Paraguay's biggest motorsport moment in history. The Rally del Paraguay joined the FIA World Rally Championship calendar for the first time in 2025, placing the country alongside Finland, Portugal, Kenya, and Japan as global rally destinations. The event is based in Encarnación (Itapúa region, southern Paraguay near the Argentine border) with stages on distinctive red-earth gravel roads through Cambyretá, Bella Vista, Capitán Miranda, Obligado, and Hohenau. The bright red "tierra colorada" surface is the visual signature — unlike any other rally on the WRC calendar. The event evolved from the existing Rally Trans Itapúa (CODASUR championship). Late August date. Hotels in Encarnación book out 6+ months ahead for the WRC weekend. Tickets through the official rallydelparaguay.com.
The Transchaco Rally is one of South America's most punishing motorsport events. Running annually since 1971, this 4-day endurance rally crosses 2,500km+ of the Paraguayan Gran Chaco — South America's vast, hot, dusty, semi-arid wilderness. The terrain is brutal: corrugated dirt roads, deep dust, fesh-fesh sand, river crossings, 45°C+ heat, and stretches where towns are 200km+ apart. The Codasur South American Rally Championship round attracts entries from Argentina, Brazil, Bolivia, Uruguay, and Chile. Toyota Hilux, Ford Ranger, and Mitsubishi L200 pickup trucks dominate the field given the terrain. Run in September-October. Spectator access is genuinely tough — the rally itself is hard, and spectating requires 4x4 transport from limited Chaco towns (Filadelfia, Loma Plata).
The Itapúa region in southern Paraguay delivers one of the world's most photogenic rally driving environments. The bright red "tierra colorada" (iron-oxide-rich earth) gives the region its distinctive colour — the same red soil found across southern Brazil, northern Argentina, and Paraguay's southeast. The road network from Encarnación radiates through Cambyretá, Bella Vista, and Trinidad (the Jesuit mission ruins) on a mix of paved primary roads and red-gravel secondary routes. The Yacyretá dam on the Paraná river is the regional landscape anchor. Best driven April-September (dry season, mild temperatures); avoid October-March wet season when the red gravel turns to thick mud. Encarnación is 6 hours by car from Asunción on Ruta 6.
Ruta Transchaco (Ruta 9) is South America's wildest paved long-distance route. The road runs 700km north from Asunción through the Paraguayan Gran Chaco to the Bolivian border at Mariscal Estigarribia, then continues another 250km of mixed paved-and-dirt to the Bolivian crossing at Fortín Infante Rivarola. The drive crosses some of the most sparsely populated terrain in the Americas: the Mennonite colonies at Filadelfia and Loma Plata (the only major settlements between Asunción and the border), savannah scrubland, and the vast salt-pan dust plains. Fuel availability: stations every 100-150km on the paved sections, but the last reliable fuel before the Bolivian border is at Mariscal Estigarribia. Real expedition driving with serious preparation — 4WD, jerry cans, satellite communication. Best driven May-September (dry, cooler).
Southern Paraguay offers automotive travel paired with extraordinary colonial heritage. The Jesuit Missions of Paraguay — the seven 17th-18th century reductions established by the Society of Jesus among the Guaraní peoples — form a UNESCO World Heritage circuit accessible by car. The two most spectacular ruins are at Trinidad and Jesús (both within 60km of Encarnación), with Trinidad's red sandstone bell tower being the country's most photographed monument. The Paraná River corridor along Ruta 6 connects these missions with the Yacyretá dam, the Salto del Monday waterfall, and Ciudad del Este (the second-largest Paraguayan city, the Iguazú Falls border crossing to Brazil). Combine the Rally del Paraguay weekend with a 5-day Jesuit Missions road trip for the best comprehensive Paraguay experience.
Paraguay has a quietly distinctive classic car scene built on Argentinian and Brazilian imports. The Volkswagen Type 1 (the Beetle, locally called Fusca after the Brazilian name) is everywhere — imported via Brazil during the 1960s-80s, with Asunción's Mercado 4 area hosting weekend Fusca meets. The Ford Falcon (Argentine-built 1962-1991) is the other ubiquitous Paraguayan classic — originally imported new from across the border, now restoration objects. Plus the Chevrolet Opala (Brazilian-built 1968-1992) and the Citroën 3CV (Argentinian-built Citroën 2CV variant). The Club de Autos Antiguos del Paraguay (CAAP) organises monthly meets in Asunción and an annual classic car show. Affordable restoration costs (US$3,000-8,000 for a complete Fusca restoration locally) make Paraguay an emerging classic car hub for South American enthusiasts.
