Iran says trade with Armenia continues despite war

By Siranush Adamyan

Iran’s ambassador to Armenia said Monday that economic cooperation between the two countries is continuing despite the war in Iran.

“Fortunately, economic cooperation continues. Our border remains open for both passenger and cargo movement,” Khalil Shirgholami said, speaking in an interview with the Armenian television channel Shant.

He added that economic relations between the two countries “remain on their active and dynamic course.” He also said the two governments continue cooperation to ensure that bilateral trade and economic projects are not affected by the conflict.

The comments come after military operations against Iran began last month, when the United States and Israel launched strikes on Iranian targets, sharply escalating tensions across the Middle East and raising concerns about potential economic spillover into the neighboring countries.

Although Iranian officials say land trade with Armenia continues normally, the conflict is already affecting parts of Armenia’s external logistics chain. Armenian freight companies say ships carrying Armenian cargo have remained unloaded in Iranian ports since the start of hostilities.

“Ships that arrived after the military operations began, including those carrying Armenian cargo, are standing idle. No operations are taking place. We are already suffering serious losses,” one freight company representative told CivilNet.

Also read: Iran war creates economic risks for Armenia

The disruption is significant for Armenia because Iran is not only a trade partner but also a key transit route. Up to 25% of Armenia’s foreign trade passes through Iranian territory, meaning prolonged instability could affect supply chains and imports.

Trade between the two countries has grown in recent years. Bilateral turnover reached more than $768 mn in 2025, accounting for about 3.6 percent of Armenia’s total foreign trade.

Armenia imports far more from Iran than it exports, with a trade deficit approaching $600 mn. Key imports include natural gas, steel products, and construction materials.

Iranian companies are also involved in major infrastructure projects in Armenia, including the construction of a highway connecting the southern Syunik province with the rest of the country.