The Ultimate Guide to Navigating IMMEX Regulations

How It Started:

Initially known as the maquiladora program, IMMEX was established in the 1960s to attract foreign investment, boost the border economy, and reduce unemployment. The program gained momentum with the 1994 North American Free Trade Agreement, and in 2006, the Mexican government streamlined compliance and rebranded it as IMMEX.

How It Works: 

The IMMEX program is a regulatory framework for export-focused manufacturing in Mexico. Foreign companies can defer taxes on imported raw materials and components if they export the finished products within a specified timeframe. Eligible companies must be legal entities in Mexico or export service providers, with an export value of US $500,000 annually or 10% of their sales in Mexico. They must export approved goods and use materials solely for their intended purposes.

To register for IMMEX there are several options:

1. Holding Company IMMEX: A Mexican entity with subsidiaries, registered under IMMEX.

2. Industrial IMMEX: For companies that import materials to produce export goods.

3. Services IMMEX: For service providers supporting export production.

4. Shelter IMMEX: A Mexican company takes on risk and liability, allowing foreign manufacturers to focus on production.

5. Third-Party IMMEX: Companies use registered third parties for manufacturing processes.

Benefits for Your Business.

• Lower Costs: IMMEX offers significant cost savings through reduced transport and labor costs, along with import tax and VAT exemptions.

• Lower Risk: Using the shelter model transfers legal risks and compliance burdens to the Mexican partner, letting companies concentrate on production.

• Faster Start-Up Times: Shelter companies, being established entities, enable quicker production start-ups, often in weeks rather than months.

• Local Expertise: Partnering with a shelter company provides access to local knowledge in language, culture, and law, ensuring smooth operations.

IMMEX enhances the Mexican economy by attracting foreign companies, creating jobs, and modernizing the manufacturing sector with modern technologies and knowledge.