Mexico's IMMEX program, officially known as the Industria Manufacturera, Maquiladora y de Servicios de Exportación (Manufacturing, Maquiladora and Export Services Industry), is a government initiative that provides a number of benefits to foreign manufacturers who produce goods in Mexico for export. The program was created in 2006 to boost the Mexican economy and create jobs, and it has since become one of the most popular export programs in the world.
What is the IMMEX program?
The IMMEX program is a temporary import program that allows foreign manufacturers to import goods into Mexico tax-free, provided that the goods are used to produce goods for export. The program also covers the temporary import of machinery and equipment, as well as raw materials and intermediate goods, with certain restrictions.
Benefits of the IMMEX program
The IMMEX program offers a number of benefits to foreign manufacturers, including:
Tax and duty exemptions: The IMMEX program allows manufacturers to import goods into Mexico tax-free and with preferential treatment in duties, which can significantly reduce the cost of production.
Reduced logistics costs: The IMMEX program simplifies the customs process and reduces the time and paperwork required to import and export goods. This can lead to significant savings in logistics costs.
Access to a skilled workforce: Mexico has a large and growing pool of skilled workers, many of whom have experience in manufacturing.
Proximity to the US market: Mexico is located directly south of the United States, making it an ideal location for manufacturers who want to export goods to the US market.
Benefits of the IMMEX program for imports and exports to and from the US and Mexico
The IMMEX program offers a number of benefits for imports and exports to and from the US and Mexico, including:
Reduced tariffs: The US and Mexico have a free trade agreement (FTA) called the United States-Mexico-Canada Agreement (USMCA). The USMCA reduces or eliminates tariffs on most goods traded between the two countries.
Simplified customs process: The IMMEX program simplifies the customs process for importing and exporting goods between the US and Mexico. This can lead to significant savings in time and money.
Increased trade: The IMMEX program has helped to increase trade between the US and Mexico. In 2022, the US exported $357.5 billion worth of goods to Mexico, and Mexico exported $430.6 billion worth of goods to the US. This relationship has grown to the point that Mexico is now the United States number 1 trading partner.
Javid LLC can help you with the IMMEX program
Javid LLC is a maquiladora shelter operator that provides its clients with access to the IMMEX program. Javid holds the IMMEX certification that extends to all operations and facilities under their shelter program, making it easy for a manufacturer to set up shop in Mexico as fast as 90 days.
Conclusion
The IMMEX program is a valuable tool for foreign manufacturers who want to produce goods in Mexico for export. The program offers a number of benefits, including tax and duty exemptions, reduced logistics costs, access to a skilled workforce, and proximity to the US market.
If you are considering manufacturing goods in Mexico, contact Javid LLC to learn more about how the IMMEX program within Javid’s shelter can help you.