Why CKD for Truck and Trailer?
Completely Knocked Down means that a product is delivered in parts and assembled at the destination.
Usually, it can be cheaper to export a truck or trailer broken down to its parts to another country. The machines needed for the reassembling can be sent as well. This way the trader can avoid high tariffs. Additionally, some countries have laws that a certain part of vehicles must be a national product. In these cases the CKD shipment and assembly in the importing country also makes sense.
Apart from CKD there is also Semi Knocked Down (SKD), Medium Knocked Down (MKD), and Partly Knocked Down (PKD).