Germany and Azerbaijan establish joint Economic Council and deepen energy cooperation

German Chancellor Friedrich Merz and Azerbaijani President Ilham Aliyev met in Berlin and signed a joint strategic declaration. The agreement created a German‑Azerbaijani Economic Council and pledged to expand cooperation on oil, natural gas, renewable energy and hydrogen. Merz said, “Wir wollen hier unsere Energieversorgung mit Aserbaidschan weiter diversifizieren,” emphasizing the aim to diversify Germany’s gas imports via the Southern Gas Corridor. Aliyev affirmed Azerbaijan’s capacity to supply additional oil and projected gas deliveries of up to two billion cubic metres per year.

Beyond energy, the partners highlighted broader industrial and logistical ties. More than 250 German firms are active in Azerbaijan, with bilateral trade valued at around €1.7 billion in 2025, covering transport equipment, machinery and construction. The Middle Corridor, linking China to Europe through the South Caucasus, was presented as a strategic trade route that enhances supply‑chain resilience and reduces EU dependence on Russian fuel.

The meetings also sparked criticism over Azerbaijan’s human‑rights record and reports of a secret German‑Russian dialogue in Baku, which Aliyev said he learned of only after the fact. Nevertheless, the new economic council signals a deepening strategic partnership between Berlin and Baku.