US trying to counter Chinese overtures to Paraguay, influence president Santiago Pena, alleged embassy document suggests
- A report allegedly by US embassy in Asuncion discusses distancing Paraguayan President Santiago Pena from ex-president, who has been sanctioned for corruption
- Paraguay is sole South American country with diplomatic ties to Taiwan and Pena campaigned on maintaining them

A document allegedly from the US embassy in Paraguay, outlining plans to influence President Santiago Pena and counter “strategic corruption”, suggests that Washington is trying to curb China’s increasing diplomatic presence in the country.
The 13-page document, called “Paraguay Interagency Integrated Anti-Corruption Action Plan”, was allegedly sent by the embassy in Asuncion to the White House on July 27, three months after Pena won the country’s presidential election.
First reported by the Argentine newspaper La Politica Online, the plan cites the political sway of Horacio Cartes, Paraguay’s former president and a key mentor to Pena, highlighting their relationship as a potential threat to US influence in the region.
After the Paraguayan elections, it reads, Beijing might refocus its efforts on Paraguay, making Cartes’ involvement with corruption schemes “an emerging threat and one with importance to our broader position in South America”.

Paraguay is the sole South American country holding diplomatic relations with Taiwan rather than mainland China. During his campaign, Pena pledged to maintain relations with Taiwan.
In a news conference, US Ambassador Marc Ostfield neither confirmed nor denied the authenticity of the plan. Ostfield added that Washington remained committed to “supporting Paraguayan institutions in combating corruption and impunity”.