NAFTA

The North American Free Trade Agreement (NAFTA) is a trade pact entered into force in January 1994, among the United States, Canada, and Mexico. It was implemented for promoting trade among these three countries, provided for the elimination of tariffs barriers to agricultural, manufacturing, and services, removal of investment restrictions, and the protection of intellectual property rights.

NAFTA has reshaped North American economic relations and promoted international trades among the three nations, but the increase of trade activities has also resulted in rising trade deficits for the U.S. with both Canada and Mexico.