The Trade Federation is an organization led by Nute Gunray and an antagonistic faction in the Star Wars universe. They serve as the main antagonists in Star Wars Episode I: The Phantom Menace. Cold, calculating Neimoidians run this mega corporation, which has grown rich on the profits of war. Although the public views Nute Gunray as the leader, the true mastermind of the organization would be Darth Sidious who uses the Federation for his own plans of conquering the galaxy. Only a few members of the Trade Federation know of Sidious' existence and role such as Nute Gunray and Daultay Dofine. The Federation has a large army that could rival the Republic. By Star Wars Episode II, the organization merged with Separatists. In Star Wars Episode I, Gunray led a trade blockade on Naboo to protest against the taxation on Free Zones of the Galaxy. He was also commanded by Darth Sidious to attack Naboo. Sidious assured Gunray that they would not face actions from the Galactic Senate. The military of the Trade Federation took over the planet but the Queen escaped to Coruscant for help. The Federation was defeated and overthrown by the Jedi, the Naboo Security Forces, and the Gungans. Gunray and the other members of the organization escaped punishment because of Sidious' connections to the Senate.
In Star Wars Episode II, Nute Gunray attended Dooku's meeting and had the Trade Federation merge with the Separatists. The head of the Trade Federation, Nute Gunray, has put is Droid Armies in the service of the Separatists. In return, the Sith sometimes tell him which planets are ripe for plunder, and the Federation's forces move in.