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Understanding NAFTA and its Implications for U.S./Canada Trade

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"Understanding NAFTA and its Implications for U.S./Canada Trade"

This informative report details the NAFTA eligibility process along with other key aspects of the trade agreement.

In the 20 years since the North American Free Trade Agreement (NAFTA) took effect, trade between the US and Canada has increased by 300%, and the countries are each other's top trading partners. A key provision of the agreement is the elimination of duties on eligible products traveling between the U.S., Canada, and Mexico. Eligible products "originate" in one of the three countries, and NAFTA lays out detailed "rules" as to what constitutes origination. Determining NAFTA eligibility, and knowing how to apply for benefits can be time-consuming and complicated.


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