Skirmishes on the border between Armenia and Azerbaijan have recently flared up again, not only jeopardizing progress made in talks for a peaceful resolution to the 2020 Karabakh war but also unearthing labor migrant rights in Armenia. On June 14, the Armenian Defense Ministry released a statement saying that two Indian citizens had been wounded by Azerbaijani shelling in the Armenian town of Yersakh, close to the border with Azerbaijan’s Nakhchivan exclave. The two Indian nationals were reportedly working at the construction site of the metallurgical (steel) plant in Yeraskh when it came under Azerbaijani cross-border gunfire. The steel plant, reportedly owned by American-Armenian company GTB Steel LLC, has been a topic of controversy between Armenia and Azerbaijan, with Azerbaijani environmental concerns about its operations. Following the events, the Spokesperson for the U.S. Department of State, Matthew Miller, wrote the following on his Twitter account about the shooting: “We are deeply concerned that two civilian employees of a U.S.- affiliated company in Armenia sustained injuries from gunfire from the direction of Azerbaijan. We reiterate our call for restraint along the borders as the parties work toward a durable and balanced peace.”

While the recent border shootings undoubtedly undermine the ongoing diplomatic efforts to bring both parties back to a negotiating table, they also shed light on the harsh realities regarding Armenia’s immigrant labor rights. 

On 3 June, the Armenian Minister of Economy Vahan Kerobyan posted a video on his Facebook page announcing the construction of a new metallurgical plant in Yeraskh, located less than a kilometer north of the Armenian border with Azerbaijan’s Nakhchivan province. The plant is currently being built by the American-Armenian company, GTB Steel LLC, with an investment of $70 million. GTB Steel LLC was founded in July 2022 and is partially owned by GTB Holdings, which itself is 50% owned by Grigor Ter-Ghazaryan, the husband of Nono Sargsyan. Nono Sargsyan is the daughter of Armen Sargsyan, who is the brother of Vazgen Sargsyan, an Armenian military commander, and former prime minister, assassinated in 1999 by Armenian extremists. In 2003, Armen Sargsyan was sentenced to 15 years for killing journalist Tigran Naghdalyan, but was released on parole in 2008. According to the investigative outlet, Hetq, a U.S. citizen of Indian origin named Bobby Singh Kang owns the other half of the company. Bobby Singh Kang is a billionaire and is currently serving as the founder & CEO of Cargo Solution Express Inc (CSE), a cargo company based in the United States.

The two victims of the shootings were identified by the Defense Ministry as Indian citizens Muhammad Asif and Mirhasan Sahajan. Out of the 200 employed at the construction site of the steel plant, 70 are reported to be Indian citizens. These recent developments on the Armenian-Azerbaijani border have raised some questions about the labor market in Armenia, specifically regarding immigrant workers from India. According to a report published by the Institute of War & Peace Reporting in April, Indian and Iranian labor migrants make up a considerable portion of Armenia’s labor force. While many of these workers have residence status or work permits, some are illegal aliens. The report claims that the exploitation of Indian migrants by labor traffickers in Armenia has become common in the last few years, following the 2017 visa liberalization for Indian citizens. “The last case of Indian citizens being subjected to labor trafficking in Armenia was registered in 2018, although the practice continues,” the report states. Most migrants who travel to Armenia with the hope of emigrating to Europe are uninformed about legal implications and end up working on construction sites, providing labor-intensive services. 

The escalation related to the construction of the steel plant has caused much controversy between Armenian and Azerbaijani officials. Following the shooting, Armenia’s Deputy Foreign Minister Vahan Kostanyan tweeted that the monitors of the EU’s civilian mission deployed to Armenia’s border with Azerbaijan visited the construction site of the plant in Yeraskh. On June 14, Armenia’s Foreign Minister Ararat Mirzoyan accused Baku of deliberately targeting the U.S.-affiliated plant. Mirzoyan also called on the international community to take a “very sharp stance” against Azerbaijan’s breach of Armenia’s sovereign borders. “The Azerbaijani side first came up with fabricated environmental accusations, while we have fulfilled all our international obligations, including within the environmental context, and this is also about this specific factory,” Mirzoyan said, accusing Azerbaijan of deliberately targeting that specific facility and disrupting its development through the use of force. Mirzoyan further argued that the construction of the plant can contribute to the economic development of Armenia.

Environmental concerns have been at the center of Azerbaijani officials’ stance on the matter. Following the announcement of the construction of the plant, the Azerbaijani Ministry of Ecology and Natural Resources came out with a criticizing statement on June 7, describing the planned metallurgical plant on the border as a gross violation of international environmental law. The ministry cited the United Nations’ Espoo Convention, which requires governments to inform and engage in consultation regarding significant projects with potential cross-border environmental consequences. Furthermore, the statement said that Armenia “should have ensured the participation of Azerbaijan and the public in the affected areas in the transboundary environmental impact assessment procedure before starting the construction.” Given the “serious negative impact on the ecological environment of Azerbaijan” caused by the Armenian mining industry via the Kajaran copper-molybdenum plant and the Kapan ore processing plant, the Azerbaijani side claims that the construction of the steel plant in Yeraskh should be re-considered. 

In response to the criticism, both GTB Steel LLC and the Armenian Ministry of Environment released statements asserting that the construction of the plant would adhere to environmental standards and regulations, in compliance with domestic laws. The Armenian Ministry of Environment also accused Azerbaijan of deliberately using “environmental false alarms” to try to hinder Armenia’s economic development. 

Lastly, the location of the plant in Yeraskh is also of strategic importance. Yeraskh serves as the starting point of a defunct railway that was established during the Soviet era, linking Armenia and Azerbaijan through Nakhchivan. Earlier in June, the deputy prime ministers of Armenia, Azerbaijan, and Russia met in Moscow to discuss the re-establishment of the route. “The biggest problem is trust - that’s precisely why the negotiations are proceeding slowly,” said the Russian Deputy Prime Minister following the discussions. He further added that “it would be far easier to find solutions if the shooting stopped.” 

Border shootings and disputes, such as those over the Yeraskh steel plant, pose a significant threat to lasting peace between Armenia and Azerbaijan. In order to successfully move forward with peace efforts, there should be an understanding on each side that one country’s domestic matters can also affect the other country. Environmental issues go beyond state borders and, hence, should be discussed on an international level when multiple parties are involved. Both Armenia and Azerbaijan will undoubtedly benefit from contributing to fostering a region in which strict adherence to environmental safeguards is upheld for the benefit of people living in the affected areas. This also pertains to the safety of foreign nationals living in Armenia, whose conditions should be improved and whose legal status should be carefully examined.