Correction

This article refers to:

The domestic content of Mexico's maquiladora exports: A long-run perspective

Article title: The domestic content of Mexico’s maquiladora exports: A long-run perspective

Author: Juan Carlos Castillo and Gaaitzen de Vries

Journal: The Journal of International Trade & Economic Development

DOI: https://doi.org/10.1080/09638199.2017.1353125

The authors regret a mistake in the measurement of domestic value added in maquiladora exports in equation (1) in the original published article online in Vol. 27 No. 2, 2018 on page 208.¹ The correct equation is (1*) where is the vector of value added coefficients stacking non-maquiladora (v^D./x^D) and maquiladora (v^P./ x^P) industries, respectively.² The matrix of intermediate deliveries , e is the vector of exports stacking e^D (set to zero) and e^P, and u is a summation vector of appropriate dimension. Equation (1*) accounts for domestic value added of intermediates used by non-maquiladora industries that supply maquiladoras, which was not included in (1).

Correcting this mistake increases the level of domestic value added embodied in maquiladora exports. It does not qualitatively alter the main trends and findings. The revised Figure 2, Table 3, and Table 4 are shown below.

Figure 2. The domestic content of aggregate maquila exports (DCE).

Notes: Domestic content as a share in aggregate maquila exports. Authors’ calculations using time series estimates and equation (1*). DCE (2003 benchmark) and DCE (1980 benchmark) are in the original published article.

Table 3. Domestic content of maquila exports, industry results (2003 benchmark).

	1981	1983	1995	2001	2006
Food, Beverages and Tobacco	0.27	0.34	0.59	0.59	0.44
Textiles and Textile Products	0.28	0.18	0.21	0.35	0.31
Leather, Leather and Footwear	0.44	0.30	0.23	0.28	0.28
Pulp, Paper, Printing and Publishing	0.56	0.51	0.18	0.38	0.31
Chemicals and Chemical Products	–	–	0.45	0.35	0.46
Rubber and Plastics	0.37	0.30	0.26	0.39	0.35
Other Non-Metallic Minerals	0.48	0.42	0.33	0.37	0.18
Basic Metals and Fabricated Metal	0.31	0.23	0.28	0.32	0.30
Machinery	0.37	0.39	0.18	0.29	0.26
Electronics	0.25	0.18	0.11	0.18	0.14
Transport Equipment	0.33	0.21	0.15	0.24	0.27
Miscellaneous manufacturing	0.35	0.26	0.19	0.28	0.25
Business services	0.91	0.94	0.35	0.41	0.41

Notes: authors’ calculations using time series estimates and revised equation (1*) where e^P is put on the main diagonal of a matrix of equal dimension as the number of industries.

Table 4. Sources of change in domestic content of value added exports (2003 benchmark).

	Share of domestic content in exports		Contribution of (in percent):
	(1)	(2)	(3)	(4)
	Year t	Year t+1	Change in industry DCE intensity	Change in industry share in overall exports	Total
	1981	2006
Total maquiladora	0.31	0.21
Textile products	0.28	0.31	−2.58	23.81
Electrical machinery products	0.25	0.14	61.72	4.45
Transport equipment products	0.33	0.27	7.96	−17.07
Other			27.67	−5.96
			94.77	5.23	100
	1981	1983
Total maquiladora	0.31	0.23
Textile products	0.28	0.18	17.7	7.1
Electrical machinery products	0.25	0.18	46.2	13.5
Transport equipment products	0.33	0.21	22.7	−32.0
Other			6.1	18.7
			92.7	7.3	100
	1983	1995
Total maquiladora	0.23	0.15
Textile products	0.18	0.21	−4.4	9.4
Electrical machinery products	0.18	0.11	48.3	3.0
Transport equipment products	0.21	0.15	18.1	0.6
Other			30.7	−5.7
			92.6	7.4	100
	1995	2001
Total maquiladora	0.15	0.24
Textile products	0.21	0.35	16.60	9.03
Electrical machinery products	0.11	0.18	40.77	4.54
Transport equipment products	0.15	0.24	19.04	−8.86
Other			21.85	−2.97
			98.26	1.74	100
	2001	2006
Total maquiladora	0.24	0.21
Textile products	0.35	0.31	13.22	51.30
Electrical machinery products	0.18	0.14	68.67	−8.22
Transport equipment products	0.24	0.27	−18.86	−3.31
Other			26.56	−29.36
			89.58	10.42	100

Notes: authors’ calculations using equation (2) and revised equation (1*).

This article is available both online and in print. The online version has been corrected.

Notes

1. We thank Bart Los for pointing out the mistake.

2. Note that ./ denotes element-wise division, and a prime (‘) transposition.