North American Free Trade Agreement (NAFTA)

The North American Free Trade Agreement (NAFTA) was a treaty between the United States, Canada, and Mexico that took effect in 1994. It aimed to reduce barriers like tariffs and import taxes, making it easier and cheaper for these countries to buy and sell goods and services across their borders. NAFTA promoted economic cooperation, investment, and job creation, while also setting rules to protect workers and the environment. In 2020, NAFTA was replaced by the United States-Mexico-Canada Agreement (USMCA), which modernized and updated some provisions to better reflect current economic conditions.