Mexico is a highly trade-oriented economy, with 90% of its trade activity regulated under free trade agreements (FTAs). Mexico has established FTAs with over 40 nations, including the European Union, Japan, Israel, and numerous South and Central American countries. In fact, Mexico has the greatest number of free trade agreements of any country in the world. Most influential of these FTAs is the North American Free Trade Agreement (NAFTA), which came into effect in 1994 and involves Mexico, Canada, and the United States. NAFTA has resulted in the tripling of trade activity between Mexico and these two countries, which, by 2006, accounted for nearly 90% of Mexico’s exports and 55% of its imports. Mexico now ranks as the 15th largest merchandise exporter and 12th largest importer in the world, seeing a fivefold increase in trade between the years of 1991 and 2005. It stands as the largest importer and exporter in Latin America, exporting US$214 billion in 2005 (equal to the exports of Brazil, Argentina, Venezuela, Uruguay, and Paraguay combined). Despite the influence of NAFTA, however, Mexican trade with non-NAFTA nations is increasing more precipitately: From 1993 to 2002, trade increased by 183% with the United States and 165% with Canada, but rose by 285%, 420%, and 528% with Chile, Honduras, and Costa Rica, respectively.