UAE–Azerbaijan CEPA to boost logistics, supply chains

A new trade agreement between the United Arab Emirates and Azerbaijan has now come into force, making it easier and cheaper to move goods between the two countries. The deal cuts tariffs on many products and is expected to speed up trade, improve logistics, and make supply chains more efficient.

Dr. Thani bin Ahmed Al Zeyoudi, Minister of Foreign Trade, UAE said, "The UAE-Azerbaijan CEPA marks a transformative moment in bilateral ties, and promises to enhance trade flows. Azerbaijan is located at a crucial juncture in North-South trade, and by integrating our economic visions, we can ensure increased resilience and sustainable growth in a rapidly changing global market.”

The agreement will help cargo move faster through ports, airports, and shipping routes by simplifying customs procedures and reducing delays. It is also expected to strengthen the UAE’s role as a global logistics hub, with more re-export trade flowing through its ports to other markets. Azerbaijan will benefit by getting quicker and wider access to international markets through these trade links.

For businesses, especially small and medium companies, the changes mean lower costs, faster clearance of goods, and easier cross-border trade. This is expected to support stronger supply chains and more reliable movement of products between both countries.

Trade between the UAE and Azerbaijan is already growing, with non-oil trade reaching more than $2.2 billion in 2025. The UAE is Azerbaijan’s biggest Arab trading partner, covering 40 percent of its trade with the MENA region.