Go to a store where they sell that kind of wagon. They should have the right tools and be able to fix it for you!
 
I would have done that if there had been one nearby.
 
Okay, that can be a certain obstacle... :-)

It looks like a large aluminum rivet, check with the local hardware store if you want to buy pliers and a rivet, or alternatively a sheet metal worker.

To remove the rivet, gently drill away the collar on the side that has a depression, then simply pull out the rivet. It's possible to install a new rivet without pliers, but it's not entirely easy to create a backing that doesn't scratch the new rivet.
 
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Drill it out, then replace with a screw and nyloc nut.
 
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