ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Maquiladoras (also known as “twin plants") are manufacturing plants in Mexico with the parent company’s administration facility in the United States. Maquiladoras allow companies to capitalize on the less expensive labor force in Mexico and also receive the benefits of doing business in the United States.

Detailed explanation-2: -A maquiladora is a low-cost manufacturing operation in Mexico that manufactures goods for export to the United States or Canada. The manufacturing operation capitalizes on the cheap labor force in Mexico and the benefits of the free trade agreement between Mexico, Canada, and the United States.

Detailed explanation-3: -A maquiladora is a low-cost factory in Mexico that is owned by a foreign corporation. Facilities are usually located near the U.S.-Mexico border. These plants assemble products and export them back to the United States and other countries.

Detailed explanation-4: -Located in Mexico, maquiladoras are foreign-run assembly plants that import materials and machinery duty-free then export finished products to other countries.

Detailed explanation-5: -Baja California and Chihuahua make up most of the maquiladoras in the 6 border states. In addition to that, however, maquiladoras can be found throughout Mexico and many are located in Ciudad Juarez and Tijuana. It is common for some cities in Mexico to be paired with a U.S. city that is close in distance.