Source: WTO.

Merchandise Exports by Trade Agreement, 2005

Most of the international trade takes place within major economic blocs, notably for the EU (European Union) and NAFTA (North American Free-Trade Agreement), where 67% and 56% of their respective trade concerns member nations. While trade relations between advanced economies is linked to the emergence of economic blocks, trade relations between developing countries is often related to unilateral agreements between specific partners (particularly for former colonies). This attribute is however becoming marginal with the emergence of trade agreements involving developing countries such as Mercosur and ASEAN (Association of Southeast Asian Nations). Still, these integration agreements have a limited cohesion. For instance, only 25% of ASEAN's trade is internal.