What is a “maquiladora”?
A. A maquiladora company is a Mexican corporation operating under a special customs treatment, whereby it may temporarily import into Mexico machinery, equipment, replacement parts, raw materials, and, in general, everything needed to carry out its production activities. It is legally possible to locate a Maquiladora anywhere throughout the United Mexican States, except in Mexico City and its suburbs. This restriction however, is not applicable to already existing companies that intend to perform maquila activities with their idle production capability. In general terms, Manufacturing maquiladoras export everything they produce. Nevertheless, maquiladoras may, under certain conditions, sell some of their products in the Mexican market, provided that a permit for such sales is obtained from the Mexican authorities. Service maquiladoras are Mexican Corporations that import into Mexico raw materials and supplies for the purpose of providing warehousing or distribution services.
A maquila or maquiladora refers to a special Mexican industrial program which allows under a unique customs allowance, mostly non-Mexican operations to set up manufacturing or assembly plants in Mexico that can temporarily bring duty free raw materials, equipment machinery and replacement parts. It also allows 100% foreign ownership of any maquiladora operation.
