Paraguay Inaugurates New President On 15 August 2023.  Will Biden-Harris Administration Make Same Mistake As With Brazil And Turkiye- Not Send A High-Level Delegation?

President Biden Should Also Meet With President Santiago Peña In September Either At The UNGA In New York Or At The White House In Washington

Paraguay One Of Thirteen Countries To Recognize Taiwan.  This Will Continue To Be A Challenge As China Increases Its Presence Throughout The Americas.  Agricultural And Livestock Industries In Paraguay Will Pressure For Change To Open Far Larger Markets In China

USDA Needs To Assist Further Exports Of Beef From Paraguay To The United States- Despite Objections From United States Companies

Some Young People In Paraguay Supported Trump Administration- And Continue To Support Him

New President Supports Moving Paraguay Embassy To Jerusalem In The State Of Israel.  President Trump Moved United States Embassy To Jerusalem- A Campaign Promise Fulfilled

Young Women In Paraguay Increasingly Headed For Positions Of Influence In Government And Private Sector

Biden-Harris Administration Needs To Be Appreciative Of Paraguayan Government And Society Views About LGBTQ

Kamala Harris, Vice President of the United States, would be a wise choice to lead the Presidential Delegation.  If not, then United States Secretary of State Antony Blinken and United States Secretary of Commerce Gina Raimondo along with Robert Menendez (D- New Jersey), Chairman and James Risch (R- Idaho), Ranking Member, Committee on Foreign Relations of the United States Senate, Michael McCaul (R- Texas, 10th District), Chairman, Gregory Meeks (D- New York, 5th District), Ranking Member, Foreign Affairs Committee of the United States House of Representatives. 

United States Department of State (1 May 2023): “The United States congratulates the people of Paraguay [population approximately 6.7 million] on successfully holding free and fair elections on April 30 [turnout 63.29%]. We congratulate President-elect Santiago Peña on his victory in the election. We applaud the efforts of the Superior Court of Electoral Justice and the work of international observation missions.  We look forward to working with President-elect Peña and his government to advance common interests like fighting corruption and impunity and advancing security and economic growth for the benefit of both our countries. Our common interests and shared democratic values will continue to underpin the historic partnership between the people of Paraguay and the United States.

• The United States-Paraguay partnership is founded upon a long history of cooperation, common interests, an important bilateral trade relationship, and mutual respect between our governments and people. Paraguay has been a staunch supporter of the United States’ effort to mitigate the crisis in Venezuela. It is a strong partner in hemispheric initiatives to improve counternarcotics cooperation, to protect intellectual property rights, and to combat money laundering, trafficking in persons, and other illicit cross-border activities.

• Paraguay continues to take important steps to combat illegal activity in the tri-border area it shares with Argentina and Brazil. It also participates in antiterrorism training and other programs with its neighbors and with the United States. The United States looks to Paraguay, which has significant tropical forest and riverine resources, to engage in hemispheric efforts to ensure sustainable development.”

In September 2023, the newly-installed President Santiago Peña will visit New York City to participate in the 78th session of the United Nations General Assembly (UNGA).  He is expected to be accompanied by members of his cabinet- Defense, Economy, Economy, Finance, and Foreign Affairs, along with the president of the Central Bank.    

Joseph Biden, 46th President of the United States (2021- ), should include an official bilateral meeting with President Peña at the UNGA.  Not a “pull aside” or on the “sidelines.”

Better serving the interests of the Biden-Harris Administration would be for President Biden to invite President Peña to The White House in Washington DC prior to the UNGA or following the UNGA.  In this way, President Peña’s cabinet could visit with their respective counterparts from the Biden-Harris Administration.

While there is political party continuity from the outgoing administration in Asunción to the incoming administration in Asuncion, the Biden-Harris Administration has an opportunity to engage in high-level face-to-face engagement with newly-installed operational leadership.  Unproductive to withhold high-level engagement until a newly-installed government with a single five-year (5) term can implement their campaign promises. 

The Biden-Harris Administration providing a whole-of-government availability to the Peña Administration is the most time-effective and cost-effective means to incentivize a newly-installed government.

For President Biden, his message to President Peña: “Here is what we would like to see you accomplish- and by being with you today on take-off, and prepared to be with you in the air, and then upon landing, our goal is for the people of Paraguay, with your leadership, to maximize their potential.  Our doors, those to our departments and agencies, are open to you.”   

Biden-Harris Administration Needs To Appreciate That “Diplomacy” Does Not Solely Mean Threaten A Country With Sanctions Or Withhold Engagement Until A Change In Behavior.

Trading Economics: “In recent years, exports of agricultural commodities have surged in Paraguay. Shipments of soy, meat and cereals account for 58 percent of total exports. Main imports are: machinery, appliances and motors (30 percent of total imports); fuels and lubricants (12 percent); and chemicals (9 percent). Main trading partners are: Brazil (32 percent of total exports and 21 percent of imports) and Argentina (23 percent of exports and 9 percent of imports). Others include: China and the United States (2022 trade- exports to Paraguay US$2.120.5 billion and imports from Paraguay US$270 million).  The United States is the second largest foreign investor in Paraguay ($796 million) just below Spain ($801 million) followed by the Netherlands ($759 million), Brazil ($715 million), Uruguay ($431 million), and Chile ($428 million).” 

From BBC: “Santiago Peña of Paraguay's ruling conservative Colorado Party is the country's President-elect, having won the April 2023 presidential election.  Mr Peña, an economist and former finance minister, got more than 42% of the votes. The also from the Colorado Party - will remain in post until Mr Peña takes office in August.  The Colorado Party has dominated Paraguayan politics for more than 70 years.  Speaking after his election victory, Mr Peña called for nationwide unity and consensus. Paraguay's economy is expected to grow by more than 4% in 2023, but the country has relatively high levels of poverty and corruption.”

United States Department of State

The United States established diplomatic relations with Paraguay in 1861, approximately 50 years after Paraguay declared independence from Spain. During its history as an independent nation, Paraguay has experienced coups, civil war, and dictatorships, with a more recent transition (1989) to civilian leadership and democratic elections. The United States supports the consolidation of Paraguay’s democracy and continued economic reform – the cornerstones of cooperation among countries in the hemisphere.

The United States-Paraguay partnership is founded upon a long history of cooperation, common interests, an important bilateral trade relationship, and mutual respect between our governments and people. Paraguay has been a staunch supporter of the United States’ effort to mitigate the crisis in Venezuela. It is a strong partner in hemispheric initiatives to improve counternarcotics cooperation, to protect intellectual property rights, and to combat money laundering, trafficking in persons, and other illicit cross-border activities.

Paraguay continues to take important steps to combat illegal activity in the tri-border area it shares with Argentina and Brazil. It also participates in antiterrorism training and other programs with its neighbors and with the United States. The United States looks to Paraguay, which has significant tropical forest and riverine resources, to engage in hemispheric efforts to ensure sustainable development.

U.S. Assistance to Paraguay

The U.S. government cooperates with the Government of Paraguay in stemming corruption, creating jobs, reducing rural poverty, and countering transnational criminal organizations operating in the country. Supporting vulnerable groups such as women, girls, indigenous peoples, afro-descendants, and youth receives special emphasis. U.S. assistance aims at improving the prosperity, stability, and security of Paraguay by strengthening democratic institutions and the rule of law, increasing economic opportunities, encouraging a more efficient business environment, and institutionalizing democratic reforms. Public Diplomacy programs promote economic inclusion through educational, professional, English language, and entrepreneurial opportunities that deepen people-to-people connections with women and marginalized communities.

Bilateral Economic Relations

Paraguay has a rapidly growing, open economy with the potential for continued growth over the next decade. Major drivers of economic growth in Paraguay are the agriculture, retail, and construction sectors. U.S.-Paraguay goods trade was $2.4 billion in 2022. U.S. exports to Paraguay include machinery, agricultural equipment, mineral fuels, toys, and sporting goods. U.S. imports from Paraguay include sugar, food oils, animal products, and wood products. The International Monetary Fund (IMF) forecasts 4.5% economic growth this year for Paraguay, following a decrease of 0.3% in GDP last year.

The United States is one of the largest foreign direct investors in Paraguay. More than a dozen U.S. multinational firms have subsidiaries in Paraguay, including firms in the computer, agro-industrial, telecommunications, banking, and other service industries. More than 80 U.S. businesses have agents or representatives in Paraguay. In 2022, Paraguay and the United States held the first meeting under the auspices of a Trade and Investment Framework Agreement, a bilateral mechanism to discuss common investment and trade objectives.

Paraguay’s Membership in International Organizations

Paraguay and the United States belong to many of the same international organizations, including the United Nations, Organization of American States, International Monetary Fund, World Bank, and the World Trade Organization. Our delegations cooperate on human rights in international fora such as the Inter-American Commission on Human Rights and the UN Human Rights Council. Both countries also share a partnership through the Fulbright-BECAL Memorandum of Understanding, a bilateral agreement to increase the number of Fulbright educational exchanges.

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