Mercosur turns to Asia with Japan talks as the EU quota split stays unresolved

AI Summary

Mercosur initiated trade negotiations with Japan to diversify its economic alliances toward Asia during its summit in Asunción. However, the bloc remains divided on internal export quota distribution under its treaty with the EU, highlighting ongoing friction primarily between Argentina and Brazil.

Mercosur on Tuesday announced the start of trade negotiations with Japan and reaffirmed its intention to diversify alliances toward Asia during its biannual summit in Asunción, where Paraguay handed over the bloc's pro tempore presidency to Uruguay. The meeting, however, closed without an agreement on the internal distribution of export quotas under the treaty with the European Union, and again exposed the differences between Argentina and Brazil over the bloc's direction.