Over the past two years, numerous unofficial deadlines have been set for signing the Armenia-Azerbaijan peace treaty. Until the end of last year, the people of both countries held their breath in anticipation of a breakthrough, encouraged by officials on both sides who deemed an agreement possible. Later, there was significant optimism that the two former adversaries might reach a deal during the United Nations Climate Conference (COP29) which was held on November 11-24 in Baku.

“As the host country of COP29, we have become the target of a coordinated, well-orchestrated campaign of slander and blackmail”, said President Ilham Aliyev of Azerbaijan during his inauguration speech at the climate conference on November 12. This conference was the largest international event ever organized in Azerbaijan and the South Caucasus. Bringing together 80 presidents, vice-presidents, and prime ministers, the conference had 72,000 registered participants from 196 countries. Azerbaijan has concentrated all its efforts over the past year since it received the mandate of hosting this event to make it as well-organized and successful as possible. In parallel, the country has had to deal with the information attacks from multiple sources over the past year.

In September, it was announced that China has joined Kazakhstan, Azerbaijan, and Georgia as a partner in the Middle Corridor Initiative, with the China Railway Container Transport Corporation (CRTC) participating in the project. The decision followed extended talks over several months and was confirmed during the 8th International Silk Road Expo, held in Xi’an from September 19-20, 2024. This announcement comes amid the growing significance of the Middle Corridor, also known as the Trans-Caspian International Transport Route (TITR), as a crucial trade link between China and Europe, passing through several Central Asian and South Caucasian countries. The Middle Corridor Multimodal joint venture, established in 2023, offers a “one-stop-shop” service for cargo delivery along this route, aiming to enhance transport coordination, provide transparent tariffs, and ensure consistent delivery times.

The conflict between Armenia and Azerbaijan, two republics in the South Caucasus, has never been solely about their bilateral relations. Regional and distant powers have long sought to influence the conflict, pursuing their own strategic interests. This dynamic persisted even after the Second Karabakh War (27 September – 10 November 2020), which ended the core dispute between Armenia and Azerbaijan by bringing an end to the occupation of Azerbaijan’s Karabakh region. As the fourth anniversary of the war’s onset – also known as the 44-Day War – approaches, Baku and Yerevan continue to struggle with the peace process. Meanwhile, the most significant post-war initiative, the reopening of regional transportation and communication links, is facing increasing complications. Today, the often destructive involvement of external powers has become a major obstacle to the normalisation of Armenia-Azerbaijan relations and the implementation of regional transport projects.

The geopolitics of the South Caucasus is as unpredictable as ever. Even as recently as the beginning of April, few, if any, would have imagined that Russia may withdraw its peacekeeping contingent from the Karabakh region of Azerbaijan anytime soon. Many observers were even skeptical about the possibility of their withdrawal in November 2025 – the date which was stipulated in the November 2020 trilateral statement as the potential but not fixed date for the ending of the peacekeeping mission of Russia. This skepticism was grounded in the understanding that for Russia, Karabakh holds paramount importance in the broader context of the South Caucasus. In the wake of Russia’s unexpected withdrawal of its peacekeeping mission from the Karabakh region, the South Caucasus enters a new geopolitical dynamic. This historic development not only signifies Azerbaijan's attainment of complete sovereignty over its territories but also heralds the definitive end of the Karabakh conflict. President Ilham Aliyev's adept diplomatic maneuvers have secured Azerbaijan's territorial integrity and positioned Baku as a confident actor on the regional stage. The withdrawal of Russian peacekeepers marks a pivotal moment, shaping the future landscape of Azerbaijan-Russia relations and regional geopolitics. As Azerbaijan charts its course forward, its commitment to regional integration remains, however, steadfast, with a focus on strengthening ties within the Turkic world.