The Government of Paraguay and that of the United States sealed a year of closeness in National Defense matters in 2025. Last May, both countries signed a memorandum of understanding for the acquisition of “Defense Articles and Defense Services,” and later, in December, both governments signed the SOFA (Status of Forces Agreement).
According to the signed memorandum, the Ministry of National Defense intends to acquire defense articles and services through United States security cooperation programs, in accordance with the laws, regulations, and policies of the North American country.
Paraguay’s Ministry of Defense intends to submit letters of request to the United States Department of Defense to initiate an acquisition under the security cooperation programs. Once the Letter of Offer and Acceptance (LOA, by its English acronym) is finalized by the Paraguayan Ministry of Defense and the U.S. Department of Defense, the Paraguayan Government must make the required payments in U.S. dollars, within the timeframe stipulated by the U.S. Department of Defense, through a funds transfer to an account designated by the U.S. Department of Defense.
This memorandum also states that the participants understand that the defense articles and services acquired under this Memorandum will be exempt from customs duties, taxes, tariffs, or similar charges, provided that such exemptions are compatible with the terms of a letter of agreement under which those articles and services are acquired.
“The Participants intend to collaborate to provide the appropriate documentation for tax and customs exemptions, if applicable. Any such exemption available under each letter of agreement is in addition to any other tax exemption provided by the Republic of Paraguay through separate agreements or other means,” the agreement signed by military representatives of both countries states.
Regarding the legal framework, the memo also expresses: “The Participants understand that any modification to Paraguayan national legislation, in order to make Paraguayan participation in U.S. security cooperation programs effective, does not impose any legal obligation on the United States Department of Defense other than those expressly established in each LOA between the Paraguayan Ministry of National Defense and the United States Department of Defense.”
Meanwhile, the SOFA agreement provides clarity regarding the presence of U.S. personnel in Paraguay for the training of Paraguayan military personnel. These personnel may be military or civilian and take part in previously agreed cooperation activities through national defense activities. These may include activities such as joint training of security forces, humanitarian assistance, strengthening national defense capabilities, and other mutually agreed actions that directly benefit the well-being of Paraguayan citizens, as emphasized by Paraguay’s Minister of Foreign Affairs, Rubén Lezcano.
Open cooperation
U.S. forces currently have several cooperation programs under which Paraguayan military branches have received both training and equipment.
It should be recalled that the Army, Navy, Air Force, and Logistics Command added firefighting equipment provided by the Massachusetts National Guard as part of a capacity-building program for Paraguayan military personnel.
Within the Paraguayan Navy’s resilience program, the United States will donate fast boats for the control of Paraguayan rivers that form borders with Argentina and Brazil; the first vessel was added last year, and three more are expected during the first half of this year.
Training of personnel from all military branches has taken place both on Paraguayan and U.S. soil. Units of the United States Special Forces (Navy SEALs) conducted courses in Paraguay, and several Paraguayan military personnel are also receiving courses at different units in the North American country.
With the SOFA agreement, Paraguay’s Ministry of National Defense has reinforced talks with the company Northrop Grumman to shorten timelines for the installation of the radar system acquired by the Air Force to provide full coverage of national airspace.
In recent hours, the President of the Republic, Santiago Peña, and the United States Secretary of State, Marco Rubio, held a telephone conversation in which the Paraguayan state endorsed recent U.S. actions in Venezuela.
“Our commitment to democracy and the well-being of our peoples is firm. We reaffirm the values we share and agree on the importance of working together to promote security, stability, and prosperity in the region,” Peña stated on his X social media account. All of these actions are aligned with the Paraguayan Government’s stance alongside the U.S. government.
Cover photograph used for illustrative purposes.
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