"Azerbaijan is a strategically underestimated partner of Europe!"

Exclusive interview with Urs Unkauf, Chairman of the Board of the German-Azerbaijani Forum (DAF). The interview was conducted by OW author Jonas Prien. Mr. Unkauf, you have been representing the interests of the DAF as Chairman of the Board since summer 2025. What links Germany with the small country on the Caspian Sea? On sober reflection, Azerbaijan is anything but a "small" country - at least not in geostrategic terms. It is located at a geographical interface that is of central importance both historically and currently: between Russia in the north, Iran in the south, Turkey, the Middle East and Central Asia. From a European perspective, this location makes Azerbaijan an indispensable partner for issues relating to energy supply, transportation corridors and economic diversification. German-Azerbaijani relations have a tradition dating back to the first half of the 19th century, when Swabian settlers found a new home there. The traces of this German cultural heritage are worthily remembered and maintained in Azerbaijan today. What do relations look like today? Azerbaijan is currently of growing relevance for Germany, particularly in the context of energy policy. Its role as one of the ten most important crude oil suppliers and as a supplier of natural gas via the Southern Gas Corridor is now well known, but its potential is still often underestimated. At the same time, it is currently clear that Azerbaijan is putting its economy on a broader footing - moving away from pure oil and gas dependency and towards logistics, industrial production, renewable energies and digital technologies. Germany is now one of Azerbaijan's top ten trading partners, reflecting the increasingly substantial economic ties between the two countries. Furthermore, Azerbaijan is a politically stabilizing factor in a region that has long been characterized by uncertainty. This stability is not only politically relevant, but also a prerequisite for economic engagement in the interests of German entrepreneurship. The current peace process with neighboring Armenia is increasingly developing a positive dynamic. This long-standing historical conflict resurfaced at the end of the Soviet era. Since the end of the 1980s, it has tied up numerous resources and capacities, which are now being released and at the same time opening up new scope for international partnerships. Germany should, in its own best interests, recognize these opportunities and identify points of contact for concrete projects and plans with Azerbaijan. How do you currently assess the partnership and where is there a need for action? German-Azerbaijani relations are on a solid footing, especially in the economic sphere. There are established formats of exchange, a growing number of business collaborations and a fundamental interest on both sides in deepening relations. At the same time, it should be noted that the existing potential is far from exhausted. I see a need for action in three areas in particular: There is often a lack of long-term structured platforms that bring together specific projects, for example in the areas of infrastructure, energy or industry, with potentially suitable partners in a targeted manner. Another area of work is the perception of Azerbaijan in Germany. The complex political and economic realities of Azerbaijan are often presented inadequately or in abbreviated form in Germany. This makes it difficult to establish a factual basis for debates. Direct exchange between relevant institutional actors could also be much more intensive, particularly at working level and also outside of state political structures. This is where the German-Azerbaijani Forum sees its role: as a civil society platform that closes precisely these gaps and facilitates concrete cooperation. As a non-profit association, we work autonomously and independently of official domestic and foreign bodies. In your opinion, is the image of Azerbaijan in Germany distorted or is the criticism justified? Despite its rich resources, its religious tolerance and its hospitality characterized by multicultural traditions, Azerbaijan never received the recognition it deserved as part of the old Persia, the Russian Empire and later the Soviet Union. It was always on the fringes of the great empires. Its inhabitants did not belong to the majority religion in Russia and the Soviet Union, and the founding of a joint South Caucasian republic after the revolution in Russia in 1917 failed. The armed conflict with Armenia led to great instability after 1990. It was certainly not very clever how Azerbaijan tried to gain attention and recognition in the European structures. Unfortunately, these experiences are still having an impact today. When it seems useful, the stereotypes and narratives shaped at the time are still being used in the media. In Germany, too, there is still a serious imbalance in the perception of Azerbaijan compared to the actual developments there. There is often a lack of reports based on personal experience and in-depth knowledge of the country, its social structure and its economic transformation. Over the last ten years, Azerbaijan has undergone a considerable modernization push, and the socio-cultural change can be felt in many places, not only in the capital Baku. The country has now become an anchor of stability in a troubled region. This makes it all the more important to focus more on a comprehensive and balanced view. Azerbaijan is undergoing a far-reaching transformation process - economically, in terms of infrastructure and socially - while at the same time assuming responsibility for stability and connectivity in the South Caucasus and the Caspian region. From the perspective of the German-Azerbaijani Forum, it is therefore crucial to place the dialog on an objective, fact-based foundation and to promote direct exchange with one another. A differentiated view creates the prerequisite for trust and thus also for resilient cooperation. How does the current conflict between Iran and the USA affect Azerbaijan? Azerbaijan is in a geopolitically sensitive position and has traditionally pursued a very balanced foreign policy in relation to regional and global players. Relations with both Iran and the USA are of strategic importance. The current tensions between Tehran and Washington therefore have an indirect impact on the entire region - for example in the areas of security, energy and transportation routes. For Azerbaijan, this means above all maintaining its role as a stable and predictable player. At the same time, this situation also opens up opportunities. As a reliable partner for both sides, Azerbaijan can take on a stabilizing role and further expand its importance as a hub between different geopolitical areas. The peace agreement with Armenia has caused an international stir. What is needed now to maintain security and peace in the region in the long term? The peace agreement as a result of US President Donald Trump's mediation is undoubtedly a historic step. However, implementation is crucial. Peace is not achieved through agreements alone, but through concrete confidence-building measures. These include, in particular, the complete normalization of bilateral relations between Azerbaijan and Armenia, the mutual demarcation and recognition of borders, the opening of transport and trade routes and the establishment of dialogue formats in the economic and civil society sectors. A central point here is the restoration of regional connectivity. Transport routes that have been blocked for decades must function again. This creates economic incentives for stability in the entire region. In addition, ongoing international support for the peace process is important - but in a role that respects the ownership of the states involved. The Armenian "Crossroads for Peace" initiative aims to strengthen connectivity and trust in the region. How has Azerbaijan reacted? Azerbaijan has generally reacted positively to initiatives aimed at opening up transport routes and economic cooperation. However, Baku attaches great importance to ensuring that such concepts are not viewed in isolation, but are implemented within the framework of existing agreements. In particular, the practical implementation of transit connections - for example between the heartland of Azerbaijan and the exclave of Nakhichevan, which borders directly on Turkey. This issue is not only of central importance politically, but also economically. Azerbaijan's position is clear: connectivity is desirable, but it must be based on reliable, binding and mutually accepted principles. How do you assess the feasibility of the Armenian initiative? Will goods and people soon be able to cross the border by land? Implementation depends less on technical and more on political factors. Infrastructure can be created relatively quickly - as numerous examples worldwide show. The decisive factor here is trust between the parties involved. Real progress is currently being made and the momentum is fundamentally positive. Nevertheless, we should remain realistic. The development of functioning transit corridors requires clear regulations, mutual security guarantees and corresponding administrative structures. Initial openings are conceivable in the short term, particularly for freight traffic. However, complete normalization, including the free movement of people, will be a gradual process. In the long term, the potential is enormous: the South Caucasus could develop into the most important axis connecting Europe and Asia. The prerequisite for this is that the political agreements are consistently implemented. The post "Azerbaijan is a strategically underestimated partner of Europe!" appeared first on ostwirtschaft.de.