Question

What are foreign-owned factories located in Mexico along the border with the United States called?

Answer 1

Answer: They are called MAQUILADORAS.

Explanation: A maquiladora is a factory or assembly plant located in Mexico usually owned by a company in the United States or foreign countries.

These companies use cheap local labour, take raw material from foreign countries, process and manufacture finished products and export them to the Country of origin.

The idea is to make the imported products free from custom duty and free from government tariff.