00:00The leaders of Taiwan and Paraguay standing side by side during a meeting in 2024
00:09and 2023 and 2006. Paraguay is Taiwan's last diplomatic ally in South America
00:20and one of only 12 countries in the entire world that formally recognized Taipei.
00:25It has continued to stick with Taiwan, even as other countries in the region have switched
00:30their recognition to China. President Lai, I want to tell you that our relationship is
00:39indelibly linked. I am convinced that in the coming years, our relationship will reach new
00:44heights. Taiwan's success is Paraguay's success and Paraguay's success is Taiwan's success.
00:50But the relationship has not been without challenges. China has reportedly stepped up
00:56pressure on Paraguay to cut ties with Taiwan, launching cyber attacks against its government,
01:02bribing politicians and inviting lawmakers on trips to China, with some coming back advocating
01:08closer ties with Beijing.
01:10And therefore, this has created a big debate in Paraguay, which I think it's the purpose,
01:16right, to put this topic in the public agenda. So people start discussing whether it's worthy or
01:22not to maintain ties with Taiwan.
01:25Those most supportive of deepening ties with China are often linked to Paraguay's agribusiness sector,
01:32seeing China as a major opportunity for expanding exports. Opposition lawmakers have also tended to be
01:38more open to strengthening relations with Beijing. Though one expert says more recently,
01:43a few voices within the ruling party have begun expressing similar views.
01:48Despite all this, Paraguay has stayed with Taiwan, even as Beijing's pressure and promises have
01:55persuaded five nearby Latin American countries, Panama, the Dominican Republic, El Salvador,
02:01Nicaragua and Honduras, to switch diplomatic recognition over the past decade.
02:06So why has Paraguay stayed loyal to Taiwan? Paraguayan President Santiago Pena, for one,
02:13has said Latin American countries that switch to China are worse off than Paraguay.
02:18An analyst said support for Taipei has long been part of the identity of Paraguay's ruling party,
02:23which has governed for most of the last seven decades.
02:27The stance may also reflect Paraguay's close ties with the U.S.,
02:31which has sought to curb Chinese influence in the region.
02:34Paraguay also makes a symbolic statement to its neighbors, which is often an overseen aspect that
02:43Paraguay has always tried to distinguish itself and to keep its own national identity.
02:48And that's maybe one of the most symbolic statements these days you can make is actually
02:52to keeping with Taiwan instead of switching to China, as everybody else has done.
02:57Analysts say it's unlikely that Paraguay will switch ties anytime soon.
03:02Though factors like changes in leadership or economic conditions could shift that outlook.
03:07Still, there are things Taipei can do to reduce those risks.
03:11Like China is approaching opposition leaders or opposition groups.
03:18I think it's key for Taiwan to also try to reach these groups as well.
03:24I think if Taiwan tries to reach many different sectors in Paraguay and talk to all people,
03:33I think they're starting to do this.
03:35They can rest assured that in the long term, the risk will definitely decrease.
03:42For now, Paraguay remains firmly in Taiwan's corner.
03:45But as China steps up its charm offensive and flexes its economic strength, debate is likely
03:51to continue in Paraguay about which side of the Taiwan Strait it would be better off aligning
03:56with.
03:57Hang Shuyen-Keyn's Karanta for Taiwan Plus.
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