Is Perodua CKD or CBU? How to know if my car is CKD or CBU?

【PCauto】Perodua is a highly regarded automotive brand in Malaysia. However, many consumers remain uncertain as to whether Perodua models fall under CBU (Completely Built-Up, meaning fully imported vehicles) or CKD (Completely Knocked Down, meaning assembled from a complete set of parts). Such confusion mainly stems from Perodua’s complex production and sales model, as well as the possible variations in production methods for different models at different times.

Taking Axia as an example, it is one of Perodua’s best-selling models. In Malaysia, Axia is a CKD model. Its components are sourced from various suppliers before being shipped to Perodua’s factory in Rawang for assembly.

Similarly, Bezza, a compact sedan, is also assembled at the Rawang plant using the CKD process. As for Myvi, regarded as Perodua’s flagship model, is produced through CKD assembly in the local facility, a process that has bolstered the development of supply chains within Malaysia’s automotive industry. Aruz SUV is likewise assembled locally at Perodua’s factory using the CKD method.

So, how can you determine whether your Perodua is a CBU or a CKD model? The most straightforward method is to check the vehicle identification number (VIN). For Perodua vehicles produced locally, the first three characters of the VIN will be “MWM,” which is the code for Malaysian Motor Works, indicating that the vehicle was assembled in Malaysia; if different letters appear, it is likely a CBU import. For instance, “J” would represent Japan, German vehicles often start with “W,” and Korean vehicles frequently begin with “K.”

In addition, you can review the vehicle’s documentation, such as its import declaration. If there is an import declaration showing the vehicle was imported directly from abroad, then it is a CBU model; if the documentation indicates local assembly information with no import declaration, then it is a CKD model. Moreover, certain configuration details can also provide clues, as CKD-assembled vehicles might undergo specific configuration adjustments based on local market needs and regulations, resulting in subtle differences compared to the original CBU imported models.

When it comes to pricing, there is a noticeable difference between CBU and CKD models. Generally, CBU vehicles, being fully imported, incur higher import duties and taxes. For example, vehicles imported from non-ASEAN countries may be subject to a 30% import duty, up to a 105% excise duty, and a 10% sales tax. Even CBU vehicles from ASEAN countries, although exempt from import duties, still see a price increase due to excise and other taxes.

On the other hand, CKD models enjoy government incentives and excise tax exemptions due to their local assembly. When the components are imported, certain parts may benefit from lower tax rates, and the local assembly process promotes job creation and economic development. As a result, the overall cost is reduced, and CKD models can be offered at a more affordable price compared to CBU models. For instance, if a model originally imported as a CBU is switched to local CKD assembly, its price could drop by approximately 10%–20%, providing tangible cost advantages for consumers and making cars more attainable for a larger number of Malaysians.