U.S. and Paraguay Forge Historic Partnership Spanning Trade, Security, and Nuclear Energy

During a visit to Paraguay, Deputy Secretary of State Christopher Landau met with President Santiago Peña and Foreign Minister Rubén Ramírez Lezcano to deepen the bilateral strategic partnership through concrete commitments designed to expand economic growth and counter shared transnational threats. The initiatives span new U.S. private sector investment, enhanced airspace and border security, expanded law enforcement cooperation to disrupt illicit finance, and the launch of negotiations for civil nuclear cooperation.

Expanding Trade and Investment

• Deputy Secretary Landau led a trade delegation to Asunción from October 19–21 aimed at increasing U.S. investment and creating opportunities for American businesses in technology, critical minerals, riverine infrastructure, and logistics.

• Crusoe, a U.S. AI infrastructure company, and Arauco, a Paraguayan energy and infrastructure developer, finalized a strategic partnership to build high-performance AI data centers powered by the Itaipú Hydroelectric Dam. Crusoe plans to bring an initial deployment online by mid-2027. The facility will draw directly from one of the world’s largest 100% renewable hydroelectric sources to serve cloud customers across the United States and Latin America, potentially representing one of the largest private investments in Paraguay’s history.

• Uranium Energy Corp (UEC) announced a $12 million investment to develop one of its uranium concessions in Paraguay. The project creates jobs in both nations and offers Paraguay a transparent, rules-based alternative to predatory financing from strategic competitors.

Strengthening Regional Security

• Deputy Secretary Landau and Foreign Minister Ramírez signed an Aerial Intercept Assistance Agreement, which will enter into force following an exchange of diplomatic notes. Once active, the accord will bolster Paraguay’s ability to monitor and defend its airspace against suspected narcotrafficking flights.

• The Department of State is providing $5.5 million in foreign assistance to expand efforts countering terrorist financing, prosecuting narco-terrorists, operationalizing a new counterterrorism center, and launching projects focused on border security and digital evidence capabilities.

• The Department is preparing to deploy a counterterrorism advisor to Asunción—the first such position for the Bureau of Counterterrorism in the Western Hemisphere—to oversee new and ongoing program engagements.

• The two officials also signed a Memorandum of Intent to enhance cooperation on countering terrorist travel by deploying the Personal Identification Secure Comparison and Evaluation System (PISCES) for border management and passenger screening in Paraguay.

Combating Transnational Crime and Illicit Finance

• The Department of State is providing $6.25 million in bilateral security assistance to address transnational organized crime.

• The Department announced the establishment of a Bureau of International Narcotics and Law Enforcement Affairs (INL) office in Asunción—the first in the country—which will also function as a regional hub for INL program coordination across the Southern Cone.

Advancing Civil Nuclear Cooperation

• The United States and Paraguay announced the start of negotiations toward a U.S. Atomic Energy Act Agreement for Cooperation in the Peaceful Uses of Nuclear Energy (a “123 Agreement”). Once in force, the accord would establish the legal framework required for U.S. companies to export civil nuclear equipment and material to Paraguay under the highest standards of nuclear safety, security, and nonproliferation.

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