Regional Trade Blocks

Regional trade blocks are agreements between neighboring countries to promote economic cooperation by reducing or eliminating tariffs, quotas, and other trade barriers within the group. These blocks aim to facilitate easier and more cost-effective trade, attracting investment and boosting economic growth among member nations. Examples include the European Union and NAFTA (now USMCA). Essentially, they foster closer economic ties by encouraging collaboration and trade between nearby countries, benefiting their economies through increased market access and cooperation.