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moving peace from paper to practice: a first step for armenia and azerbaijan

Moving Peace from Paper to Practice: A First Step for Armenia and Azerbaijan

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Author: Dr. Eric Rudenshiold

10/22/2025

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Taking a quiet but historic step, Azerbaijan lifted long-standing transit restrictions for the movement of Armenian cargo across its territory. This development, coming after decades of hostility and mutual isolation, is a key sign of warming relations and a tangible confidence-building measure between the two countries. Since 1989, the borders between Armenia and Azerbaijan were closed by war, so the reopening of regional trade routes is not just a logistical milestone but a political one, signaling that the South Caucasus is turning from conflict to cooperation. 

While a modest move, this policy shift echoes a broader Eurasian trend that has effectively used connectivity as a tool for reconciliation. Much like Uzbekistan's opening to Tajikistan in 2017, or post-conflict efforts between Kyrgyzstan and Tajikistan in 2022, Azerbaijan's initiative reflects the emergence of a growing regional self-confidence, where peace is not pursued by external mediation but through direct, practical cooperation. Hailed in Yerevan as a step towards institutionalizing peace, the reduced transit barrier is a sign that communication between the two capitals is also becoming regularized.

Initial freight shipments will travel via neighboring Georgia and will facilitate rapid implementation with Tbilisi acting as an established go-between. However, the decision to enable direct cargo movement across Azerbaijani territory will require technical coordination, customs procedures, transport security, and documentation. Each of these tasks will necessitate routine bureaucratic cooperation. Such ministerial and border-point collaboration will build familiarity, predictability, and a degree of confidence that political negotiations alone cannot create. Using cargo as a backstop to diplomacy can enable trade and transit to become the vanguard of trust.

For Baku, the gesture demonstrates maturity and strategic self-confidence by committing to a longer-term view of regional stabilization. For Yerevan, it provides a long-sought end to isolation as well as an economic opportunity to connect with regional supply chains and the growing Middle Corridor for trade connectivity. The reopening of regional transit signifies a symbolic acceptance of the need for coexistence by the two formerly warring nations. But, practically, it begins the process of integrating Armenia back into regional trade and the prospect of building a broader, integrated regional economy. 

Central Asia understands the transformative potential of this kind of breakthrough development. There, over the past decade, similar steps have yielded remarkable results. When Uzbekistan reopened its border with Tajikistan in 2018, it did more than re-establish trade. It replaced historic animosity and mistrust with a sense of a common future between two societies that had grown apart since independence. Cross-border trade was revived, air routes reestablished, and families separated by borders reunited. Trade between the two states tripled within three years, and political cooperation now follows in once-taboo areas such as hydropower and trade cooperation. 

A comparable process continues between Kyrgyzstan and Tajikistan, which began to rebuild local trust after years of rural border clashes that escalated dramatically to major conflict in 2021-2022. Today, joint border patrols, agricultural and water cooperation, and reopened markets have virtually eliminated tensions. In both cases, presidential engagement was followed immediately by the implementation of economic enfranchisement policies. The same recipe could now be applied in the South Caucasus by rebuilding trust through trade. 

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Reopening Armenian cargo transit through Azerbaijan is a first step that carries significant economic and food security implications. Both have depended in the past on Russia as their primary grain supplier, but Moscow's war in Ukraine and its attendant sanctions seriously disrupted South Caucasus economies and logistics. Today, Kazakhstan has emerged as the leading grain supplier to both South Caucasus states, cutting the region’s umbilical dependence to Mother Russia with its at-times coercive policies.  As regional confidence and investment develops, it would not be surprising to see energy and digital connectivity also replace Russian reliance, since connectivity between Central Asia and the South Caucasus is being rapidly consolidated through infrastructure investments. 

For Armenia, the diversification of supply routes builds needed resilience. For Azerbaijan, it reinforces Baku’s position as a Caspian logistical hub connecting Central Asia to European markets. And for both countries, enhanced connectivity demonstrates how economic interdependence can underpin security, not undermine it. 

This reorientation also underscores a wider geopolitical reality: the Trans-Caspian region is learning to function independently and away from Moscow's logistical and political controls. What once flowed north-south from Russia increasingly flows east-west across the Caspian. Every kilometer of reopened route strengthens the region's autonomy and collective self-reliance. 

For much of the post-Soviet era, Russia acted as the arbiter and gatekeeper of Eurasian transport and diplomacy. Its control of energy pipelines and rail networks gave Moscow disproportionate economic power. That leverage is now diminishing. Sanctions, war fatigue, and isolation are curtailing Moscow's ability to be an attractive economic (or political) partner. In its place, a Trans-Caspian partnership is emerging that links Central Asian raw materials and manufacturing capacity to Azerbaijan's ports and pipelines, Georgia's transit infrastructure, and Türkiye and Europe's markets. 

By reopening transit to Armenia, Azerbaijan extends this network to the last unconnected corner of the Trans-Caspian region. As a result, what is taking shape now is not a new bloc, but a regional web of connectivity and interdependence stretching from the Eurasian steppe to the Anatolian plateau. Trade, energy, and transit are the practical drivers of this change, but the impact of this is profoundly strategic by reducing dependency on Russia. 

The Trans-Caspian Middle Corridor forms a growing linkage between China, Central Asia, the South Caucasus, and onward to Europe. A stable and interconnected Caucasus region has been the missing link. While the Middle Corridor currently moves energy and freight from Azerbaijan across Georgia to the Black Sea, every step toward normalization between Armenia and Azerbaijan holds the promise of doubling the Middle Corridor’s freight capacity through a new rail line. 

The decision to reopen Armenian transit through Azerbaijan also symbolizes a deeper shift in the political psychology of Eurasia. After decades of relying on external mediation, the Trans-Caspian countries are beginning to act on their own initiative. Instead of competing against each other for scarce resources largely controlled by Russia, the countries of this region are breaking old dependencies and learning to put détente into practice by shaping futures on their own terms. In short, the South Caucasus and Central Asian countries beginning to exercise agency on their own behalf.

Baku's decision was not dictated by Western pressure or Russian permission. It reflects a pragmatic assessment that long-term stability and prosperity require regional interdependence, not isolation. It also aligns with the interests of Kazakhstan, Uzbekistan, and Türkiye, and with their significant investments in the Trans-Caspian’s trade corridor. For all countries in the region, the new peace process holds great promise, if it can be sustained.

The South Caucasus has long been defined by the conflict between Baku and Yerevan, with closed borders and contested sovereignty. Yet the experience of Central Asia suggests that increased cooperation and integration can be the best form of conflict prevention. The five countries of Central Asia engage in cross-border trade, transport, and communication daily, heightening the cost of any potential intra-regional confrontation.  Following that example, this first step towards transit integration between Armenia and Azerbaijan could easily expand to include broader transport corridors, shared electricity grids, digital connectivity, and other cross-border infrastructure projects to anchor peace. 

Obstacles to reconciliation and its implementation are legion. The war’s deep-seated legacy and mutual mistrust mean that populations on both sides remain wary of any settlement and resistant to compromise. Border demarcation, displaced populations, and the broader question of regional security are overarching issues that threaten progress. But small, practical steps like removing transit restrictions make conflict less profitable and cooperation more attractive by routinizing regular contact. 

Every truck that crosses a reopened route, every ton of grain that passes through shared infrastructure, every conversation between customs officials, works to erode obstructions and lead to positive relations. This transition from bilateral isolation to regional interdependence will require patience and persistence but aligns directly with the Trans-Caspian region’s commitment to connectivity. 

Integrating Armenia into this Trans-Caspian community will require Yerevan to embrace customs coordination and digitalization, infrastructure investments and prioritization, as well as a myriad of decisions already agreed to by its neighbors and Central Asia. The shared approach of this community is not ideological but functional: mutual gain through open trade, shared infrastructure, and diversified supply chains. Each country benefits from the success of the others. 

For Armenia the opportunity is transformative, after being a connectivity outlier, cut off from its neighbors and bound to Russia through security ties. Reopening transit through Azerbaijan offers the possibility of reintegrating into a broader regional economy increasingly driven by east-west versus north-south trade. The benefits to Yerevan and Baku strengthen opportunities for both capitals to enjoy a wider range of partnerships and reduce vulnerability to coercion from any single power. 

The reopening of Armenian cargo transit through Azerbaijan reflects a recognition in both capitals that any logic for isolation is exhausted. Like the reopening of borders and rebuilding of trust in Central Asia, this decision is part of a wider Trans-Caspian reassessment that embraces the rise of regional agency, the need for interconnectivity, and securing sovereignty through cooperation.  Baku’s dismissal of legacy restrictions is a critical sign that implementing the peace process with Yerevan is moving ahead, from paper to practice, by removing barriers and creating avenues for sustainable connectivity. This version of cargo diplomacy appears to be headed on the right track.

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