Steps to Reproduce
  1. Open the attached repro project in editor
  2. Packaging project

Result:
The "M_Chair" asset is stored in both chunk1 and chunk2. 
Epxected:
The "M_Chair" asset is stored only in the chunk of chunk2. According to the "Priority" of PrimayAssetRule, the "M_Chair" asset is not stored in chunk1 if it overlaps with the "M_Chair" asset in chunk1. 

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There's no existing public thread on this issue, so head over to Questions & Answers just mention UE-205240 in the post.

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By Design
ComponentUE - Foundation - Core - UnrealPak
Affects Versions5.25.3
Target Fix5.4
CreatedJan 30, 2024
ResolvedFeb 13, 2024
UpdatedApr 16, 2024