Plant) No.1, Jalan Keluli 2/KU2 Kawasan Perindustrian Bukit Raja 41050 Klang, Selangor Darul Ehsan Tel : 03-3348 2000 |
| Foton Weststar |
BerjayaAssembly Sdn Bhd 99 & 99, A-C, Jalan Tampoi 81200 Johore Bahru Tel : 07-236 1400 |
| BAW AMC |
Deauto Industries Sdn Bhd Lot 87725, Mukim Klang Taman Perindustrian Pulau Indah, Pulau Indah 42900 Pelabuhan Klang Selangor Darul Ehsan Tel : 03-3101 2588 |
| Volkswagen Mercedes-Benz (Actros) Mitsubishi Fuso |
Hicom Automotive Manufacturers (Malaysia) Sdn Bhd (Plant I) Kawasan Perindustrian Peramu Jaya P O Box 3, 26607 Pekan Pahang Darul Makmur Tel : 09-424 4000 |
| Mercedes Benz |
Hicom Automotive Manufacturers (Malaysia) Sdn Bhd (Plant II) Kawasan Perindustrian Peramu Jaya P O Box 6, 26607 Pekan Pahang Darul Makmur Tel : 09-424 4000 |
| Hino |
Hino Motors Manufacturing (Malaysia) Sdn Bhd Lot No. PT 11636, Jalan Tech Valley 1/2 & 3/2 Sendayan Tech Valley 71950 Bandar Sri Sendayan Negeri Sembilan Darul Khusus Tel : 06-781 2800 |
| Honda |
Honda Malaysia Sdn Bhd Hicom Industrial Park Pegoh P O Box 70 78000 Alor Gajah, Malacca Tel : 06-559 1500 |
| Hanvan Hohan Yang Tse ZNA |
HS Assembly Sdn Bhd Lot 3424, MK 16, Kampung Telok 13800 Sungai Dua Seberang Perai Utara Pulau Pinang Tel: 012-803 3633 |
| Isuzu |
Isuzu-Hicom Malaysia Sdn Bhd Kawasan Perindustrian Peramu Jaya P O Box 6, 26607 Pekan Pahang Darul Makmur Tel : 09-424 3800 |
| Hyundai-Inokom BMW Mazda Mini |
Inokom Corporation Sdn Bhd Lot 38, Mukim Padang Meha 09400 Padang Serai, Kulim P O Box 88, 09000 Kulim Kedah Darul Aman Tel : 04-403 1888 |
| Citroen Kia Peugeot |
STELLANTIS GURUN (MALAYSIA) SDN BHD Lot 6744 & 7270 Kawasan Perindustrian Gurun 08300 Gurun, Kedah Darul Aman Tel : 04-466 9100 |
| Bei Ben Jac |
N.B. Heavy Industries Sdn Bhd Lot 2819, Block 9, Sibu Town District Jalan Salim, 96000 Sibu Sarawak Tel : 084-212 126 |
| Perodua |
Perodua Manufacturing Sdn Bhd Perodua Automotive Centre Sungei Choh, Locked Bag No. 226 48009 Rawang, Selangor Darul Ehsan Tel : 03-6092 8800 |
| Proton |
Perusahaan Otomobil Nasional Sdn Bhd (PROTON) Kawasan Perindustrian HICOM Batu Tiga, Beg Berkunci No. 7100 40918 Shah Alam, Selangor Darul Ehsan Tel : 03-5191 1055 |
| Proton |
Proton Tanjung Malim Sdn Bhd Tanjung Malim Plant Mukim Hulu Bernam Timur 35950 Behrang Daerah Padang Batang, Perak DarulRidzuan Tel : 05-457 8888 / 457 7726 |
| CAM King Long Sinotruk |
R&A Commercial Vehicles Sdn Bhd Lot 1564, Batu 4, Jalan Kapar 42100 Klang Selangor Darul Ehsan Tel : 012-314 8160 |
| Scania |
Scania (Malaysia) Sdn Bhd Lot 6, Jalan 6, Kawasan Perusahaan Fasa 3 Bandar Sultan Sulaiman 42000 Pelabuhan Kelang Selangor Darul Ehsan Tel : 03-3176 7586 |
| Foton Mitsubishi Renault Subaru UD Truck |
Tan Chong Motor Assemblies Sdn Bhd (Plant 1) 249 Jalan Segambut 51700 Kuala Lumpur Tel : 03-6256 8888 |
| Nissan |
Tan Chong Motor Assemblies Sdn Bhd (Plant II) PT 15014, Mukim Serendah Locked Bag 201, 48000 Rawang Selangor Darul Ehsan Tel : 03-6099 0288 |
| Sinotruk |
TN Engineering Sdn Bhd Lot 88 Jalan Berjaya 9 Taman Perindustrian Berjaya 81200 Kempas Lama Johore Bahru Tel : 07-556 8212 |
| Volvo |
Volvo Car Manufacturing Malaysia Sdn Bhd Jalan Bicu 15/6 40000 Shah Alam Selangor Darul Ehsan Tel : 03-5519-1421 |
Source from: http://maa.org.my/statistics.html
SUMMARY OF PASSENGER & COMMERCIAL VEHICLES PRODUCED AND ASSEMBLED IN MALAYSIA FOR THE YEAR 2010 TO 2022
| Year | Passenger Cars | Commercial Vehicles | Total Vehicles |
|---|---|---|---|
| 2010 | 522,568 | 45,147 | 567,715 |
| 2011 | 488,261 | 45,254 | 533,515 |
| 2012 | 509,621 | 59,999 | 569,620 |
| 2013 | 543,892 | 57,515 | 601,407 |
| 2014 | 545,122 | 51,296 | 596,418 |
| 2015 | 563,883 | 50,781 | 614,664 |
| 2016 | 503,691 | 41,562 | 545,253 |
| 2017 | 459,558 | 40,081 | 499,639 |
| 2018 | 522,392 | 42,579 | 564,971 |
| 2019 | 534,115 | 37,517 | 571,632 |
| 2020 | 457,755 | 27,431 | 485,186 |
| 2021 | 446,431 | 35,220 | 481,651 |
| 2022 | 650,190 | 52,085 | 702,275 |
Source from: http://maa.org.my/statistics.html