Mercosur summit in Paraguay draws Milei, Brazil tensions and regional leaders

Argentina’s President Javier Milei arrived in Asunción to take part in the Mercosur heads‑of‑state summit, where the agenda includes the EU trade agreement, negotiations with Japan and the future of Venezuela’s membership. The meeting is marked by sharp political and commercial frictions with Brazil; President Luiz Inácio Lula da Silva’s delegation warned that Argentina’s February tariff pact with the United States – eliminating duties on about 1,600 products – could create “distortions” inside the bloc. Milei also seeks to advance Argentina’s bid to join the CPTPP, a move Brazil views as a challenge to regional integration.

Bolivia’s President Rodrigo Paz attended the summit after recent domestic unrest, meeting bilaterally with Ecuador’s President Daniel Noboa and other leaders. Panama’s foreign minister arrived to promote a services‑logistics agenda as a Mercosur associate. The summit also features heads of state from Uruguay, Chile, and Ecuador, while discussions on Venezuela’s possible reinstatement remain contentious. Inside Argentina, Milei’s government contends with a cabinet reshuffle following the resignation of chief of staff Manuel Adorni, adding domestic pressure to his regional diplomatic tour.

Overall, the summit serves as a focal point for trade disputes, integration debates and diplomatic maneuvering among South American nations.