Labor and operational cost savings
Maquiladoras can potentially generate savings in labor and operating costs for injection molding companies, particularly in Mexico.
Mexican wages are significantly lower than those in the United States. This allows facilities to increase their volume of activity and adopt shift production without increasing labor costs.
In addition, Mexico benefits from a stable market of human resources, which are pre-trained in plastics manufacturing due to the country's advanced manufacturing industry.
Experience typically applies to production, as many employees have worked in other industries. These different levels of experience reduce the need for training when a company has identified the need to transition from one product to another.
Business and tax benefits
The maquiladora model offers considerable commercial and tax advantages, particularly for Mexican manufacturers in the injection molding industry.
There are no import duties for raw materials, components and special equipment for production. Companies that use high-quality plastics and tools from the international market can import these raw materials into Mexico without paying high customs duties. This import advantage reduces initial costs. Maquiladoras can devote their resources to improving their production methods.
In addition to import liberalization, which allows the assembly of maquiladora products, companies benefit from Mexico's many free trade agreements, such as the USMCA. This agreement allows maquiladora products to be exported to the United States and Canada duty-free. It provides Mexican injection molding companies with privileged access to North American markets.
By avoiding these trade barriers, injection molding maquiladoras job database can provide affordable services while still running their manufacturing processes efficiently.
Most maquiladoras are located near the U.S.-Mexico border and around cities such as Tijuana, Mexicali and Ciudad Juarez.
These locations allow them to benefit from favorable supply chains and transportation costs. These locations give injection molding companies a significant advantage over competitors whose facilities are further from the U.S. market. They eliminate or significantly reduce lead times and transportation costs.
Short transit time allows companies to adapt to production lead times and changing market conditions of U.S. and Canadian buyers.
In addition, maquiladoras benefit from a simpler supply chain when working in border cities. They allow all shipments to be planned in border areas.
Being conveniently located allows injection molding companies to quickly ship products to their destinations using major U.S. trade routes.
Streamlined logistics and proximity to the American market
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