Azerbaijan and Armenia take historic step toward economic cooperation

Azerbaijani MP Qaya Mammadov has described the recent trade agreement between Azerbaijan and Armenia as a historic milestone, signalling a possible shift in relations between the two countries.

, and Administrator

2025 December 19 . 2:31 PM

1 min read

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Azerbaijan and Armenia take historic step toward economic cooperation

Azerbaijan and Armenia have signed a trade agreement to restart direct shipments of Azerbaijani petroleum products. The deal, finalised on 12 November 2020, marks the first major economic cooperation between the two nations in decades. Officials from both sides describe it as a key step toward rebuilding ties after years of tension.

The agreement was signed after months of diplomatic discussions. In October, Azerbaijani President Ilham Aliyev highlighted potential regional cooperation during a state visit to Kazakhstan. His remarks set the stage for the trade deal, which revives long-dormant commercial links.

The arrangement allows Azerbaijani petroleum products to enter Armenia, a move observers see as a test of practical cooperation. Azerbaijani MP Qaya Mammadov called it a 'historic milestone,' noting its significance for the South Caucasus. While both countries still aim for a full peace treaty, this trade deal shows that economic collaboration can progress before a final political settlement. Analysts suggest the agreement could encourage further cooperation. It reflects a willingness to move beyond past conflicts and explore shared economic benefits. The deal also aligns with broader efforts to strengthen regional stability through trade.

The trade agreement opens a new chapter in relations between Azerbaijan and Armenia. It demonstrates that economic cooperation can advance even while political negotiations continue. The deal’s success may influence future trade and diplomatic efforts in the region.