US policies destroy Mexican jobs
THE DONALD Trump effect has deprived at least 12 000 Mexicans of their jobs at US companies based in the border town of Ciudad Juarez between November and December, La Jornada reported on Tuesday.
This is the highest drop in 16 years, with Mexico’s maquila industry now employing 423 283 workers compared to last year’s 435 511, according to figures released by the Mexican Institute of Social Security, IMSS. The Maquiladora Association of Juarez said the loss of jobs is due to the anti-free trade policies announced by the US president, who has even threatened to impose tariffs on companies that export goods to the US from Mexico. The term maquila refers to US-owned plants along the US-Mexico border operating under special US tax and Mex- ican foreign investment regulations.
US-made components are shipped to Mexico and used to assemble products that are sent back to the US. Setting up operations in Mexico in close proximity to US markets helps to lower costs and increase efficiency.
The rapid growth of Mexico’s maquilas has created huge business opportunities up and down the US-Mexico border. Telesur