German president visits Azerbaijan amid strengthening bilateral ties

German President Frank-Walter Steinmeier's visit to Baku comes amid deepening political and economic cooperation between Azerbaijan and Germany. Energy, trade, transport, and green technology are at the forefront of the bilateral agenda.

In recent years, the two countries have strengthened ties across multiple sectors. Trade turnover between Azerbaijan and Germany reached $485.4 million in January- February 2025, up 2.8 times from a year earlier. Germany currently ranks fifth among Azerbaijan’s top trading partners.

Energy and Green Cooperation Drive Relations

Energy remains a key area of cooperation. Germany, looking to diversify its energy supply, has increased imports from Azerbaijan. In the first two months of 2025, Azerbaijan exported 500,000 tons of oil and petroleum products to Germany worth $276.5 million — a 5.3-fold increase in value and 6.1-fold in volume compared to the previous year. Germany became the second-largest destination for Azerbaijani oil exports during this period.

As a key supplier of natural gas to Europe via the Southern Gas Corridor, Azerbaijan is expanding export routes while also developing renewable energy initiatives. In November 2024, German Vice Chancellor Robert Habeck and Azerbaijani Energy Minister Parviz Shahbazov held talks in Baku on green energy cooperation, including wind energy potential in the Caspian Sea and the production of green hydrogen.

Earlier, in March 2023, Shahbazov met with over 20 German companies in Berlin — including Siemens Energy, Uniper, and Notus Energy — to discuss energy transmission and hydrogen project development.

Transport and Connectivity

Transport is another strategic pillar of cooperation. Azerbaijan plays a central role in the Middle Corridor, a transit route linking China and Europe via Central Asia and the South Caucasus. Germany, as Europe’s largest economy, has shown a growing interest in integrating its logistics infrastructure with this corridor, aiming to boost supply chain resilience and connectivity.

Strategic Dialogue and Investment Outlook

President Ilham Aliyev has promoted closer engagement with Germany, holding meetings with executives from 30 major German companies during a visit to Berlin to explore investment opportunities in Azerbaijan.

Germany views Azerbaijan as a rising geopolitical and economic force in the South Caucasus, recognizing Baku’s significance in energy security, sustainable development, and regional transport.

With its role as a stable energy supplier, a growing hub for green technologies, and a gateway in trans-Eurasian trade, Azerbaijan is becoming an increasingly strategic partner for Germany and Europe as a whole.

N.Tebrizli