NAFTA member countries consist of Canada, Mexico and the United States. NAFTA is a trilateral free trade agreement between the three countries, meant to promote regional cooperation. It was enacted officially in 1994.Continue Reading
NAFTA was enacted between these three countries due to their common borders and their standing and potential as the economic leaders of the region. Before the agreement was signed, Canada and the United States had similar economic systems with high growth rates and few barriers to trade. In 1988, Canada and the United States signed a free trade agreement that Mexico later joined to become the agreement currently in place as of 2015. The agreement is overseen by the Federal Trade Commission and its primary administrator, the Secretariat.
NAFTA led to an increased level of economic cooperation in the region, including border security cooperation as well as a significant level of economic growth in Mexico, according to International Democracy Watch. Not all of the effects of the policy have been positive, as NAFTA has been credited with the movement of a large number of manufacturing jobs from the United States to Mexico.
The United States Trade Representative claims that NAFTA has directly resulted in the growth of U.S. businesses through trade with NAFTA partners, as well as growth in manufacturing exports and a trade surplus with NAFTA countries.Learn more about International Orgs