Also known as: Maquila, Assembly plant, Export manufacturing
A manufacturing facility in Mexico that temporarily imports raw materials, components, and machinery for processing or assembly and re-exports the finished product, generally operating under the IMMEX program.
A maquiladora is an industrial plant located in Mexico that temporarily imports raw materials, components, parts, and machinery from abroad for processing, transformation, or assembly, and subsequently re-exports the finished or semi-finished products. Most operate under the IMMEX program (Manufacturing, Maquiladora, and Export Services Industry), which allows them to import inputs without paying tariffs or VAT.
The maquiladora program was established in 1965 as a scheme to generate employment along the northern border. Today, the maquiladora industry is one of the pillars of the Mexican economy, generating over 3 million direct jobs and representing more than 60% of the country's manufacturing exports.
The maquiladora industry has become significantly more sophisticated since its origins as simple assembly. Today, many maquiladoras perform advanced manufacturing, design, engineering, and R&D, adding greater value to products and generating higher-skilled employment.
IMMEX (Maquiladora Program)
Mexican government program that allows temporary duty-free import of goods for manufacturing, assembly, or repair for export.
TradeTemporary Import
Regime allowing foreign goods to enter for a limited period without duty payment, with the obligation to return them abroad.
TradeDefinitive Export
Customs regime allowing goods to leave the country to remain abroad indefinitely.
TradeUSMCA (T-MEC)
Trade agreement between the United States, Mexico, and Canada that replaced NAFTA in July 2020, governing trade, investment, and intellectual property rules.