U.S. officials link Paraguay’s resources to AI infrastructure plans
Paraguay became the 26th signatory to the Pax Silica Declaration on Friday after Foreign Minister Rubén Ramírez Lezcano signed it at the U.S. State Department in Washington. The U.S.-led initiative seeks to secure artificial intelligence supply chains, develop advanced computing infrastructure, reduce strategic dependencies and strengthen economic security among participating nations.
Jacob Helberg, the U.S. Under Secretary of State for Economic Affairs, described Pax Silica as a coalition intended to strengthen semiconductor production, support advanced computing and protect technologies considered essential to economic security. The initiative also reflects Washington’s efforts to reduce strategic dependencies and strengthen economic security among participating nations.
The State Department renewed its welcome Monday. In an Oct. 26 post, the State Department Economic Affairs account wrote, “Pax Silica is how we ensure that no adversary can weaponize dependency against us while delivering prosperity for both nations in the SI age.”
U.S. officials highlighted Paraguay’s hydroelectric resources and potential critical mineral deposits as assets for developing AI infrastructure across the Americas. The announcement connects those resources to an alliance covering the AI supply chain from energy and minerals to data centers.
President Santiago Peña welcomed the agreement. In an Oct. 23 post, he wrote in Spanish, “El Paraguay ya no mira la era digital desde afuera: dejamos de ser consumidores de tecnología para ser productores.” He said Paraguay wanted to become a producer of technology rather than merely a consumer.
In the same post, Peña wrote: “Como resultado de nuestra visita a Washington, nos sumamos a Pax Silica, la alianza de naciones confiables que construye la cadena de suministro de la inteligencia artificial, desde la energía y los minerales críticos hasta los centros de datos.” He said Paraguay had joined following the Washington visit and described Pax Silica as an alliance of trusted nations building the AI supply chain from energy and critical minerals through data centers.
Peña also wrote: “Nuestra energía limpia ahora es parte de ese futuro. Más inversión, más empleo y más oportunidades para los paraguayos.” He said Paraguay’s clean energy was already part of the future associated with the initiative and that participation could bring more investment, employment and opportunities for Paraguayans. He also said the country’s abundant hydroelectric power could support large-scale data centers capable of providing computing services to international markets.
Paraguay is the sixth Latin American country to join Pax Silica, following Argentina, Chile, Costa Rica, El Salvador and Panama, which signed in June. The initiative also includes major U.S. technology partners such as Japan, South Korea, India and the United Kingdom.
The announcement followed a separate U.S.-Paraguay cooperation initiative involving American technology company Crusoe and Paraguayan firm Araico. Its goal is to develop high-performance computing infrastructure using electricity supplied through Paraguay’s national power utility, ANDE.
Paraguay generates substantial hydroelectric power through facilities including Itaipu, which it shares with Brazil, and Yacyreta, which it shares with Argentina. The government hopes to use that electricity to attract data centers and technology investment. The expansion of energy-intensive computing facilities could also require additional transmission infrastructure and long-term electricity planning.