Paraguay’s President Santiago Peña has reaffirmed his country’s diplomatic relationship with Taiwan during a state visit to Taipei, days after China urged it to switch recognition to Beijing.
Peña said on May 8 that Paraguay deeply values its relations with Taiwan and will continue to support the island's democracy.
Taiwan’s President Lai Ching-te welcomed Peña with full military honors, including a 21-gun salute, at the Presidential Office.
The two leaders held talks and witnessed the signing of three agreements: a treaty on mutual legal assistance in criminal matters, a memorandum of understanding (MOU) on cybersecurity cooperation, and an MOU on investment in a sovereign artificial intelligence (AI) computing center in Paraguay.
According to Taiwan’s Presidential Office, the AI project aims to combine Taiwan’s technology expertise with Paraguay’s green energy resources to “transform electricity into computing power critical for smart nations,” Lai said.
Peña called for greater Taiwanese private investment in Paraguay, describing it as a stable country and gateway to Latin America.
The reaffirmation came after Chinese foreign ministry spokesperson Lin Jian urged Paraguay on May 7 to “come to the right side of history as soon as possible” and sever ties with Taiwan.
Lin said 183 countries have diplomatic ties with China on the basis of Beijing's "one-China principle."
Paraguay is the only country in South America that recognizes Taiwan instead of China. It is one of 12 nations worldwide that maintain formal diplomatic relations with Taipei. The two countries have had ties since 1957.
In an interview with Taiwan’s Central News Agency on Thursday, Peña said he recently met Honduran President Nasry Asfura in the United States and shared Paraguay’s positive experience with Taiwan, though they did not discuss Honduras switching back.
Honduras broke ties with Taiwan and recognized China in 2023. Its current government has reviewed agreements with Beijing.
Taiwan and China have been ruled separately since 1949, when defeated Nationalist forces retreated to the island after losing the Chinese civil war. Communist China was founded on the mainland in October 1949.
Taiwan later became a self-governing democracy, while the Chinese Communist Party (CCP) claims the island as its territory and has not ruled out using force to seize it.
Peña’s four-day visit, which runs until May 10, is his first state visit to Taiwan as president.
He is expected to receive Taiwan’s highest honor for foreign leaders, the Order of Brilliant Jade with Grand Cordon.