Trade treaties like GATT and regional agreements affect how countries trade with each other. GATT focuses on fair trade for all, while regional agreements can lead to preferential treatment. Many countries don't follow the rules of GATT when forming regional agreements, which can cause problems like trade diversion. Some regions, like the European Economic Community, have seen more trade growth due to closer integration, while others, like ASEAN, have looser agreements. Latin American countries have struggled with regional agreements in the past, leading to less trade. To avoid these issues, countries should aim for low trade barriers, open agreements, and coordination on trade policies.