China has proposed to Paraguay a gradual process of rapprochement with special emphasis in trade and cultural fields at a first stage, revealed Paraguay's Foreign Affairs minister Hector Lacognata. Paraguay is the only South American that has no diplomatic relations with Beijing since it has maintained loyal to Taiwan. All Mercosur members have long established relations with China which has rapidly become one of the block's main trade partners.
Lacognata revealed that Paraguay is prepared to advance in the proposal and a meeting has been scheduled for May 12 with Yang Jiechi, at the Shanghai Expo 2010. Precisely that day the expo organizers have dedicated it to Paraguay. (Source: Mercopress.com. Mar 12, 2010).