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Early colonization

The Portuguese were the first Europeans to enter the region of present-day Uruguay in 1512. The Spanish arrived in present-day Uruguay in 1515 but were the first to set foot in the area, claiming it for the crown. The indigenous peoples' fierce resistance to conquest, combined with the absence of valuable resources, limited European settlement in the region during the 16th and 17th centuries. Uruguay then became a zone of contention between the Spanish and Portuguese empires. In 1603, the Spanish began introducing cattle, which became a source of regional wealth. The first permanent Spanish settlement was founded in 1624 at Soriano on the Río Negro. In 1669–71, the Portuguese built a fort at Colonia del Sacramento (Colônia do Sacramento).

Montevideo, the current capital of Uruguay, was founded by the Spanish in the early 18th century as a military stronghold. Its natural harbor soon developed into a commercial area competing with Río de la Plata 's capital, Buenos Aires. Uruguay's early 19th-century history was shaped by ongoing fights for dominance in the Platine region between British, Spanish, Portuguese, and other colonial forces. In 1806 and 1807, the British army attempted to seize Buenos Aires and Montevideo as part of the Napoleonic Wars. Montevideo was occupied by British forces from February to September 1807.