Embarking on the second decade of the 21st century, we see an explosion in the number of free trade agreements (FTAs) already in effect or under negotiation. FTAs are an exercise of sovereignty negotiated for the purpose of eliminating trade barriers and creating ground rules to manage a trade relationship in a beneficial manner. The reduction of trade barriers and the creation of a more stable and transparent trading and investment environment make it easier and cheaper for companies to export their products and services to trading partner markets. Trade liberalization through FTAs has paid enormous dividends to partnering signatories and expanded world trade and economic growth. This paper looks at the evolution of FTAs from the post-World War II era to the beginning of the second decade of the 21st century. It explains FTAs, their advantages and disadvantages, their role in promoting global trade and investment, the impact of their growth on the global trading environment, and their potential relationship with the WTO structure.