Uruguayan President Luis Lacalle Pou accused Argentina and Brazil of blocking a crucial Free Trade Agreement (FTA) with China.
Speaking to Universal Radio, he revealed an FTA with China could happen within his term, even without Mercosur’s support.
This bloc includes Uruguay, Brazil, Argentina, Paraguay, and Bolivia.
Lacalle Pou pointed out, “The main obstacle has been Brazil and Argentina’s diplomatic positions, which have stalled progress with China.”
Uruguay strengthens ties with China, indicating pursuit of closer economic relations despite Mercosur’s consensus requirement for external negotiations.
This has sparked friction within the bloc, established in 1991.
In a bold move at December’s Mercosur summit, Lacalle Pou called for transparency among members regarding their willingness to engage with China.
He advocated for an open dialogue to clarify intentions and understand limitations within Mercosur.
The backdrop includes Brazil renewing its China ties under President Luiz Inácio Lula da Silva and Argentina, under former President Alberto Fernández, actively working to pause the FTA talks.
His successor, Javier Milei, though critical of Fernández’s approach, continues to engage positively with China.
Paraguay, currently leading Mercosur, maintains unique diplomatic ties with Taiwan but acknowledges China as Uruguay‘s biggest trading partner.
Uruguay navigates regional dynamics, pursuing economic interests with China, impacting trade, diplomacy, and Mercosur’s regional unity.