The North American Free Trade Agreement aims to reduce trade costs, increase business investment and help North America become more competitive in the global marketplace. Moreover, since NAFTA was approved in 1994, the three countries have benefited from increased trade, economic growth and wage growth, but whether they are the result of NAFTA remains an issue for experts. In fact, a 2010 congressional Research Service report stated that “most post-NAFTA studies have determined that the impact on the Mexican economy is at best modest.” NAFTA signatories also recommended the introduction of health, safety and industry standards. Members also agreed to increase the speed of inspections and certifications of export products at the border and to eliminate the use of national standards as a barrier to trade. The agreement also provided for administrative, civil and criminal sanctions against companies that violated one of the customs regimes and agreed standards. On September 30, 2018, an agreement was reached when the NAFTA amendments were renegotiated. The next day, a renegotiated version of the agreement, called the U.S.-Mexico-Canada Agreement (USMCA), was published. In November 2018, at the G20, the USMCA was signed by President Trump, Canadian Prime Minister Justin Trudeau and then-Mexican President Enrique Pea Nieto. A 2015 study showed that Mexico`s prosperity increased by 1.31% as a result of NAFTA tariff reductions and by 118% for Mexico`s intra-Bloc trade. [63] Inequality and poverty have decreased in the regions of Mexico most affected by globalization. [75] Studies from 2013 and 2015 showed that Mexican small farmers benefited more from NAFTA than large farmers.

[76] [77] If the Trans-Pacific Partnership of Origin (TPP) were to enter into force, existing agreements, such as NAFTA, would be reduced to provisions that do not conflict with the TPP or require greater trade liberalization than the TPP. [155] However, only Canada and Mexico would have the prospect of becoming members of the TPP after U.S. President Donald Trump withdrew the United States from the agreement in January 2017. In May 2017, the remaining 11 members of the TPP, including Canada and Mexico, agreed to pursue a revised version of the trade agreement without U.S. participation. [156] In the USMCA agreement, commonly known as NAFTA 2.0, the North American Free Trade Agreement (NAFTA) is a treaty concluded by the United States, Canada and Mexico; it came into force on 1 January 1994. (Since 1989, there has been free trade between the United States and Canada; NAFTA has extended this regime.) On that day, the three countries became the largest free market in the world – the combined economies of the three nations were $6 trillion and directly affected more than 365 million people.