Production Line Design and Fabricate Factory: How to Design a CKD Automotive Production Line Suitable for the Client？

Designing a CKD automotive production line tailored to a client’s needs is a systematic project that requires comprehensive consideration of technical, commercial, and policy-related factors. Below are the key steps and considerations:

1. In-Depth Needs Analysis

  1. Define Client Positioning
  • Analyze target market size and consumer preferences
  • Confirm product positioning (economy/luxury/special-purpose vehicles)
  • Assess policy environment (localization rate requirements/tax policies/environmental regulations)
  1. Production Capacity Planning
  • Initial construction scale (recommended starting point: 50,000 units/year)
  • Reserve capacity for expansion (recommended: 30% additional space)
  • Develop a phased implementation roadmap

2. Technical Solution Design

  1. Optimized Factory Layout
  • Adopt flexible production line design (supporting multi-platform co-production)
  • Logistics aisle width ≥ 8 meters (ensuring smooth parts transportation)
  • Reserve smart storage area (recommended: 15%-20% of total area)
  1. Process Planning
  • Welding process: Automation rate between 60%-80%
  • Painting workshop: Must comply with local environmental standards
  • Final assembly line: Takt time designed at 90-120 seconds/unit

3. Supply Chain Localization Strategy

  1. Phased Implementation Plan
  • Phase 1 (1-2 years): Localization rate target of 30%
  • Phase 2 (3-5 years): Increase localization rate to 50%+
  • Establish a local supplier development system
  1. Inventory Management
  • Core components: Maintain 45 days of safety stock
  • General parts: Implement JIT delivery model
  • Establish a supply chain early warning mechanism

4. Quality Control System

  1. Standardization Development
  • Transfer parent plant quality standards
  • Establish local testing laboratory
  • Set up 100% inspection points for key processes
  1. Personnel Training
  • Overseas training for core positions (minimum 3 months)
  • Establish a four-tier skill certification system
  • Conduct regular quality competitions

5. Digital Management System

  1. Essential System Configuration
  • Manufacturing Execution System (MES)
  • Warehouse Management System (WMS)
  • Supplier collaboration platform
  1. Data Application
  • Real-time production data monitoring
  • Automatic OEE calculation for equipment
  • Quality data traceability (supporting 15-year archiving)

6. Economic Optimization

  1. Cost Control
  • Keep logistics costs within 8% of vehicle cost
  • Energy consumption indicators 15% below industry benchmark
  • Labor efficiency reaching 85% of parent plant level
  1. Policy Utilization
  • Maximize tax incentives
  • Apply for government industry support funds
  • Participate in local R&D subsidy programs

Implementation Recommendations:

  1. Prioritize regions with an existing automotive industry base
  2. Implement in three phases (18-month intervals between phases)
  3. Establish cross-cultural management teams
  4. Reserve 10% of total investment as contingency funds

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