Lowland areas of north-eastern Bolivia (eastern Pando, eastern La Paz, eastern Cochabamba, Beni, Santa Cruz), adjacent Brazil (eastern Rondônia, south-western Mato Grosso) and extreme north-eastern Paraguay.
 
Population
Estimated population is unknown (2010).
Fawn-breasted Wren (Cantorchilus guarayanus) [XC709914]
by Guilherme Melo from RN Chuchini, Beni Department, Bolivia (call, song)
Fawn-breasted Wren (Cantorchilus guarayanus) [XC443427]
by JAYRSON ARAUJO DE OLIVEIRA from Santa Cruz de la Sierra Botanical Garden (near Santa Cruz de la Sierra), Provincia de Andr\u00e9s Ib\u00e1\u00f1ez, Departamento de Santa Cruz, Bolivia (call)
Subspecies
No subspecies.
Forms a superspecies with Buff-breasted Wren (Cantorchilus leucotis), Superciliated Wren (Cantorchilus superciliaris) and Long-billed Wren (Cantorchilus longirostris) and sometimes regarded as conspecific with Buff-breasted Wren (Cantorchilus leucotis), although vocalizations quite distinct.