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The North American Free Trade Agreement (NAFTA) established free trade between Canada, Mexico, and the United States when it was implemented in 1994. Exports from the US to its NAFTA partners significantly increased in the following years. For Virginia, exports to Canada and Mexico under NAFTA were valued at over $3 billion in 2009, representing over 20% of the state's total worldwide exports that year. NAFTA aims to reduce or eliminate tariffs for goods that meet its rules of origin criteria, which determine whether a good is produced sufficiently within North America to qualify for preferential tariff treatment.
The North American Free Trade Agreement (NAFTA) established free trade between Canada, Mexico, and the United States when it was implemented in 1994. Exports from the US to its NAFTA partner…