SIM card and the Intricate Inner Working with Phones

I have used SIM cards and so have so many people. I do not understand the underlying mechanism or technology behind SIM cards so this is the right opportunity for me to ask someone with expert knowledge of SIM card. Please help me to understand how this simple SIM card works. I want to know how it is manufactured, which materials are used to manufacture it, and how data is transferred from the phone to the SIM card and vice versa.
