The word "北约" is formed through a common Chinese linguistic process of abbreviation, specifically taken from the longer name "北大西洋公约组织" (Běi Dàxī Yáng Gōngyuē Zǔzhī), which translates to "North Atlantic Treaty Organization." It is a *jiéshěngcí* (condensed word), created by extracting the first character "北" from "北大西洋" (North Atlantic) and the key character "约" from "公约" (treaty), and combining them to create a concise, two-character term that efficiently represents the full name and is universally understood to refer to NATO.