Paraguay Diplomatic Profile
Steadfastly aligned with Taiwan and the United States, Paraguay navigates friction with Argentina while managing a critical economic dependency on Brazil.
Often viewed merely as the landlocked buffer between Brazil and Argentina, this nation wields an unusual diplomatic cudgel: it remains South America’s last holdout recognizing Taiwan over China. This loyalty creates a fascinating tension for President Santiago Peña, who faces immense pressure from powerful agricultural lobbies desperate to access Beijing’s massive soy and beef markets. While regional peers have recently flipped allegiances to chase Chinese infrastructure capital, Paraguay demands that Washington and Taipei prove their worth through concrete economic benefits rather than just ideological solidarity. Domestically, politics are grappling with the shadow of former President Horacio Cartes, recently sanctioned by the United States for corruption, highlighting a complicated reliance on American approval. Closer to home, geography dictates destiny. Paraguay is currently locked in a heated dispute with Argentina over tolls on the Paraguay-Paraná Waterway, a vital artery for exports. Simultaneously, impending negotiations with Brazil regarding the shared Itaipu hydroelectric dam—one of the world's largest generators of power—will determine the country's energy revenue for decades. For Paraguay, survival means balancing these giant neighbors while trying to price its loyalty to Taiwan high enough to offset the cost of ignoring China.
Key Interests
- Leveraging Taiwan ties for investment
- Renegotiating Itaipu Dam energy terms
- Securing river access for exports
Paraguay Allies and Enemies
Paraguay's closest allies: United States (54), Taiwan (51), Israel (42), Argentina (41), Italy (35).
Paraguay's top rivals: Iran (-66), North Korea (-43), Venezuela (-37), Afghanistan (-29), Cuba (-28).
Of 202 countries, Paraguay has 10 allies, 189 neutral relationships, and 3 enemies.
Paraguay Relations by Dimension
Paraguay's closest military partners are United States (55), Israel (32), Chile (27). Most adversarial military relationships: Iran (-52), North Korea (-49), Afghanistan (-27).
Paraguay's closest diplomatic partners are United States (68), Taiwan (65), Argentina (46). Most adversarial diplomatic relationships: Iran (-78), North Korea (-63), Venezuela (-55).
Paraguay's closest regime relations partners are Taiwan (80), Israel (58), United States (53). Most adversarial regime relations relationships: Iran (-85), Venezuela (-65), Cuba (-40).
Paraguay's closest societal relations partners are Vatican City (65), Argentina (54), Uruguay (53). Most adversarial societal relations relationships: Iran (-35), Afghanistan (-32), Venezuela (-25).
Paraguay's closest economic interdependence partners are Brazil (68), Argentina (64), Uruguay (63).
Paraguay's closest economic policy partners are Uruguay (67), Brazil (44), Germany (42). Most adversarial economic policy relationships: North Korea (-87), Iran (-32), China (-13).
Paraguay’s Allies & Enemies
Closest Allies
Top Enemies
Paraguay's closest allies are United States, Taiwan, Israel, Argentina, and Italy. Paraguay's most adversarial relationships are with Iran, North Korea, Venezuela, Afghanistan, and Cuba.
Global Relations
Diplomatic Profile
Steadfastly aligned with Taiwan and the United States, Paraguay navigates friction with Argentina while managing a critical economic dependency on Brazil.
Key Interests
Often viewed merely as the landlocked buffer between Brazil and Argentina, this nation wields an unusual diplomatic cudgel: it remains South America’s last holdout recognizing Taiwan over China. This loyalty creates a fascinating tension for President Santiago Peña, who faces immense pressure from powerful agricultural lobbies desperate to access Beijing’s massive soy and beef markets. While regional peers have recently flipped allegiances to chase Chinese infrastructure capital, Paraguay demands that Washington and Taipei prove their worth through concrete economic benefits rather than just ideological solidarity. Domestically, politics are grappling with the shadow of former President Horacio Cartes, recently sanctioned by the United States for corruption, highlighting a complicated reliance on American approval. Closer to home, geography dictates destiny. Paraguay is currently locked in a heated dispute with Argentina over tolls on the Paraguay-Paraná Waterway, a vital artery for exports. Simultaneously, impending negotiations with Brazil regarding the shared Itaipu hydroelectric dam—one of the world's largest generators of power—will determine the country's energy revenue for decades. For Paraguay, survival means balancing these giant neighbors while trying to price its loyalty to Taiwan high enough to offset the cost of ignoring China.
Steadfastly aligned with Taiwan and the United States, Paraguay navigates friction with Argentina while managing a critical economic dependency on Brazil.
Of 202 countries, Paraguay has 10 allies, 189 neutral relationships, and 3 enemies.
By Dimension
Military
Paraguay’s closest military partners are United States, Israel, and Chile. Most adversarial: Iran, North Korea, and Afghanistan.
Diplomatic
Paraguay’s closest diplomatic partners are United States, Taiwan, and Argentina. Most adversarial: Iran, North Korea, and Venezuela.
Regime Relations
Paraguay’s closest regime relations partners are Taiwan, Israel, and United States. Most adversarial: Iran, Venezuela, and Cuba.
Societal Relations
Paraguay’s closest societal relations partners are Vatican City, Argentina, and Uruguay. Most adversarial: Iran, Afghanistan, and Venezuela.
Economic Interdependence
Paraguay’s closest economic interdependence partners are Brazil, Argentina, and Uruguay.
Key Questions
Uruguay, Argentina, and the United States are Paraguay's top allies. Regional Mercosur partners Uruguay and Argentina show strong ties in diplomatic, regime, and societal dimensions, while the US relationship is strongest on the military side — reflecting longstanding security cooperation.
Iran, North Korea, and Venezuela represent Paraguay's most negative relationships, though even these are relatively mild. Paraguay's conservative political alignment and recognition of Taiwan place it at odds with the authoritarian and anti-Western bloc.
Paraguay is one of the few remaining countries that maintains formal diplomatic relations with Taiwan rather than the People's Republic of China. This shows clearly in the data — Taiwan ranks among Paraguay's top diplomatic and regime-level allies. Switch to the regime relations dimension to see Taiwan highlighted as a key partner.
The US connection is strongest on military and diplomatic dimensions, reflecting security assistance and political alignment. By contrast, Argentina and Uruguay score highest on societal and regime relations, reflecting shared culture, migration, and Mercosur integration. The two types of alliance serve different functions.
Vatican City appears as one of Paraguay's top societal allies, reflecting the deeply Catholic character of Paraguayan society. This religious connection shapes Paraguay's broader cultural affinities with Latin American neighbors like Argentina and Uruguay, all visible on the societal dimension of the map.
Paraguay's conservative governments have clashed with Venezuela's Chavista and Maduro regimes, leading to negative regime and diplomatic relations. Paraguay suspended Venezuela from Mercosur in 2017 and has aligned with US-led efforts to isolate the Maduro government, creating one of Latin America's sharper intra-regional divides.