Peña reaffirms alignment with US and Taiwan and resists Chinese pressure within Mercosur

Paraguayan President Santiago Peña reaffirmed his country's alignment with the United States and Taiwan and declared that he will not yield to pressure from China to establish a formal negotiation channel with Mercosur, linking the Chinese pressure to the recent 5G network tender.

Peña reaffirms alignment with US and Taiwan and resists Chinese pressure within Mercosur
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Paraguayan President Santiago Peña reaffirmed his country's economic alignment with the United States and Taiwan, declaring he will not yield to pressure from China to establish a formal negotiation channel with the Mercosur trade bloc. Peña stated that the Paraguayan government will prioritize commercial relations with nations with which it maintains diplomatic ties, which is not the case with China.

Speaking with journalists, the president said China exerts enormous pressure on the South American bloc, but especially on Paraguay. He linked this pressure to the context of the 5G network tender, won by the company Nubicom, stating there are commercial and geopolitical interests at play. "The one exerting enormous pressure is the government of the People's Republic of China, because Paraguay did something that caused it great irritation: asking that providers come from countries with which we maintain diplomatic relations," explained Peña.

The president also suggested that criticism of his administration may have Chinese influence, alleging that companies from that country are funding attacks on his government through the media. "This is the price Paraguay pays for having to align itself geopolitically with the United States, for aligning with our great friend, which is Taiwan," he admitted. He further urged Paraguayan consortiums to be careful not to become "mere spokespeople for other governments."

Regarding relations with Brazil, Peña commented on the firm stance he adopted concerning the details of the opening of the Integration Bridge, which connects the two countries. He stated that his posture did not go unnoticed and that he is not afraid to defend Paraguayan interests, even while maintaining an "excellent relationship" with President Luiz Inácio Lula da Silva. "He knows very well that I will defend our country's interests. Paraguay is already the fastest-growing country, and doesn't it bother them when Brazilian businesspeople show interest in investing here?" he questioned.

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Updated: Jul 4, 2026, 9:49 AM