ABSTRACT
The variety of Mexico's assembly activities is wide and has been increasing. It ranges from toys and dolls and sorting of US retail store coupons to sophisticated electronic equipment. The difference in capital per worker between assembly and the rest of manufacturing also means that value added by the worker in the maquiladoras is lower than in other manufacturing plants. The share of materials and supplies provided by the domestic economy is an important indicator of the linkages that offshore assembly activities have for the Mexican economy. Interviews with US as well as Mexican managers of maquiladoras indicate that attempts were made to increase the usage of Mexican components and materials in assembly operations. The striking aspect of the labor force in Mexican assembly industries is the high proportion—more than three-quarters of the total—of women. The US recession of 1974-1975 was a traumatic experience for the promoters of Mexican assembly industries. Some maquiladoras closed down; many workers were laid off.
