free trade

noun

: trade based on the unrestricted international exchange of goods with tariffs used only as a source of revenue

Examples of free trade in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Under a decadeslong free trade agreement, South Korean tariffs on most U.S. goods are already zero, meaning there are fewer concessions Seoul can offer, analysts say. arkansasonline.com, 13 July 2025 An administration official said the expectation was that imports the United States currently taxes at 25% would rise to 35%, but that those exempted by the US-Mexico-Canada free trade agreement would continue to be exempted. John Towfighi, CNN Money, 11 July 2025 Canada already faces 25% tariffs on exports to the U.S., though those levies exclude a host of goods compliant with the United States-Mexico-Canada Agreement, or USMCA, a free trade agreement. Max Zahn, ABC News, 11 July 2025 These agreements — considered a notch below a free trade pact — align with the UAE’s goal of increasing non-oil trade to $1.1 trillion annually by 2031, a target Abu Dhabi expects to reach nearly four years ahead of schedule. semafor.com, 11 July 2025 See All Example Sentences for free trade

Word History

First Known Use

1766, in the meaning defined above

Time Traveler
The first known use of free trade was in 1766

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Cite this Entry

“Free trade.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/free%20trade. Accessed 19 Jul. 2025.

Kids Definition

free trade

noun
: trade between nations without restrictions (as high taxes on imports)

More from Merriam-Webster on free trade

Last Updated: - Updated example sentences
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