The IMMEX Program, also known as the Maquiladora Program, is a strategic instrument created by the Mexican government to encourage foreign investment and exports. It allows foreign companies to import raw materials, components, and machinery into Mexico on a temporary basis without paying the general import tax (duties) or Value Added Tax (VAT/IVA).
How the Program Operates:
To benefit from IMMEX, a company must export at least 10% of its annual sales or $500,000 USD worth of goods. The goods imported under this program can remain in Mexico for a specific period (usually 18 to 36 months) while they undergo transformation, repair, or logistics processing.
Strategic Logistics Benefits:
1. VAT Exemption: For high-volume e-commerce, paying 16% VAT at the border can cripple cash flow. IMMEX, combined with a VAT/IEPS certification, removes this burden entirely.
2. Consolidated Logistics: Companies can bring bulk shipments into Mexico under IMMEX, perform value-added services (like kitting, labeling, or quality control), and then export individual orders to the US.
3. Lower Operational Costs: By utilizing Mexico’s labor force and the IMMEX tax benefits, companies can reduce their overall “cost to serve” by 30-50% compared to US-based operations.
Lateral’s Role: Operating under IMMEX regulations requires strict inventory control and reporting to the Mexican authorities. Lateral Fulfillment manages this complexity for you, ensuring that your inventory is tracked from the moment it enters Mexico until it is exported to your final customer in the US.
Optimize your cash flow by leveraging the IMMEX program. We help you import, process, and export without the burden of upfront VAT payments.
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