The maquiladora

The idea was formulated in response to rising unemployment and growing global demand for low-cost production. There are now more than maquiladora plants operating in Tijuana, providing more thanjobs. Maquiladora Benefits Maquiladoras allow for one plant to perform labor intensive processes and another plant to perform capital intensive processes. The following are other advantages of the maquiladora industry by country:

The maquiladora

See Article History Alternative Title: The vast majority of maquiladoras are owned and operated by Mexican, Asian, and American companies. Maquiladoras originated in Mexico in the s, with many of the plants located in the border towns of northern Mexico.

In time, other countries started taking advantage of this system.


Many Japanese companies were producing goods through the maquiladora system by the s, and other Asian manufacturers soon followed. By the end of the 20th century, a number of Latin American and Asian countries had instituted maquiladoras for the manufacture of foreign goods.

In the mid- to late s, however, several maquiladoras in Honduras, Mexico, and the Dominican Republic were criticized for substandard working conditions and excessively long workweeks up to 75 hours, without overtime compensation as well as for contributing to environmental pollution.

The majority of maquiladora workers in Latin America are women, and in some areas children are also employed. Most of the plants are not unionized. This led to new American-owned assembly plants in Mexico and greater trade between the two countries.

These maquiladoras make it possible for American companies to produce lower-priced goods because of the lower labour costs, but they can also diminish job opportunities for American workers. The latter was a hotly debated issue in the United States in the s and early s.

Learn More in these related Britannica articles:El Paso is a key maquiladora distribution center location due to the extensive and deep commercial linkages that it shares with its cross border economic partner, Ciudad Juarez.

maquiladora - an assembly plant in Mexico (near the United States border); parts are shipped into Mexico and the finished product is shipped back across the border assembly plant - a factory where manufactured parts are assembled into a finished product.

Maquiladora / IMMEX. Integration Point Maquiladora / IMMEX assists with country of origin requirements based on First in First Out (FIFO) or primeras entradas primeras salidas (PEPS) inventory management, allowing companies to differentiate between domestic and foreign goods, utilize bonded warehousing, sub-maquilas, virtual operations, and equipment processing.

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The maquiladora
Maquiladora | Definition of Maquiladora by Merriam-Webster