12 August 2026, 14:52

Nakhchivan’s long-standing blockade has created a number of challenges for the economic and social development of the autonomous republic. The absence of a direct land connection with the main territory of Azerbaijan has limited the routes for cargo and passenger transportation, leading to increased logistics costs and weakening the autonomous republic’s integration into international transport and logistics systems. At present, however, projects being implemented to expand the region’s transport connectivity are significantly changing Nakhchivan’s economic development prospects. The development of industrial and road infrastructure, the renovation of social facilities, and the establishment of new transport routes are among the main directions of this process.

Commenting on the issue, Aqil Asadov, Head of Department at the Center for Analysis of Economic Reforms and Communication (CAERC), stated that President Ilham Aliyev’s visit to Nakhchivan is of particular importance in terms of developing the autonomous republic’s transport and economic potential. One of the main focuses of the visit is the expansion of Nakhchivan’s transport capabilities and the establishment of new export and transit routes based on these capabilities.

Geopolitical and infrastructure changes taking place in the region have led to a new approach to Nakhchivan’s transport function. In particular, the historic Victory achieved by Azerbaijan in the Patriotic War has created real opportunities for Nakhchivan to emerge from the blockade as well. The development of road and railway infrastructure in the liberated territories, the emergence of transport connectivity along the Zangezur direction on the agenda, and the expansion of Nakhchivan’s direct transport links with Türkiye have created new opportunities for transforming the autonomous republic from a territory under blockade into a regional transport and logistics hub. For a long period, the autonomous republic’s economic relations were carried out mainly through Iran and Türkiye. Such a geographical situation not only limited the choice of transport routes, but also prevented the full realization of Nakhchivan’s transit potential.

As the head of state noted in an interview with Azerbaijan Television during his visit to the Nakhchivan Autonomous Republic regarding the Zangezur Corridor, the establishment of transport connectivity linking the main part of Azerbaijan with Nakhchivan is one of the long-term strategic goals. President Ilham Aliyev stated that the process in this direction has already entered a concrete stage and that following the agreements reached in Washington on August 8, 2025, the implementation of the TRIPP project has commenced.

Aqil Asadov noted that the Zangezur Corridor is envisaged to be connected with both the Middle Corridor and the North–South Corridor, which makes it possible to envisage the advantages Nakhchivan could gain as a hub. At the same time, the commissioning of the Zangezur Corridor will be important not only for Azerbaijan but also for a wider geographical area. Thus, while the Zangezur Corridor will be an important component of the East–West transport corridor, it will also constitute a branch of the North–South Transport Corridor. Accordingly, in addition to the Astara (Azerbaijan)–Astara (Iran) crossing of the North–South Transport Corridor, a new direction through the Julfa (Azerbaijan)–Julfa (Iran) crossing will also become possible, further expanding the opportunities of the region and the corridor.

The CAERC department head noted that Nakhchivan’s future development as a transport hub should not be assessed solely within the framework of connectivity with the main part of Azerbaijan. Its main advantage lies in its potential location at the intersection of the Azerbaijan–Türkiye–Europe and Central Asia–Caspian Sea–South Caucasus–Türkiye directions. The completion of the Kars–Iğdır–Nakhchivan railway and its operation as an extension of the Zangezur Corridor will also create a circular route in the region. This will ensure not only Nakhchivan’s but also the entire region’s economic activity, creating new markets and new investment opportunities. Although the Zangezur Corridor initially envisaged a transport segment, the modern approach to the concept of a corridor has already become much broader. The corridor also offers opportunities for laying electricity transmission lines from the main part of Azerbaijan to Nakhchivan through the territory of Armenia, as well as for establishing new routes in the future to transport oil and gas resources to foreign markets. As President Ilham Aliyev also noted: “...this project is not only a railway or a highway. Even a fiber-optic cable can pass through here, followed by electricity lines and, in the future, if necessary, oil and gas pipelines.”

Thus, as can also be seen from the head of state’s visit programme, the main strategic change in the development of the Nakhchivan Autonomous Republic is the transition from the “territory under blockade” model to the “regional transport and logistics hub” model. This transformation is based on the creation of new road and railway infrastructure within Azerbaijan, the expansion of Nakhchivan’s existing connections with Türkiye and Iran, the establishment of the Zangezur Corridor, steps taken towards the implementation of the TRIPP project, and the integration of the Nakhchivan railway into international transport systems. Nakhchivan, which serves as Azerbaijan’s gateway to the East and Europe, is also strengthening its position as an important transport and logistics hub in the Eurasian space.

As a result, the development of the Zangezur Corridor and other alternative routes is not merely a matter of ending the blockade for Nakhchivan. This process creates a strategic opportunity for Nakhchivan to become a multifunctional transport and logistics hub connecting cargo and passenger flows between Azerbaijan, Türkiye, Iran, Central Asia and Europe. To realize this opportunity, however, alongside the construction of transport infrastructure, it is necessary to integrate logistics terminals, digital management systems, customs services and multimodal transportation into a unified system.


Center for Analysis of Economic Reforms and Communication
www.ereforms.gov.az