Italy and Azerbaijan are accelerating bilateral ties, moving beyond their long-standing energy cooperation to build a broader technological and industrial partnership spanning critical raw materials, artificial intelligence, and digital infrastructure.
The big picture: The Meloni government views Baku as a key pillar in its “Global Mediterranean” strategy, positioning Italy to navigate new geopolitical trade routes connecting the Caucasus and the Mediterranean.
- The milestone: During an event organized by Confindustria alongside Italian and Azerbaijani ministries, Azerbaijani Economy Minister Mikayil Jabbarov visited Rome to cement new deals ahead of the upcoming Italy-Azerbaijan Business Forum in Baku.
- The trade baseline: Bilateral trade hit €8 billion in 2025, with Italy serving as the primary destination market for Azerbaijani exports. While Italian exports reached €432 million in 2025, economic analysts estimate an untapped growth potential of over €110 million.
Between the lines: Beyond TAP: While energy remains a central pillar—with the Trans Adriatic Pipeline (TAP) delivering nearly 48 billion cubic meters of gas to Italy between 2021 and 2025—both nations are actively diversifying their cooperation.
- Critical raw materials: A new joint declaration focuses on integrating Italian expertise with Azerbaijani mineral resources across extraction, processing, and recycling.
- Strategic storage in Venice: Italian Minister of Enterprises Adolfo Urso highlighted Azerbaijan as a potential partner for a proposed European pilot site in Porto Marghera designed for strategic raw material storage to shield industries from supply shocks.
- High-tech & industrial expansion: Deals encompass AI applied to manufacturing, advanced robotics, digital infrastructure, metallurgy, and mining.
- Financial backing: Financing tools like the National Made in Italy Fund may support joint supply chain investments.
What they’re saying:
- Adolfo Urso, Italian Minister of Enterprises and Made in Italy: “We want to build a technological and industrial partnership with Azerbaijan that enhances Italian excellence in the most innovative sectors.”
- Urso emphasized combining Azerbaijani resources with Italian expertise across the supply chain, while pointing to a potential strategic storage site at Porto Marghera to safeguard European supply chains.
- Emanuele Orsini, President of Confindustria: “Our exports to Azerbaijan reached 432 million euros in 2025, but we can do much more.”
- Orsini noted an additional untapped export potential exceeding €110 million and reaffirmed Confindustria’s commitment to supporting long-term industrial projects and synergies ahead of the Baku forum.
- Antonio Tajani, Italian Foreign Minister: “Azerbaijan is a strategic partner for Italy, both economically and politically.”
- Tajani stated that the new strategic declaration will provide a solid framework to link Italian processing and recycling skills with Azerbaijani mining potential.
Why it matters: Rome is leveraging its geographic and political position to strengthen European strategic autonomy. By evolving a gas-centric relationship into a broader supply chain partnership, Italy aims to secure access to critical inputs while opening new export and investment avenues for its manufacturing sector.
