THE NORTH AMERICAN FREE TRADE AGREEMENT : Trade Pact at a Glance

* WHAT IT DOES: Eliminates tariffs and other barriers to the movement of goods, services and investment among the United States, Canada and Mexico, creating the world’s largest trading bloc, covering more than 360 million people.

* TARIFFS: Some eliminated immediately, others phased out over 5, 10 or 15 years. Farmers would be given 15 years to adjust on sensitive products. Mexico agreed to immediately cut its 20% tariff on autos to 10%, but the North American content of cars, now set at 50%, would have to reach 62.5% after eight years to prevent a country such as Japan from shipping parts to Mexico for assembly into cars destined for the United States. High U.S. textile tariffs would be phased out over 10 years, but garments would have to be cut and sewn in North America from North American yarn and fabric.

* TELECOMMUNICATIONS: Mexico will eliminate immediately the majority of tariff and non-tariff barriers to its telecommunications equipment market, estimated at $1 billion in 1992.

* INVESTMENT: Mexico would eliminate regulations that have restricted foreign investment. Profits could be freely taken out of Mexico by U.S. and Canadian firms, and investors could not have property seized without full compensation.

* ENERGY: Mexico retains the monopoly enjoyed by Pemex, its national oil company, on exploration and retail gasoline sales. However, U.S. and Canadian companies will be allowed some access to Mexico’s electricity, petrochemical and energy service sectors.

* TRUCKING: Mexican and U.S. truckers would be allowed to travel freely in both countries after a phase-in period. U.S. and Canadian truckers currently enjoy that privilege.

* SIDE AGREEMENTS: Establish tri-national commissions to oversee environmental and labor laws with the possibility of sanctions, either punitive trade tariffs in the case of the United States or Mexico or fines in the case of Canada, for failure of a country to enforce its own laws. The penalty could be up to $20 million per offense.

* ENVIRONMENT: The United States and Mexico would contribute $225 million each to establish a new North American Development Bank as part of joint efforts to clean up pollution along the border and finance development projects.