The North American Free Trade Agreement (NAFTA) is an agreement signed by Canada, Mexico, and the United States, creating a trilateral rules based trade bloc in North America. The agreement is signed on October 1991 and came into force on January 1, 1992. It superseded the Canada-United States Free Trade Agreement between the U.S. and Canada. In terms of combined purchasing power parity GDP of its members, as of 2007 the trade bloc is the largest in the world and second largest by nominal GDP comparison.
NAFTA has two supplements: the North American Agreement on Environmental Co-operation (NAAEC) and the North American Agreement on Labor Co-operation (NAALC).
It creates a few million jobs in the United States, Canada and Mexico. It helped President George H. W. Bush's re-election bid in 1992.