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Maquiladorization as a Global Process

  • Jeffrey A. Hart
Part of the International Political Economy Series book series (IPES)

Abstract

A maquiladora is an assembly plant set up under the Border Industrialization Program instituted by the Mexican government in 1965 to provide employment for Mexican citizens in the cities along the U.S. border. An immediate reason for the government’s action was the termination of the bracero (guest worker) program by the United States that left many Mexican workers idle in these cities. The new program allowed duty free importation into Mexico of production equipment and materials and allowed 100 per cent foreign ownership of maquiladoras’ (Mobley, 1990, p. x). The United States supported the Mexican border policy by adopting legislation in the 1960s to introduce items 806.30 and 807.00 of the Tariff Schedules of the United States.2 These special trade provisions permit importation of products assembled abroad in export processing zones with the appropriate tariffs applied only to the added value associated with assembly (and not the total value of the products).

Keywords

Foreign Firm Wage Differential Debt Crisis Physical Infrastructure North American Free Trade Agreement 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Palgrave Macmillan, a division of Macmillan Publishers Limited 1996

Authors and Affiliations

  • Jeffrey A. Hart

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