When some of the economic sanctions placed on Iran by the West were lifted in late 2015 and early 2016, leading to a slight uptick in the Iranian economy, many in Armenia started discussing what this development meant in terms of spurring Iranian-Armenia commerce and business.

Some saw the lifting of sanctions as having a positive effect on Iranian-Armenian trade volume. Subsequent statistics proved this wasn’t the case.

The West never fully lifted economic sanctions on Iran and Armenia never benefited as a result.

Overall trade between Iran and Armenia rose substantially in 2018, mostly due to greater Armenian imports from Iran.

According to Armenia’s National Statistical Service, Armenia exported $94.2 million worth of goods to Iran, a 12% increase over 2017.

Armenian imports from Iran in 2018 totaled $269.4 million, up 54.2% from 2017.

In 2018, Iranian-Armenian trade totaled $363.6 million, up 40.5% from 2017.

Armenia has always had a trade deficit with Iran.

Overall, Iran comprises a mere 4.9% of Armenia’s overall trade volume.

Armenia: Exports to and Imports from Iran(in USD millions)

              Exports           Imports

2009        $33                 $162.4

2010        $84.8               $199.9

2011        $106.2              $216.8             

2012        $108.5              $219.4

2013        $94.9                $198.5

2014         $84.9               $206.5

2015         $81.7                $198.4

2016         $75.2                $164

2017         $84.1                 $174.7

2018         $94.2                 $269.4

According to stats provided by Armenia’s Customs Service, Armenia exported $110 million worth of goods to Iran in 2018, of which 83.5% was electricity. (In return, Armenia received natural gas). This arrangement has been in place since 2009.

Hetq has calculated that 15-20% of the electricity produced yearly in Armenia is exported to Iran.

Of the remaining 18.1% of Armenia exports to Iran, lamb and goat meat comprised 14.3%. The rest was unrefined aluminum, lumber, and electrical/battery waste.

Armenian imports from Iran are more diversified.

According to Armenia’s Customs Service, Armenia imported $276.7 million in good fromIran in 2017, of which natural gas comprised 31% ($85 million).

Cement was the next largest import - $25.7 million, followed by coke, bitumen and petroleum products ($14.5 million).

These imports were followed by fruits, walnuts, fertilizer, construction materials, glass, tiles, metal bars and wire, and pipes.