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EU trade relations with Azerbaijan. Facts, figures and latest developments.

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EU-Azerbaijan trade relations are based on a Partnership and Cooperation Agreement which has been in force since 1999.

The EU and Azerbaijan launched negotiations for a new comprehensive agreement in February 2017.

The negotiations include talks to enhance the EU-Azerbaijan trade cooperation. After seven trade rounds, the negotiations of the trade title of the new Agreement, also including a chapter on trade and sustainable development, are now very advanced. The aim is to further expand EU-Azerbaijan trade relations and to support Azerbaijan's future WTO membership.

Trade picture

  • The EU is Azerbaijan's main trading partner, accounting for around 36.7% of Azerbaijan's total trade.
  • The EU continues to be Azerbaijan's biggest export and second-biggest import market, with a 51% share of Azerbaijan's exports and a 16% share of Azerbaijan's imports.
  • EU imports from Azerbaijan chiefly consist of mineral fuels, lubricants and related materials. Other EU imports from Azerbaijan include mainly food and live animals, chemicals and related products, and certain manufactured goods.
  • EU exports to Azerbaijan are dominated by machinery and transport equipment. Other EU exports to Azerbaijan include mainly chemicals and related products, manufactured goods and articles, and food and live animals.

The EU and Azerbaijan

The EU supports closer trade and economic integration with Azerbaijan through the European Neighbourhood Policy (ENP) and its Eastern Partnership policy.

The EU and Azerbaijan on 21 September 2018 agreed on Partnership Priorities, which set joint policy priorities that will guide and enhance the EU-Azerbaijan partnership over the coming years. The Commission and the European External Action Service (EEAS) prepare annual reports where they assess progress. The 2019 report was released on 15 March 2019.

The current Partnership and Cooperation Agreement does not include tariff preferences, but eliminates trade quotas between the two and aims to gradually approximate Azerbaijan's standards to those of the EU.

Azerbaijan applied for membership to the World Trade Organisation (WTO) in 1997. The accession negotiations are ongoing.

Committees and Dialogues

The EU and Azerbaijan meet regularly to discuss issues and best practices and oversee the proper functioning of the Agreement.

Technical committee meetings - agendas and reports

Trading with Azerbaijan