The IMMEX (formerly Maquiladora) program in Mexico offers favorable tax benefits to companies manufacturing in Mexico—especially for companies who primarily manufacture products that will be exported out of Mexico.
First, a definition: a maquiladora is a factory in Mexico that’s owned and run by a foreign company. That company manufactures products in Mexico and exports them to other countries. One of the main cost-saving benefits is that the company is able to exempt the 16% Value Added Tax (VAT) when importing raw goods, materials, and equipment for manufacturing processes. They also will not pay duties when exporting finished goods to the US and Canada markets if the finished goods are classified as “Made in Mexico.”
While there are numerous benefits to participating, the IMMEX / Maquiladora program comes with many strict regulations and requirements that change occasionally. It’s important for companies operating under the program to maintain detailed records and meticulously track inventory. For example, under the IMMEX program, a company can import goods and raw materials temporarily and must either export the goods (as a finished product) within a certain time frame, transfer them to another IMMEX company, or change their status from “temporary” to “definitive.” It’s challenging for many businesses to keep up with these requirements on their own.
By working with IVEMSA, you can use maquiladora licenses that we already have in place, or we can create and manage a new license for you. Our team will handle all the logistics so you can manufacture in Mexico with all of the advantages and none of the hassle. We’ll take care of:
When manufacturing in Mexico, you can choose to operate under IVEMSA's shelter to reduce risk, or we can create a new legal entity for you and obtain your IMMEX / Maquiladora license. If you select the latter option, you will be operating as a standalone entity.
You’ll be running your manufacturing operations under a “shelter,” an entity technically owned by IVEMSA where we are responsible for compliance and the administrative functions. Although you’ll have full control over your manufacturing processes, you’ll operate under our business license, and IVEMSA will handle all the set-up and administrative processes.
If you prefer to set up your own Mexican corporation, IVEMSA can create this new entity for your business and help you obtain the IMMEX / Maquiladora permits and other required permits and registration you will need to operate. We can also provide ongoing management services (HR, accounting, etc.) to help your operations run smoothly.
Download our free guide for important facts on Mexico manufacturing, like these:
Contact us today and see how we can help you take advantage of all the benefits of manufacturing in Mexico - without the hassle.