BAKU, Azerbaijan, July 16. Chairman of the People’s Council of Turkmenistan, Gurbanguly Berdimuhamedov, arrived in Azerbaijan today. The timing and substance of the visit are highly symbolic, as relations between the two Caspian neighbors continue to deepen across multiple fronts.
Baku and Ashgabat are strengthening cooperation in several key areas - from energy and logistics to political coordination and cultural exchange. And increasingly, this trajectory of closer ties appears both stable and mutually beneficial.
One of the clearest symbols of this diplomatic shift is the renaming of the disputed Kapaz/Serdar offshore field to Dostlug, which means Friendship in both Azerbaijani and Turkmen. The move has paved the way for long-term joint energy projects in the Caspian Sea.
Since signing a memorandum of understanding in 2021, the two countries have been working together on the exploration and development of the promising Dostlug field. In November 2023, discussions expanded to include the potential involvement of Azerbaijan’s state oil company SOCAR in other Turkmen fields - a sign of growing trust and shared strategic vision.
Beyond bilateral talks, Azerbaijan and Turkmenistan are also aligning more closely with Türkiye in a trilateral format, focusing on strategic issues ranging from the Caspian Sea’s legal status to reliable energy routes to Europe.
Economic ties are steadily progressing, though not without some imbalances. In 2024, bilateral trade turnover reached $383.7 million. In the first five months of 2025 alone, the figure hit $118.5 million - with Turkmen exports to Azerbaijan accounting for $99.2 million and Azerbaijani exports totaling just $19.2 million.
Turkmen exports to Azerbaijan have dropped significantly compared to the previous year, a decline experts attribute to commodity market fluctuations and logistical challenges. Still, there is clear potential for growth, particularly following the December 2022 signing of a trilateral trade and economic cooperation agreement in Awaza. The agreement included plans to form a working group to facilitate gas exports to Europe.
Energy remains the backbone of bilateral relations. In addition to collaboration on Dostlug, Azerbaijan and Turkmenistan continue to operate a gas swap scheme via Iran. Since early 2025, Azerbaijan has imported 155.3 million cubic meters of natural gas from Turkmenistan, valued at $23.3 million.
SOCAR is expanding its footprint in Turkmenistan. In November 2023, it opened a representative office in Ashgabat and held two meetings that October with Turkmengaz leadership. Talks focused on energy cooperation, technology exchange, and potential joint projects.
The centerpiece of the long-term energy agenda remains the proposed Trans-Caspian Gas Pipeline (TCGP). Estimated at $5 billion, the pipeline has long been seen as critical for bringing Turkmen gas to European markets. The project would connect Turkmenistan’s energy infrastructure to the Southern Gas Corridor (SGC) via Azerbaijan, bypassing transit through Iran and Russia.
As global geopolitical tensions rise, transport and logistics are becoming vital links between East and West, and the Caspian region is taking on renewed strategic importance. Container traffic along the Baku–Turkmenbashi route has surged nearly threefold, reaching 2,362 TEUs.
A major development is the Lapis Lazuli Corridor, which links Afghanistan, Turkmenistan, Azerbaijan, Georgia, and Türkiye. The route is becoming a viable alternative to traditional trade pathways and is helping establish a new Eurasian transit hub.
A recent memorandum between ADY Container and Turkmenistan’s logistics center confirms growing momentum in freight cooperation. Both nations also participate in the Ashgabat Agreement, a multilateral framework that facilitates access to the Persian Gulf.
Humanitarian ties are also gaining strength. From January to May 2025, over 12,000 Turkmen citizens visited Azerbaijan — more than half of them for tourism. This surge highlights not only increased openness, but also the deepening cultural, linguistic, and historical bonds between the two nations.
Gurbanguly Berdimuhamedov’s visit to Baku underscores the growing strategic alignment between Azerbaijan and Turkmenistan.
Energy, transport, trade, and culture - each of these pillars supports a broader agenda of integration that is unfolding not just on paper, but in practice. As traditional routes falter and global dynamics shift, these two Caspian states are finding common ground, shared priorities - and increasingly, a common path forward.