Recent news in Mexico has once again exposed situations where Mexican politicians have been involved in acts of corruption and mismanagement. One may think that this would affect export numbers from the country, but according to the “Banco de Mexico” (Bank of Mexico, which is the Mexican central bank responsible for the development of the financial system), during 2014, non-petroleum and manufacturing exports from Mexico to the United States grew at a rate of 9.4 %.
This means that regardless of the political and social controversy taking place at any given time, the great majority of companies still forged ahead in conducting business with Mexico. Obviously, the ease of exporting includes the fact that Mexico is the U.S’s neighbor, possesses a qualified, low cost, labor force and a favorable exchange rate.
If you are exporting, or considering exporting from Mexico, be very cognizant that there are legal requirements and obligations that you must comply with. Otherwise, there might be delays or fines that may have otherwise been prevented with due diligence.
Exports from Mexico can be performed by individuals or companies, including foreigners. The requirements under each scenario may vary depending on a multitude of facts, such as type of entity, Harmonized Tariff Schedule applicable to the goods, and citizenship of the exporter, among several others. Generally speaking, in order for a company to become an exporter, it must be registered in Mexico as a taxpayer. In this case, the partners must also be registered as taxpayers and have immigration permits.
Here are some of the main requirements:
- Tax payer registration number
- Immigration permits and foreign investment licenses, when applicable
- Export registration number
- Export permits
- Report and pay taxes
- Complete customs documentation such as the pedimento, invoice, packing list and certificate of origin when applicable
- Mexican customs broker/legal representative
Mexican legislation applicable to exports is in constant change. When you are ready to conduct business exporting from Mexico and need additional information, please do not hesitate to contact attorney Brenda Cordova at (214) 348-9306.