Azerbaijan marks the annual Remembrance Day with a nationwide tribute to the soldiers who lost their lives during the 44-day war in 2020, but also with a renewed hope brought by the historic peace between Azerbaijan and Armenia, after decades of bitter conflict. The events of that autumn in 2020 changed the 30-year status quo generated by the dissolution of the Soviet Union which had brought decades of deep-rooted conflict and regional stagnation between Azerbaijan and Armenia. The cessation of hostilities in November 2020 reshaped the strategic landscape of the region establishing a new political framework which culminated with the two former rivals reaching a peace agreement which includes borders delimitation, the start of a reconciliation process, but also kickstarting an economic expansion and launching new regional transport corridors for global opportunities.
Six years after the end of the war, this legacy has transitioned from post-war recovery into active regional integration and development. The true dividends of this hard-won peace are now materialising not just in diplomatic halls, but on the ground, fundamentally altering the economic landscape of the South Caucasus. The most visible sign of this evolving relationship is the movement of rail freight, and following the lifting of transit restrictions by Azerbaijan in late 2025, a steady flow of cargo has travelled towards Armenia.
Routed primarily via Azerbaijan Railways from Bilajari station towards the Boyuk Kasik junction at the Georgian border, shipments move into Armenia. This transport artery facilitates both direct bilateral sales and international transit and has established a new economic dynamic. According to state customs data, direct exports from Azerbaijan to Armenia between January and August 2026 reached over $17 million (over €15 million).
While this accounts for just 0.08% of Azerbaijan's total global exports, the physical volume is substantial. Direct shipments have included approximately 17,000 tonnes of diesel fuel and roughly 5,000 tonnes of AI-92 and AI-95 petrol. The trade even saw a brief reciprocal exchange, with Azerbaijan recording a symbolic $960 in imports from Armenia in March.
The route also serves as a vital corridor for third-country transit. Recent freight shifted around Azerbaijani territory includes nearly 60,000 tonnes of agricultural products, such as wheat, barley, and buckwheat, alongside more than 9,000 tonnes of fertiliser and over 1,400 tonnes of propane gas. Industrial materials are also moving steadily through the corridor, comprising 1,114 tonnes of coal, 608 tonnes of timber, and 133 tonnes of aluminium.
Beyond physical rail freight, bilateral cooperation has achieved significant progress in the digital domain. The two countries have implemented a digital transit agreement between national operators AzerTelecom and Telecom Armenia. Under this arrangement, a portion of Armenia’s international internet traffic is routed across Azerbaijan.
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