ABSTRACT
North American Free Trade Agreement's (NAFTA’s) most important objective is export-generated growth outside North America that will allow all three parties to decrease their respective debts and current account deficits in a way they cannot achieve through trade among themselves. The NAFTA negotiation commenced with a declaration in June 1990, by Mexican President Carlos Salinas de Gortari and US The interests of the US in pursuing a NAFTA were both economic and political. NAFTA is divided into eight principal areas: objectives and scope of the agreement, trade in goods, technical barriers to trade, government procurement, investment and services, intellectual property and institutional provisions, such as dispute settlement, and finally general provisions governing entry into force and accession. NAFTA’s rules of origin are much tighter than those under Canada-U.S. Free Trade Agreement, and are designed to limit the use of non-NAFTA yarns and fabrics in the production of textiles and clothing.
