Countries forming a free trade area must have joint boundaries.

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Countries forming a free trade area do not necessarily have joint boundaries. They may be separated by other countries but still agree to eliminate tariffs and other barriers to trade with each other. Examples include the North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico, and the European Union (EU) which includes 28 member states.

Countries Forming a Free Trade Area Must Have Joint Boundaries