MEXICO CITY – Mexico’s automobile industry said it is willing to accept temporary quotas on its exports to Brazil as long as the restrictions are lifted after a period of no more than three years.

The Brazilian government has asked Mexico to limit the value of its auto exports to Brazil to around $1.4 billion for the next three years as part of a set of demands aimed at renegotiating the two countries' automotive trade deal.

A dispute over trade in cars exposes contrasting attitudes to globalisation in Latin America’s biggest economies. OFFICIALS from Brazil and Mexico are arguing over the future of a 2002 agreement that allows free trade in cars between them.