NUMAJIRI USA

The current trend in the Maquiladora Manufacturing industry is the concentration on lead-time and cost reduction of supply chain logistics. Maquiladora Manufacturers have been demanding better, faster, and inexpensively priced supply chain logistics to their Maquiladora Suppliers.

In order for Maquiladora Suppliers to meet the demands by Maquiladora Manufacturers, they would have to install a local presence in the United States or Mexico consisting of a manufacturing plant or warehouse. This option is neither cost effective nor realistic.

NUMAJIRI USA, INC. and NUMAJIRI DE MEXICO S.A. DE C.V. were established to fulfill the needs of the Mquiladora Industry for a fully bonded logistical, warehousing, and coordination service in San Diego, California, USA and Tijuana B.C. California Mexico Clients of NUMAJIRI DE Mexico S.A. DE C.V. 'S Service Maquiladora warehousing services benefit from duty free storage and transport and Just-in-Time delivery.

Utilizing a service Maquiladora warehouse such as NUMAJIRI DE Mexico S.A DE C.V., negates the necessity of establishing a manufacturing plant or warehouse while reducing supply chain costs and drastic shortening lead-time.

What dose the word Maquiladora mean?

The term maquiladora(mah-kee'-lah-do-rah) has a variety of explanations for its origin, ranging from Arabic, to Spanish, to Latin derivatives. The explanation most frequently accepted refers back to Colonial Mexico. At that time, when the miller ground someone else's grain, he retained a portion of the finished product in return for his service. The finished product was called maquila and from this term evolved the word maquiladora, the place where this process was conducted. As the Mexican industry, which this word represents, has evolved, so too has the definition of the word.

Current use of the term maquiladora defines a Mexican company that assembles, manufactures, processes, and/or repairs materials that are imported to Mexico on a temporary basis for eventual re-exportation (Fernandez, 1987). A variety of other terms are used interchangeably, although not always accurately, to describe the maquiladora industry. Three of the most commonly used terms are (1) twin plant, (2) in-bond industry, and production sharing.

1. Twin Plant

This term surfaced in the 1960's when many U.S. firms were establishing two plants under one management, one on each side of border. The U.S. plant handled the capital-intensive operations while the Mexican side performed the labor-intensive processes. Although the term is still accepted, it is often used inaccurately today, as the majority of maquiladoras are now supplied by plants quite distant from the border (Grunwald and Flamm, 1985).

2. In-bond Industry

Although the products shipped to the maquiladora pay no tariffs on entry into Mexico, their eventual re-export is guaranteed by posting a bond with the Mexico customs bureau. Thus, the products arrive "in-bond"

3. Benefit of MAQUILADORA

Possibility of temporary import of machinery and equipment without paying import duty.

Possibility of temporary import of production materials and parts without paying import duty.

Cheap labor in Mexico. It is 1/10 compared to in U.S. (Minimum wage comparison)

It is possible to live in U.S. and work in Mexico, due to the easy living atmosphere and ease crossing border.

100% foreign capital investment.

4. What Kinds of Companies Operate Maquiladoras?

Of the nearly 1,500 in-bond plants, 1,000 are either totally or majority owned by U.S.-based companies. These companies range from very large Fortune 500 companies to much smaller firms. Some of the well known corporations include General Electric, RCA, American Hospital Supply, Rock-well international, IBM, Hughes Aircraft, Black & Decker, and many one.

In addition to the U.S. and Mexican firms operating maquiladoras, subsidiaries of companies headquartered in Japan, Sweden, France, Canada, Taiwan, Hong Kong, and South Korea are successfully operating maquiladoras to.

The number of well-known Japanese companies that have set up in-bond plants, such as Kyocera, Sony, Sanyo, Matsushita, Canon, Casio, Toshiba, and Pioneer, continues to increase. More recently, Korean companies, such as Samsung and Lucky-Gold-star, have also established maquiladoras. All these companies are aware of the need to maintain their competitive edge in the world marketplace. They recognize the benefits of Mexico's maquiladora program as well as the favorable U.S. tariff provisions.

Those advantages combined with Mexico's inexpensive and abundant labor, reduced energy costs, and geographical proximity to the United States have prompted these companies to establish a maquiladora in Mexico.

5. Products Manufactured

They manufacture over 10,000,000 T.V & Display in one year and this number amounts to 30% of T.V.Display, which are manufactured in the whole world.

NUMAJIRI USA, INC.				NUMAJIRI DE MEXICO S.A. DE C.V.
9485 CUSTOMHOUSE PLAZA				AV, SAN QUINTIN 9160
SUITE G-I, SAN DIEGO				PARQUE INDUSTRIAL PACIFICO
CA 92154				TIJUANA, B.C. MEXICO
TEL:619-661-0375				TEL:66-26-6400
FAX:619-661-9467				FAX:66-60-0569