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Paraguay Joins U.S.-Led Alliance to Secure AI Supply Chains
Paraguay becomes the 26th signatory as the pact seeks trusted AI and chip supply chains using critical minerals and hydropower, officials said.
On Friday, October 23, 2026, Paraguay became the 26th signatory to the U.S.-led Pax Silica Declaration at the State Department in Washington, with Foreign Minister Rubén Ramírez Lezcano signing alongside Under Secretary of State for Economic Affairs Jacob Helberg.
The Trump administration launched Pax Silica in December 2025 to secure chip and critical-mineral supply chains, aiming to reduce global reliance on China by leveraging Paraguay's hydropower and mineral resources for AI infrastructure.
Power utility ANDE signed a 15-year contract on Thursday, October 22, 2026, with Kuntur to supply up to 286 megawatts for an AI data center at Yguazú, with pricing from US$48.91 to US$56.39 per megawatt hour.
President Santiago Peña, who leads Paraguay's conservative government, stated he is close to the White House, though officials noted the declaration does not fund specific projects or bind the country to immediate purchases.
Paraguay ranks 10th of 14 in The Rio Times Latin America Power Index with 36.0 points as of October 2026, underscoring infrastructure capacity demands ahead of the first power delivery on December 1, 2026.