Chile assumes temporary presidency of Pacific Alliance after diplomatic spat

Chile temporarily took over leadership of Latin America's Pacific Alliance on Wednesday after a spat that saw Mexico refuse to hand over the rotating presidency of the trade bloc to Peru. Mexican President Andres Manuel Lopez Obrador has labeled Peruvian President Dina Boluarte's administration as "spurious" after she took over from her leftist predecessor Pedro Castillo, who was ousted and arrested in December.

Chile temporarily took over leadership of Latin America's Pacific Alliance on Wednesday after a spat that saw Mexico refuse to hand over the rotating presidency of the trade bloc to Peru.

Mexican President Andres Manuel Lopez Obrador has labeled Peruvian President Dina Boluarte's administration as "spurious" after she took over from her leftist predecessor Pedro Castillo, who was ousted and arrested in December. A meeting of the Pacific Alliance trade bloc - composed of Chile, Colombia, Mexico and Peru - set to be held in Lima in December was postponed.

"We have always recognized Peru's right to exercise the pro tempore presidency... We have assumed the responsibility of acting as intermediaries to resolve this situation," Chile's Foreign Minister Alberto van Klaveren said at a press conference, adding his country will hold the presidency for a month. Peru will assume the presidency on Aug. 1, the Peruvian foreign ministry confirmed on Twitter.

"Authorities reaffirmed their commitment to the Pacific Alliance as a mechanism for political discussion and economic and commercial integration... which seeks to advance progressively towards the free movement of goods, services, capital and people," the statement added.