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Maquiladora - factories built by U.S. companies in Mexico near the U.S. border to take advantage of much lower labor costs in Mexico. Let us know if you have suggestions to improve this article (requires login). Accessed June 22, 2021. And employment contracts are often written in favor of plant owners rather than workers, giving virtually no protection to workers' rights. information described below to the designated agent listed below. [9][24] Female applicants are made to take pregnancy tests and are only hired if not pregnant, and women that become pregnant while working at maquila factories are given more strenuous tasks and forced to work unpaid overtime to influence them to resign. And the countries with their manufacturing plants witness significant growth in employment and economy. Term. These factories can import raw materials and machinery on a duty-free and tariff-free basis. Mexican import duties were waived and these factories were able to take advantage of preferential duty rates for certain products. This new program increased the benefits, leading to a further reduction in costs, increased operational efficiencies, and the modernization of the establishment process. Maquiladoras are regions of northern Mexico where American companies conduct a great deal of their business, particularly manufacturing. -Spatial separation between two points on the Earth's surface measured by some accepted standard unit such as miles or kilometers (for widely separated locations), feet or meters (for more closely spaced points) -Ex. Track your scores, create tests, and take your learning to the next level! Secondary industry. A short definition for Human Geography. 0000001194 00000 n
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The term maquiladora refers to a factory or manufacturing plant in Mexico. This is because of the trade relationship that exists between the U.S. and Mexico under the U.S.-Mexico-Canada Agreement (USMCA). Theory suggesting companies building industrial plants need to consider the source of raw materials and the market for the product. For best results enter two or more search terms. maquiladora. A maquiladora (Spanish:[makilaoa]), or maquila (IPA:[makila]), is a word that refers to factories that are largely duty free and tariff-free. 9-705-037, rev. They provide a tax-shelter for wealthy businessmen from the developing world, They provide protection against foreign competition, They are designed to protect the environment of the local region, They allow a country to develop independently of external manipulation, They offer incentives for foreign investment. They provide incentives for foreign companies to conduct their business in developing regions. Definition. Offshore centers of this kind are often controversial as a result of these practices. Most of the plants are not unionized. [21] In some maquiladoras, workers are cut and their responsibilities are given to a single worker. Also, for any Mexican company ready to take legal risks and liabilities from IMMEX-registered maquila plants. Use these flashcards to help memorize information. In time, other countries started taking advantage of this system. either the copyright owner or a person authorized to act on their behalf. Definition of maquiladora : a foreign-owned factory in Mexico at which imported parts are assembled by lower-paid workers into products for export. Mexico, US, and Canada share an economic bond through the NAFTA (North American Free Trade Agreement). Women looked for work in factories because they could get jobs with few credentials and receive on the job training. Morning Report: Why COVID Is Coursing Through Local Jails. Which of these countries has become famous for ecotourism? GDP and property tax rates are not necessarily impacted by all three factors. Federal Reserve Bank of Dallas. While some of the companies that have agreements with the maquiladoras have been . Comparison Activity: Population Density and Climate. If you forget it there is no way for StudyStack This bond allows for all three countries to have free trade of products across the borders. With the help of the community we can continue to Location factors related to the costs of factors of production inside the plant, such as land, labor, and capital. The United Nations Millennium Development Goals were passed at a 2000 summit of the United Nations. Starting a maquiladora? Tetakawi. 198590; Mexican Spanish, perhaps
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