The situation surrounding the transport route through southern Armenia has moved beyond the boundaries of a local dispute and is increasingly reflecting the contours of a global struggle over Eurasian logistics. Negotiations on the future of the Zangezur Corridor—which is intended to connect mainland Azerbaijan with the exclave of Nakhchivan—have returned to the spotlight after an unexpected initiative was announced on July 11, 2025, in New York.
During a briefing held on the sidelines of an international business forum, U.S. Ambassador to Turkey Thomas Barrack declared Washington’s readiness to lease a 32-kilometer section in Armenia’s Syunik Province to a private American corporation. According to the diplomat, this move could break the deadlock in Armenian-Azerbaijani talks and help construct a “new logistics architecture” in the region. Behind the scenes, Ankara is believed to be backing the idea as part of its broader vision for the “Middle Corridor”—a transcontinental economic route linking China, Central Asia, the South Caucasus, and Europe.
The proposal has triggered a polarized response throughout the region. Armenia has categorically rejected any transfer of control over its sovereign territory to outside actors. On July 15, Prime Minister Nikol Pashinyan emphasized that Yerevan would protect its sovereignty and promote its own regional vision—the “Crossroads of Peace”—based on principles of equality, mutual recognition, and transparency. Notably, Armenia insists on symmetrical arrangements for transit routes through Nakhchivan as well, a condition deemed unacceptable by Baku.
Azerbaijan, for its part, is advocating for extraterritorial status for the corridor and has secured Turkey’s strong support. Officials in Baku argue that the transport route should operate without Armenian oversight, either under international guarantees or third-party administration. They view the corridor as a strategic asset that would boost Nakhchivan’s development and deepen economic ties with Turkey.
However, the geopolitical cost of the project may far outweigh its economic benefits. International analysts are closely monitoring the potential establishment of a U.S. military or intelligence presence near Iran’s northern border. Tehran views the corridor plan as a direct threat to its strategic depth. According to Saed News, Iranian military planners are seriously considering responses to any foreign infrastructure moving closer to their frontier.
Meanwhile, experts warn that leasing a segment of Armenian territory could set a precedent for foreign intervention in critical transit zones—raising doubts about the durability of existing regional agreements. These agreements, brokered after the Second Nagorno-Karabakh War in 2020, included the restoration of transport links under Russian border guard supervision. However, the withdrawal of Russian forces from Syunik in 2024 marked a dramatic shift, opening the door to new external proposals.
Against this backdrop, the upcoming meeting between Armenian and Azerbaijani leaders, scheduled for late July in Dubai, carries heightened significance. Talks will take place under mounting pressure—not only from the conflicting parties but also from global players with strategic interests in the region. Key unresolved issues include constitutional amendments and the mutual recognition of territorial integrity.
For a region positioned at the crossroads of East and Europe, the outcome of the Zangezur corridor negotiations will shape more than just trade routes. At stake is the political balance of power for decades to come. On the surface, this may seem like a transport dispute. In reality, it is a high-stakes reshaping of the regional order, where the consequences will be profound and long-lasting.
