The allied relations between Azerbaijan and Uzbekistan are gradually entering a new phase, in which political trust is increasingly underpinned by economic ties. Growing trade, the development of joint ventures, investment mechanisms, industrial cooperation and expanding transport routes are creating the foundation for closer integration of the markets of Central Asia and the South Caucasus. The current model of relations has developed over several decades.
An important role in this process was played by the official visit of National Leader Heydar Aliyev to Uzbekistan on June 18–19, 1997, during which a number of documents were signed laying the groundwork for further cooperation. In recent years, political dialogue has gained particularly strong momentum. Over the past five years, President of Azerbaijan Ilham Aliyev has made two state and four working visits to Uzbekistan, while President of Uzbekistan Shavkat Mirziyoyev has made two state and seven working visits to Azerbaijan.
As a result, the two countries signed the Declaration on Deepening Strategic Partnership and Expanding Comprehensive Cooperation, the Treaty on the Establishment of the Supreme Interstate Council, and the Treaty on Allied Relations. Trade and investment cooperation, industrial cooperation, and interaction in the fields of energy, agriculture, transport and logistics are actively developing,” Shakhodat Khoshimova, chief research fellow at the Center for Foreign Policy Studies of Uzbekistan, told Trend. In her assessment, the next stage should involve moving from individual projects toward more sustainable transregional ties.
This can become the main economic substance of the allied relations between the two countries,” the expert said. Trade and investment as the foundation for industrial cooperation Economic dynamics already reflect the strengthening of bilateral relations. In 2025, trade turnover between Azerbaijan and Uzbekistan more than tripled, reaching $795 million.
In January–May 2026, it increased by 33 percent compared with the same period of the previous year, reaching $144 million. At the same time, experts associate further trade expansion with changes in its structure. The focus is shifting from mutual supplies toward the creation of production chains in which companies from the two countries complement each other.
This is where the greatest potential for mutual investment lies,” Uzbek political analyst and Candidate of Philosophical Sciences Ravshan Nazarov told Trend. According to him, promising areas include mechanical engineering, electrical engineering, chemical and petrochemical industries, construction materials, textiles and pharmaceuticals. One of the mechanisms for realizing this potential is the Azerbaijan-Uzbekistan Investment Company, established in 2023 with a capital of $500 million.
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