MOFA No. 2 Chen inspects AI data center site in Paraguay

Taipei, June 20 (CNA) Deputy Foreign Minister Chen Ming-chi (陳明祺) inspected the planned site of a "sovereign AI" data center in Paraguay during a visit to Taiwan's sole South American ally from June 14-19.

Chen visited the proposed site for the first phase of the Taiwan-backed project, reviewing local terrain, power distribution facilities and flood-control infrastructure on Thursday, the Ministry of Foreign Affairs (MOFA) said in a statement on Saturday.

The project was formally launched in May when Taiwan and Paraguay signed a memorandum of understanding (MOU) on joint investment in the AI computing center during Paraguayan President Santiago Peña's visit to Taiwan.

In addition to the inspection, Chen met Paraguayan Minister of Information and Communication Technologies Gustavo Villate, who said that Paraguay's abundant green energy resources provide a strong foundation for developing large-scale computing infrastructure, according to MOFA.

During the meeting, Chen said the project has attracted interest from international companies and financial institutions since the agreement was signed by the two governments.

He added that the initiative is expected to strengthen Paraguay's technology sector by leveraging the country's renewable energy resources and cultivating a new generation of technology talent, while creating employment opportunities and supporting economic growth.

Chen also toured the Itaipu hydroelectric plant, one of the world's largest hydroelectric facilities and a major source of Paraguay's electricity supply, to gain a better understanding of the country's power-generation capacity and its potential to support future AI infrastructure.