The document provides an overview and background on NAFTA (North American Free Trade Agreement). It discusses what trade agreements are, defines NAFTA and its key components. It then analyzes trade data and balances between the 3 NAFTA countries - Mexico, Canada, and the US. There are trade surpluses in some areas but also deficits, particularly between Mexico and the US. The document concludes by outlining some current issues with NAFTA, including calls to modernize the agreement and tensions caused by the US threatening import taxes on Mexico.