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February 3, 2025
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The IMMEX (Industria Manufacturera, Maquiladora y de Servicios de Exportación) program, established in 2006 by the Mexican government, was designed to promote foreign investment, boost manufacturing, and increase exports from Mexico. It allows companies to temporarily import goods duty-free into Mexico – if these goods are used in manufacturing or processing for export.

By deferring import duties and taxes, IMMEX incentivizes businesses to establish operations in Mexico, particularly within the maquiladora industry. IMMEX has become a cornerstone of Mexico’s trade strategy, making supply chains more cost effective for industries ranging from electronics to textiles.

 

How the IMMEX Program Works: A Nearshoring Example

To illustrate IMMEX in action, a US-based electronics manufacturer could ship components such as circuit boards and semiconductors duty-free to a maquiladora in Mexico – either through the US or direct into Mexico. At this facility, the goods would be assembled into finished products, such as smartphones or laptops. Once assembly is complete, the finished items are exported back to the US, often at a lower overall cost than if the entire manufacturing process had occurred domestically.

The IMMEX program defers import duties and taxes during this process, creating cost savings while allowing the US manufacturer to benefit from Mexico’s lower labor costs, reduced transportation expenses, and robust trade infrastructure.

 

Recent Changes and Temporary Reversals

Mexico IMMEX programOn December 19, 2024, Mexican President Claudia Sheinbaum Pardo announced a government crackdown on misuse of the IMMEX program.

Maurice Joseph, Chief Operating Officer at Weber Logistics, explains, “This new administration in Mexico was under pressure to increase revenue and ensure compliance across IMMEX-certified entities. Many companies found themselves under scrutiny for practices that didn't meet certification standards.”

The changes had significant implications for shippers importing high-duty goods like apparel, textiles, and home goods. However, the Mexican government recently suspended these restrictions for six months, citing concerns raised by compliant companies.

“While the pause is welcome news for some, it also highlights the need for shippers to ensure their supply chain partners are operating by the rules. This is an opportunity to reevaluate relationships and mitigate future risks,” Joseph adds.

 

The Offenders

The Mexican government alleged that companies were abusing the program, with bad actors in the apparel and 3PL industries coming under the most scrutiny.

In the apparel industry, reported violations include the following.

  • Misclassifying goods: Some manufacturers have been caught misclassifying high-duty apparel items such as textiles and coats to avoid tariffs.
  • Failing to re-export goods: While IMMEX requires goods imported duty-free to be processed and exported, some companies sell these items domestically in Mexico, bypassing both export requirements and local tax obligations.
  • Using third-party shelter companies: Many apparel firms rely on shelter companies to gain IMMEX certification. Some of these shelters either lack proper oversight or deliberately enable the misuse of certifications, creating an uneven playing field for compliant businesses.

In the 3PL industry, issues arise from service providers offering fulfillment and distribution services under IMMEX without adhering to the program’s stringent requirements. Specific violations are as follows.

  • Improper use of certifications: 3PLs without direct IMMEX certifications operate under shelter companies, avoiding the associated reporting and compliance requirements.
  • Concealing country of origin: Some 3PLs handle goods from regions like China or Southeast Asia but fail to accurately document their origin or comply with verification rules, a critical component of IMMEX oversight.
  • Circumventing export requirements: Rather than exporting goods as required, some 3PLs distribute them within Mexico, avoiding duties and harming local manufacturers.

 

What All This Means for US Companies

Mexico’s tightened enforcement reflects its commitment to protecting local industries and ensuring compliance. For US shippers and manufacturers using IMMEX, the following guidelines are crucial to remaining compliant.

  • Verify Compliance: Work with partners that are directly certified under IMMEX rather than relying on third-party shelter companies, which have come under increased scrutiny.
  • Review Country-of-Origin Documentation: Ensure products meet the program’s origin requirements to avoid penalties.
  • Build Contingency Plans: For goods exceeding $800 in value or falling into high-duty categories, consider alternatives such as relocating inventory to US facilities until clarity emerges from the Mexican government.

 

The Future of Nearshoring and IMMEX

The IMMEX program’s evolution ties into broader trends like nearshoring. As tariffs on imports from Asia increase, many US companies are exploring Mexico as a strategic alternative.

“Nearshoring is already gaining traction, but these regulatory shifts could make Mexico even more attractive for fulfillment and distribution,” Joseph notes. However, shippers must stay vigilant about compliance as Mexico enforces stricter standards.

 

Weber Logistics’ Role in Navigating Change

While Weber Logistics does not currently operate under IMMEX, it supports clients with cross-border logistics and transloading services at the US-Mexico border. “We’ve long performed cross-border transloading services in San Diego, helping clients seamlessly move goods from Mexico to their US distribution points,” Joseph notes.

The evolving IMMEX landscape underscores the importance of due diligence and trusted partnerships. Weber Logistics is in your corner to help you understand the complexities of cross-border distribution and to provide you with efficient, compliant solutions. Contact us today to learn more about our services and capabilities.