Taiwan is expanding cooperation with Paraguay to develop internationally recognized carbon credits and strengthen its participation in global carbon markets. The two countries signed a memorandum of understanding under the Paris Agreement, and Taiwan’s Environment Minister Peng Chi-ming visited Paraguay to launch pilot projects focused on afforestation and electric buses. Because Taiwan is not a UN member and cannot join state-to-state emissions trading under Article 6.2, it aims to use Article 6.4 mechanisms for global market participation. The forestry project could generate significant carbon credits, and the electric bus project will replace diesel buses using Paraguay’s renewable energy. The partnership may lead to a digital carbon credit registry and a bilateral emissions trading platform.
