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Reuters

Paraguayan President Santiago Pena said on Wednesday that he was “fully open” to trade deals with China via South American trade bloc Mercosur, despite his country’s diplomatic ties with Taiwan.
Paraguay’s long-standing diplomatic support for Taiwan has hindered local farmers’ grains exports to China, which claims sovereignty over the self-governed island.
Paraguay is the last South American country with formal relations with Taiwan, which strongly objects to China’s sovereignty claims.
Mercosur, a customs union also including Brazil, Argentina and Uruguay, has been in talks to finalise a long-awaited trade deal with the European Union, but has also discussed a potential trade deal with China.

“Our position with China is one of total openness,” Pena said of Paraguay’s position within Mercosur, adding that the obstacle was rather China not accepting its recognition of Taiwan.
“We are in favour of advancing trade agreements,” he added in the interview with Reuters.
Mercosur officials held a dialogue with Chinese counterparts on August 12 in Uruguay’s capital.
“I see prudence on Brazil’s side,” Pena said of the possible China agreement, which he emphasised that he supported.
“I think that the most interested is Uruguay and we accompany this effort to have a conversation as a bloc.”
China’s foreign ministry and the Chinese embassy in Uruguay did not immediately reply to a request for comment.


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Americas and the Caribbean

Paraguay open to China trade deals via Mercosur trade bloc despite Taiwan ties, Pena says

Paraguay’s President Santiago Pena speaks during an interview in Asuncion, Paraguay, on Wednesday. Photo: Reuters

China’s Vice-Minister of Foreign Affairs Hua Chunying (centre) takes part in talks between Mercosur and China in Montevideo on August 12. Photo: adhoc via AFP

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Andre Ye (bottom left) in an undated photo with his mother and siblings in Lishui, Zhejiang province. Photo: Andre Ye

Former Brazilian president Jair Bolsonaro looks on during the appointment ceremony of Abraham Weintraub, his education minister, in Brasilia on April 9, 2019. Both have been accused of fomenting xenophobia. Photo: AFP

Andre Ye with Brazilian Vice-President Geraldo Alckmin, who has endorsed Ye’s candidacy. Photo: Andre Ye

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Paraguay’s national flag is hoisted outside the country’s presidential palace in Asuncion. Photo: AFP

Paraguayan President Santiago Pena, who took office in 2023, advocates close ties with Taiwan. Photo: EPA-EFE

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Diplomacy

The country’s long-standing diplomatic support for the self-governed island has hindered local farmers’ grains exports to China


The country’s long-standing diplomatic support for the self-governed island has hindered local farmers’ grains exports to China.
