A trade agreement is a formal agreement between two or more countries that outlines the terms and conditions of their trading relationship. These agreements can vary in their scope, covering goods, services, investment, and intellectual property, among other things.

One of the primary objectives of trade agreements is to promote trade liberalization. This means reducing or eliminating restrictions on the movement of goods and services between countries, such as tariffs, quotas, and other barriers to trade. By doing so, trade agreements can help to increase the flow of goods and services and create new opportunities for businesses in different countries.

Trade agreements can take many different forms, from bilateral agreements between two countries, to regional agreements between multiple countries within a particular geographic region, to multilateral agreements involving many countries from around the world. Some of the most well-known trade agreements include the North American Free Trade Agreement (NAFTA), the Trans-Pacific Partnership (TPP), and the World Trade Organization (WTO).

In addition to promoting trade liberalization, trade agreements can also address other issues related to international trade, such as labor standards, environmental protection, and intellectual property rights. For example, some trade agreements may include provisions that require countries to adhere to certain labor standards, in order to prevent the exploitation of workers. Similarly, trade agreements may include provisions to protect the environment, such as restrictions on the trade of endangered species or regulations on the use of harmful chemicals.

Overall, trade agreements are an important tool for promoting international trade and economic growth. By reducing barriers to trade and fostering cooperation between countries, these agreements can help to create new opportunities for businesses and consumers, while also addressing important issues related to labor standards and environmental protection.