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North American Free Trade Agreement
The North American Free Trade Agreement, or NAFTA, formed the largest regional free trade economy agreement between Canada, the United States, and Mexico. NAFTA represented the continuation of a trend established by the 1989 U.S.–Canada Free Trade Agreement. The interest in forming the free trade zone was advanced by a perceived need to balance the harmonization that led to the formation of the European Union and by reforms in Mexico that made it more compatible with the economies of the United States and Canada. In proposing the expansion to be included in the regional economy, Mexico was able to rely on the precedent set by the U.S.–Canada Free Trade Agreement. In exchange for improved access to the largest market available through the formation of
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