Pedro Juan Caballero (Spanish pronunciation: [ˈpeðɾo ˈxwaŋ kaβaˈʎeɾo]) is a Paraguayan city in the Amambay Department of which it is the capital.

[4] The city is home to the Club Sportivo 2 de Mayo, counting with the Monumental Río Parapití which was used for the 1999 Copa América and is Paraguay's fifth biggest football stadium.

The city based its economy initially on the processing of yerba mate (it is located in the south end of the herds of Tacurupyta, that, after the War of the Triple Alliance, were almost totally passed into the hands of Brazil) and the forest exploitation.

In 1899, merchant Don Jorge Casaccia, owner of large tracts of land, plantations and an import-export company founded at the end of the War of the Triple Alliance, a large shareholder of "La Industrial Paraguaya" and the "Mercantile Bank", ceded to the government a land for the settlement of the population, according to SA Cardona.

The first house was built in 1894, owned by Don Jose Tapia Ortiz, although it actually settled in a place called "Portera", a year after the foundation of Ponta Porã.

But as early as 1893, Don Pablino Ramirez had settled with his wagons and footpaths on the shores of Lake Punta Porá, making it difficult to known for sure who was the first "official" Pedrojuanino.

On December 29, 1905, the Junta Económico Administrativa was created to carry out activities very similar to those of the present communes and municipalities.