Case Explained: Paraguay-US Forge Strategic Front Against Transnational Organized Crime – Legal Perspective

The Paraguayan government has taken decisive steps to solidify its alliance with the United States, intensifying its offensive against organized crime through high-level diplomatic and military integration with Washington.

As 2025 drew to a close, the two nations formalized their security partnership with the signing of a modern Status of Forces Agreement (SOFA). The instrument, signed in Washington by Paraguayan Foreign Minister Rubén Ramírez and U.S. Secretary of State Marco Rubio, aims to more efficiently facilitate joint efforts against narcotrafficking and regional transnational crime.

The Paraguayan Foreign Ministry noted that the agreement is a direct result of Paraguayan President Santiago Peña’s commitment to deepening bilateral ties while bolstering democracy, the rule of law, and human rights across the hemisphere. The treaty facilitates cooperation that can support wide-ranging activities, spanning military training and humanitarian assistance to technical exercises to build skills in the fight against criminal networks.

Paraguay takes the lead in the fight against organized crime

In an unprecedented move, Paraguay officially designated the Brazilian criminal groups First capital Command (PCC) and Red Command (CV) as terrorist organizations. This strategic reclassification was finalized in October 2025 during a high-level session of the National Defense Council (CODENA). The Council, which advises the presidency on security and defense, sought to provide the state with the legal tools necessary to use military intelligence and specialized assets against these groups. The classification is designed to allow for more aggressive sentencing, expedited extradition, and the freezing of illicit assets.

The urgency of this measure was almost immediately validated by a surge of violence in Brazil, sparked by the largest police operations in Rio de Janeiro against the CV in late October that resulted in over 130 deaths and underscored the lethal reach of these criminal factions.

In response to the risk of violence spilling across borders, the Tri-Border Tripartite Command — made up of Argentine, Brazilian, and Paraguayan forces — issued a high-level alert about the possible infiltration of criminal cells into neighboring territories. President Peña subsequently raised the national alert level to its maximum setting along the Brazilian border area.

Operation Escudo Guaraní: A forceful response at the borders

Coinciding with these shifts, Paraguay launched Operation Escudo Guaraní in November. This massive interagency mobilization involved 4,000 military personnel and 7,000 police officers, deployed in the departments bordering Argentina and Brazil. The operation was designed to neutralize the growing influence of transnational criminal organizations (TCOs) that threaten the country’s borders and deter factional incursions.

“The combination of police and military forces makes us invincible,” Interior Minister Enrique Riera said in October 2025 during the CODENA meeting. “The Paraguayan state will use all its available force to protect citizens and guarantee the security of our democratic institutions.”

Paraguayan Navy Rear Admiral Cíbar Benítez, secretary of CODENA, further clarified the gravity of the new designations. “These organizations [PCC and CV] transcend common criminality and are truly terrorists who threaten the lives of people and the sovereignty of the country; […] these actions are preventive and seek to protect the population.”

A regional trend

Paraguay’s move to classify criminal syndicates as terrorist entities mirrors a broader regional trend in Latin America. In alignment with Washington’s call for more robust prosecution of TCOs, several nations have shifted toward a narco-terrorism legal framework to expand their tactical capabilities.

Ecuadorian President Daniel Noboa pioneered this approach in January 2024, designating 22 criminal gangs as terrorist organizations to allow military intervention in domestic security. This decision was subsequently bolstered by the United States, which issued a wave of Foreign Terrorist Organization (FTO) designations in February 2025 for groups including the Tren de Aragua, MS-13, and major Mexican Cartels. By April, the Peruvian Congress had followed suit, designating the Tren de Aragua as a terrorist organization to combat its destabilizing influence, a move also taken by Trinidad and Tobago, among other nations.

This international synchronization has only deepened as nations recognize the overlap between global and regional threats. In mid-2024, the Argentine government under President Javier Milei officially designated Hamas as a terrorist organization, following its previous recognition of Hezbollah’s terrorist status — a move that underscored Argentina’s commitment to rooting out Iranian proxies in the hemisphere.

This regional architecture was further cemented in late 2025 when President Noboa signed a decree designating Hamas, Hezbollah, and the Islamic Revolutionary Guard Corps (IRGC) as terrorist groups. Shortly thereafter, Argentina reciprocated this regional cooperation by designating the Ecuadorian gangs Los Choneros and Los Lobos as terrorist organizations, reflecting the interconnected nature of modern security threats.

“At its core, this is an intelligence war between countries and criminal organizations. The state has tried to make it more efficient through interagency work,” analyst Guillermo Holzmann of the University of Valparaíso told Diálogo. “This effort is also supported by cooperation from the United States and international organizations, which today provide much of the technical and operational support in this area.”

Securing the future

The combination of new terrorist designations and the modernized SOFA agreement mark a transformative era for Paraguayan sovereignty. This strengthening of domestic and international ties is further reflected in Paraguay’s role as a regional partner; the country is slated to host Fuerzas Comando in August 2026. This prestigious Special Operations competition, sponsored by U.S. Southern Command (SOUTHCOM), will bring together elite teams from across the Americas, underscoring Paraguay’s growing prominence as a hub for regional security cooperation.

For the Peña administration, among the ultimate objectives is the reclamation of the nation’s borders from the grip of TCOs. As a proactive and reliable ally, Paraguay is ensuring that the fight against organized crime is supported by a robust network of partners committed to the same principles of democracy and the rule of law.