For years, Paraguay has maintained friendly relations with Taiwan, thanks to its long-term ruling party, the conservative National Republican Association — Colorado Party. Even if a candidate from the Authentic Radical Liberal Party were elected president, it would not hold a majority in the country. Paraguay has therefore contributed to a unique situation in South America: It is a right-wing country among mostly leftist governments.
Last month in an interview with the Financial Times, Paraguayan President Mario Abdo Benitez appealed to Taiwan for a US$1 billion investment in his country so that he could resist the “enormous” pressure to switch diplomatic recognition to China. Taiwan should indeed devote more efforts to Paraguay, which has never asked Taiwan for a favor before.
Besides, Taiwan received a generous gift from Abdo Benitez’s predecessor, Horacio Cartes: a free-trade agreement. Given that Paraguay is a member of Mercosur, the Southern Common Market, the trade agreement with Paraguay would connect Taiwan with the South American trade bloc. That was in 2017, when China imposed the first wave of import bans on products from Taiwan.
Moreover, on July 16, the Taiwanese embassy in Paraguay announced that the Ministry of Foreign Affairs and the Chinese International Economic Cooperation Association organized their “Taiwan Economic and Business Cooperation Mission to Central and South America.” The delegation visited Paraguay and was received by Abdo Benitez. This means that opportunities for investment in the market are all in place.
Despite being surrounded by China’s diplomatic allies, Paraguay offers Taiwan a gateway to the region. South American countries do Paraguay a big favor, allowing Taiwanese businesspeople channels for export and opportunities for investment. Which of Taiwan’s diplomatic allies would venture to do this?
Of course, in terms of market size, it is impossible for Taiwan to compete with China, but it can offer military assistance to Paraguay and has done so for a long time. The Republic of China Army has provided Humvees and helicopters to Paraguay to fight terrorism.
Could it be that Taiwan cannot afford to purchase Paraguayan agricultural products? During former US president Donald Trump’s administration, Taiwan bought US$1.5 billion of soybeans from the US. Abdo Benitez asked for US$1 billion in “investment,” which means it would earn a profit.
Taiwan needs Mercosur, and Paraguay needs Taiwan’s money to satisfy internal demand and deepen its collaboration with Taiwan. What more is there to discuss?
Meanwhile, the “giant babies” in Paraguay who complain about Paraguay’s remarks are actually helping China. Those who do not appreciate “give and take” are shameful. As human beings, reciprocity is the most fundamental principle. Please do not shame Taiwanese.
Remember also that the Financial Times is an influential publication that is read in the White House.
Through the Financial Times, Abdo Benitez communicated the following to the US: “Paraguay has supported and will firmly support Taiwan for years to come. At the same time, we have kept for you, the US, a strategic point in South America. Taiwan understands the situation and has helped us train our military and police. Surely, it would not be too much for the US to help with our economy and trade.”
Wang Wen-sheng is a doctoral student at Jindal University in India.
Translated by Liu Yi-hung
The Chinese Nationalist Party (KMT) has a good reason to avoid a split vote against the Democratic Progressive Party (DPP) in next month’s presidential election. It has been here before and last time things did not go well. Taiwan had its second direct presidential election in 2000 and the nation’s first ever transition of political power, with the KMT in opposition for the first time. Former president Chen Shui-bian (陳水扁) was ushered in with less than 40 percent of the vote, only marginally ahead of James Soong (宋楚瑜), the candidate of the then-newly formed People First Party (PFP), who got almost 37
The three teams running in January’s presidential election were finally settled on Friday last week, but as the official race started, the vice-presidential candidates of the Chinese Nationalist Party (KMT) and the Taiwan People’s Party (TPP) have attracted more of the spotlight than the presidential candidates in the first week. After the two parties’ anticipated “blue-white alliance” dramatically broke up on the eve of the registration deadline, the KMT’s candidate, New Taipei City Mayor Hou You-yi (侯友宜), the next day announced Broadcasting Corp of China chairman Jaw Shaw-kong (趙少康) as his running mate, while TPP Chairman and presidential candidate Ko Wen-je
On Tuesday, Taiwan’s TAIEX stock index peaked at 17,360 points and closed at 17,341 points, surpassing Hong Kong’s Hang Seng Index, which fell to 17,303 points and closed at 17,541 points. A few years ago, the gap between the Taiwanese and Hong Kong stock indices was more than 20,000 points, but this was before the 2019 anti-extradition protests. Hong Kong is one of the world’s most important financial centers, but many Chinese Internet users joke that it is only a ruin today. When asked by a legislative councilor whether he would communicate with social media platforms in the mainland to request
Chinese Nationalist Party (KMT) presidential candidate and New Taipei City Mayor Hou You-yi (侯友宜) has called on his Democratic Progressive Party (DPP) counterpart, William Lai (賴清德), to abandon his party’s Taiwanese independence platform. Hou’s remarks follow an article published in the Nov. 30 issue of Foreign Affairs by three US-China relations academics: Bonnie Glaser, Jessica Chen Weiss and Thomas Christensen. They suggested that the US emphasize opposition to any unilateral changes in the “status quo” across the Taiwan Strait, and that if Lai wins the election, he should consider freezing the Taiwanese independence clause. The concept of de jure independence was first
RSS