FAQs

By means of a diagnosis that includes verifying competitive market costs, flexibility, and expediency of your supply chain.

Taking actions such as:

• Implementing supply systems like VMI and other pull system approaches.
• Implementing Kanban systems to replenish parts in and outside the production line.
• Reducing your suppliers' delivery lead times.

Implementing pull systems with a 3PL service provider, where inventory is controlled by your supplier until received at your plant.

Absolute control of your “A” parts (PO pending placement, Cyclic Count, and Order Size).

• You can concentrate on your main business concerns.
• It reduces your inventory costs.
• It gives you added flexibility.
• You can react faster to shifts in demand.
• Your surplus/obsolete stock is a more visible.

Some alternatives would be:

• Develop suppliers with shorter delivery times.
• Identify which of these products would be better handled as "Make to Order", "Make to Stock" or using the "Pull System".

In situations such as:

• Sporadic rework.
• Lack of skilled labor to do the job.
• When the cost of in-company rework is higher than outsourcing.

• For the infrequent ones.
• For those with a low profit margin.
• When you don’t have the skilled labor required to do the job.

The main benefits are:

• Duty-free imported inputs for a period of 18 months, and fixed assets used to produce the export goods for the complete duration of the program authorized (IMMEX-Maquila) by the Mexican government.
• Exemption of the General Tax on Imports from U.S. countervailing taxes (Article 104 of the Customs Law).
• Exemption of the Added Value Tax (Article 25, Added Value Tax Law).
• Maquiladoras (in-bond assembly plants) may gain fiscal benefits in Income Tax and Single Rate Company Tax (Federal Gazette, published by the Mexican Treasury on 11/5/2007).

If a company is reliable and licensed as a Certified Company (RCGMCE 2.8.1 and 2.8.3), the following benefits are available under Article 6 in the Decree on the Mexican Exports Manufacturing Industry, IMMEX:

• Applying for dispatch of the goods by Customs at any customs office.
• Handle the customs dispatch of exports from your own address.
• Exempted inscription in the List of Specific Sectors Importers, which only applies to goods that are hazardous to human health or national defense (chemicals, radioactive and nuclear products, chemical precursors, and essential chemicals).
• Disposing of the manufactured goods rejected by Quality Control as waste or obsolete given technological advancement.
• Revision of the data on the customs documents; reduced penalties, and spontaneously fulfillment of your obligations derived from the customs dispatch.
• Reimbursement of Added Value Tax, if your tax returns show a credit balance, within five business days.
• Eliminating the requirement of noting on the report of processes filed by other companies the date and number of temporary import application and the specifications of the manufacturing process for which the goods are intended.

The Economy Department may authorize foreign residents, whether individuals or entities (Fraction II, Article 9, Federal Fiscal Code), who pay their taxes under Title II in the income Tax Law, LISR (Article 3 in the IMMEX Decree).

Meeting the requirements and filing the documents provided under Article 11 in the IMMEX Decree, from which we highlight the following:

• Sign a commitment to sell 500,000 USD in exports, or bill exports for at least 10% of your total billings.
• Having an Advanced Electronic Signature Certificate (FIEL) or an active RFC (taxpayer code no.) and a fiscal address where the operations under the program will take place, also registered and active in the Federal Taxpayers Registry (RFC).

The responsibilities of the Mexican customs broker are:

• Corroborating the veracity and the accuracy of the data and information on the applications that show the information on the goods to be imported.
• Determining the customs bracket for the exported goods, whether temporary or definitive.
• Checking that the goods are correctly classified regarding tariffs.
• Checking that the importer provides the required documents for dispatch and meets all the non-tariff regulations and restrictions.

The benefits of warehousing service under the IMMEX program are:

• Companies that do not wish to settle in Mexico may nevertheless have a presence here.
• General Import Duties on non-original goods are not payable, even for goods from the NAFTA (USA, México or Canada) region. Payment to the client is deferred, and this may apply to PROSEC or Rule Eight at the time of receiving the goods.
• Payment of IVA tax is exempted when goods are transferred to your IMMEX client.
• It's the best option to reduce the delivery lead time of a supplier to its clients.
• Your inventory costs might be reduced.

In the event of In-bond warehousing, the benefits are:

• Goods may be removed from customs without having paid the duties.
• The goods are kept in a safer place to prevent damage or theft.
• Manufacturers may have more raw materials in stock and take/pay them as they are used, within limits (not more than one year).

We understand as virtual operations those sales that have not yet left Mexican territory, and we may consider they relate to returning temporarily imported goods or exports, in the case of domestic suppliers with foreign sales that may be billed at 0% IVA (added value) tax.

To perform virtual operations, your company must be a member of the IMMEX Program, and meet rules 5.2.5, 5.2.6.5.2.7 and 5.2.8 in the Law on Foreign Trade if and when you file consolidated import applications.

Under article 112 of the Customs Law, IMMEX members may transfer temporarily imported goods as members of the program to another IMMEX member company.