Japan, Paraguay agree to upgrade ties amid China's rising clout

Leaders hail new 'strategic partnership' at Tokyo summit

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Japanese Prime Minister Shigeru Ishiba and Paraguayan President Santiago Pena shake hands before holding talks in Tokyo on May 2. © Reuters

TOKYO (Kyodo) -- The leaders of Japan and Paraguay agreed Wednesday to upgrade their ties to a "strategic partnership," in a move seen as an effort to counter China's growing military and economic influence, as the Latin American nation maintains diplomatic relations with Taiwan.

Prime Minister Shigeru Ishiba and Paraguayan President Santiago Pena also reached a broad agreement on an investment accord aimed at encouraging Japanese firms to make a foray into Paraguay. The two leaders spoke in a joint appearance after their talks in Tokyo.

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