Paraguay and Taiwan have announced the development of one of the world's largest artificial intelligence centers.

The proposal combines Taiwan's semiconductor technology with Paraguay's clean energy, solidifying a partnership of nearly seventy years. The President of Paraguay, Santiago Peña, announced this Sunday an agreement with Taiwan to develop a major artificial intelligence center in Paraguayan territory, a project that he described as one of the most important of its kind and that seeks to position the South American country within the global competition for new technologies. The announcement was made during the closing of his official visit to Taiwan, where he held meetings with the island's government and signed various cooperation agreements. In a message released by the Paraguayan Presidency, the president stated: "Two giants are embarking on a path to create the world's largest artificial intelligence hub: Taiwanese technology with Paraguayan energy." According to the president, the project will be financed equally by both countries and aims to transform Paraguay into a regional center for technological development linked to artificial intelligence and digital infrastructure. Peña also stated that the initiative represents a strategic step for his country in a sector that he considers crucial for the coming decades. "Paraguay is joining the artificial intelligence race with sovereignty," the president said on his social media, where he described the agreement as "unprecedented." The President of Taiwan, William Lai, received Santiago Peña in Taipei during the official visit, during which both governments announced new technological and cooperation agreements (Press Office of the President of Taiwan). The project was presented amid the close diplomatic relationship between Asunción and Taipei. Paraguay remains the only country in South America that maintains official relations with Taiwan, in a context marked by pressure from the Chinese regime to reduce the number of the island's international allies. Peña's visit included meetings with the Taiwanese president, William Lai, as well as meetings with ministers and business representatives linked to the technology sector. During the trip, progress was also made on agreements related to cybersecurity, judicial cooperation, and investments in IT infrastructure. In an official ceremony held in Taipei, Lai publicly thanked Paraguay for its diplomatic support. "Taiwan and Paraguay are staunch partners committed to the values of democracy, freedom, and human rights," said the Taiwanese president. For his part, Peña reiterated Asunción's support for the island in the face of international pressure from Beijing. "Paraguay deeply values this relationship and reaffirms its commitment to continue supporting Taiwan in a strategic alliance based on shared values," he said. The foreign ministers of Paraguay and Taiwan signed bilateral cooperation agreements during a ceremony led by Presidents Santiago Peña and William Lai (Office of the President of Paraguay). The announcement of the artificial intelligence center came as China intensifies its diplomatic efforts to isolate Taiwan in international organizations and reduce its formal ties with other countries. Currently, Taipei maintains official relations with only twelve countries in the world, seven of which are located in Latin America and the Caribbean. The relationship between Paraguay and Taiwan also has a strong commercial component. In 2025, Taiwan became one of the main destinations for Paraguayan beef exports. Official Paraguayan data showed that sales to the Taiwanese market exceeded $288 million last year. In addition, both governments recently concluded a zero-tariff agreement for Paraguayan pork, a measure that strengthened bilateral trade and consolidated the economic ties between the two countries. During his stay in Taiwan, Peña also received an honorary doctorate from the National University of Science and Technology of Taiwan. The president described the recognition as a sign of the "strong alliance" between the two governments. Santiago Peña and William Lai led an official ceremony in Taipei during the visit, during which both governments made progress on agreements related to technological cooperation and cybersecurity (Office of the President of Taiwan). Days before Peña's arrival, Taiwanese authorities reported Chinese diplomatic pressure on several African countries to obstruct recent international trips by President Lai. Although the Paraguayan government has not yet detailed the exact location where the complex will be built or the planned schedule for the works, Peña assured that the initiative will mark a new stage in the bilateral relationship and will open opportunities related to digital development, innovation, and technological infrastructure. (With information from EFE and AFP)