maquiladoras

(redirected from maquiladora)
Also found in: Dictionary, Thesaurus, Financial, Wikipedia.
Related to maquiladora: NAFTA

maquiladoras

(mäkē'lädō`räs), Mexican assembly plants that manufacture finished goods for export to the United States. The maquiladoras are generally owned by non-Mexican corporations. They take advantage of plentiful lower-cost Mexican labor, advantageous tariff regulations (lessened somewhat as a result of the North American Free Trade Agreement), and close proximity to U.S. markets to produce such items as home appliances and automobiles. Starting on a small scale in the mid-1960s, the maquiladoras were initially almost entirely located in the N border region of Mexico. They grew dramatically after Mexico substantially revised its economic regulations concerning foreign investment in the early 1980s. From 1983 to 1990, the maquiladora industry grew at approximately 20% annually, and it grew even more sharply with the U.S. economic boom in the late 1990s; it is one of Mexico's primary sources of foreign exchange. The maquiladoras stimulated rapid population migration to the border region, particularly at its eastern and western extremities (Matamoros/Brownsville and Tijuana/San Diego). After 2000 the number of plants and workers they employed declined; in 2002 some 3,600 plants employed approximately 960,000 workers. Beginning in the late 1990s an increasing number of the plants were located in the Mexican heartland, and many plants now use automation extensively.
References in periodicals archive ?
The factories located along the US-Mexico border, commonly referred to as maquiladoras, are an excellent market for the Tecochill gas cooling product line, said Arturo Cantu, General Manager of Tecogen s local representative, Calfrost de Mexico.
The Directory of the Maquiladora Industry of Baja California (2010) records that 65% of the industry of the electronics sector at state level is located in Tijuana.
Fierro noted, “Our maquiladoras can now generate their own 'pedimentos de importacion,' that's customs declarations in English.
The federal government pays one third of salaries, the maquiladora another third, and the employee loses the final third through days not worked.
The Mexican maquiladora or production sharing program was begun in 1965 under the Border Industrialization Program, developed after the United States ended the Bracero program.
The first part briefly describes the research context of Mexico's maquiladora sector in order to identify tendencies and gaps in the literature.
While it will continue to have the advantage of proximity to the United States, which will ensure the success of a number of manufacturing companies, the maquiladora industry will have difficulty regaining the strength and prosperity it enjoyed in the late 1990s.
Mexico's maquiladora industry is now urging the Fox government to create incentives that will benefit China and other countries with maquiladora operations in Mexico.
The reforms aim to consolidate all existing export promotion programs within the Maquiladora Decree--Temporary Import Program for the Production of Export Products (PITEX), Foreign Trade Companies (ECEX) and Highly Exporting companies (ALTEX)--in order to streamline bureaucratic requirements and to enhance flexibility, productivity and competitiveness.
Maquiladora activity began to pick up during the second quarter of 2003 and growth in excess of 25 percent year-on-year is likely in the state of Jalisco, which is the hub of activity for maquiladoras producing household electronics products and computer equipment.
Mexico's Maquiladora system, a darling of the 1990s and sometimes referred to as a template for special economic zone programs in other emerging economies, suffered a double whammy over the past two years.
Dominick Lalama, owner of Maquiladora D&M in Managua, has joined the American Apparel Producers Network (AAPN).