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Maquiladora Association A.C. Maquiladora Overview 2014. Maquiladora Industry. The Border Industrialization Program, enacted in 1965 by the Mexican government, gave birth to the maquiladora industry. (today IMMEX). The main objective was reduction of high
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Maquiladora Association A.C. Maquiladora Overview 2014
Maquiladora Industry • The Border Industrialization Program, enacted in • 1965 by the Mexican government, gave birth to the • maquiladora industry. (today IMMEX). • The main objective was reduction of high • unemployment rates in communities along the • border following the abolition of the Bracero farm • labor program by the U.S.
Maquiladora Industry • Maquiladora Industry was born in Ciudad Juarez in 1965 • Chihuahua is the largest employer in Mexico • (26% of the country) • The biggest bi national metropolitan area of Mexico and • USA border. • The seventh largest manufacturer center in North America.
Infrastructure Ciudad Juarez offers a solid infrastructure with remarkable quality at a competitive cost and through reliability. World Class Infrastructure: Ground Transportation Railroad Network Telecommunications and flights Ports of Entry
Infrastructure Ground Transportation (Highways)
Infrastructure Railroad Network 3 Service Providers: Union Pacific, Burlington-Santa Fe and Ferromex
Infrastructure Telecommunications and Flights Access to 2 international Airports Cd. Juarez – El Paso
Infrastructure Regional Ports of Entry / Border Crossings (Annual Totals 2012) 789,283 Trucks
BUSINESS ENVIRONMENT
Business Environment • Ciudad Juarez is the logical option to many companies due to: • Outstanding quality of life • World-class infrastructure • Highly qualified labor force • Diversified professional services
Business Environment • El Paso del Norte Region • + 50,000 jobs in El Paso tied to Mexico • 3,400 executives, engineers, live in El Paso / work in Juárez • +14,000 direct jobs in El Paso related to maquila • +30,000 indirect jobs in El Paso related to maquila • $ 8 billion annual purchases creates other opportunities
Business Environment Maquiladoras established in Juarez (by country of origen)
Automotive Automotive Leather
IMMEX Plants
IMMEX Plants MEXICO State of CHIHUAHUA CD. JUAREZ 5,076 493 321 Source: INEGI Source: INEGI
New IMMEX Permits Source: Secretary of Economy
IMMEX Workforce
Juarez Workforce Source: Social Security
IMMEX Workforce MEXICO State of CHIHUAHUA CD. JUAREZ 2,172,548 394,847 251,809 Source: INEGI / IMSS Source: INEGI / Social Security as of March 2012
IMMEX Workforce in Juarez Source: Social Security
Job Growth Fuerza Laboral Juarez Growth Rate
Foreign Trade Maquiladora in Cd. Juárez: Imports 23.5 Billion USD Exports 48.1 Billion USD
Business Environment Foreign Direct Investment in Chihuahua
TheFuture Mexico will become the seventh largest economy in the world in 2020 and contribute 7.8% of Global GDP, more than Russia and India.Jim O'Neill. (Director of Investment Funds at Goldman Sachs
Facts Mexico Maquiladora industry proven platform to build highly-competitive industrial products U.S. and Mexico Natural trade partners, to compete as a region in global competition.
Facts It is no longer U.S. versus Mexico. It is Mexico and U.S. competing together as partners.
Harmonized and Business FriendlyRegulatoryFrame Mutual Recognition Participating in CertificationPrograms TrustedTraderenabler of Facilitation RigthBorder and LogisticsInfrastructure and Securiy TALENT DEVELOPMENT DEVELOPMENT OF SUPPLY CHAIN PROMOTE INVESTMENT COMPETITIVE EXPORT MANUFACTURING INDUSTRY IN MEXICO BE THE MORE EFFICIENT BODER IN THE WORLD OPTIMAZING CROSS BORDERS MEXICO AND THE UNITED STAES ARE TO BE SEEN AS A WHOLE REGION WORKING TOGHETHER IS THE ONLY PATH TO ACHIEVE RESULTS
Optimizing Cross Border Trade
Maquiladora Association A.C. Maquiladora Overview 2014