Azerbaijan-EU relations in the broader Caspian and Black Sea region: navigating challenges and enhancing cooperation

Abstract

The war between Russia and Ukraine has had major implications for Azerbaijan-EU relations, which have been marked by expanding mutual trade and agreements on a range of energy and connectivity projects. EU-Azerbaijan relations have developed since the early 1990s into several areas such as political dialogue, trade, investment and energy. Now they are preparing for a new phase that will strengthen their cooperation, which is the upgrading of the framework of relations. Moreover, the war has boosted the role of the international trans-Caspian transport route, which serves as an alternative for linking Europe’s energy with the South Caucasus and Central Asia. Azerbaijan remains the main gas export partner for most European countries. Many of them, including Romania, are interested in supplying natural gas from Azerbaijan under the Memorandum of Understanding on a Strategic Energy Partnership between Europe and Azerbaijan, signed in July 2022, which implies growing gas exports and green energy (electricity). However, there are some political impediments that could jeopardise the strengthening of Azerbaijan and EU relations, as well as the full exploitation of the resources available in the Black Sea-Caspian region. According to the authors, the key solution is a united EU position regarding the peace process between Armenia and Azerbaijan.