South Caucasus entered ‘transformative phase’ after Armenia-Türkiye normalization, says EU

The South Caucasus has entered a “transformative phase” following the normalization of relations between Armenia and Türkiye, alongside a peace agreement between Armenia and Azerbaijan, EU Council President Antonio Costa said Monday.

Speaking at the opening of the 8th European Political Community (EPC) summit in Yerevan, Costa highlighted growing momentum toward regional stability and cooperation.

He said improved ties between Ankara and Yerevan, coupled with the Armenia-Azerbaijan agreement, are laying the foundation for a more integrated and connected region.

"That agreement is a story of peace in Europe that must be celebrated, in a world where escalation and war seem to dominate. Thanks to this agreement, and improved relations between Turkey and Armenia, the region has embarked on a transformative path," he said, pointing to efforts to develop strategic industries, markets, transport corridors, digital networks and energy interconnections.

According to Costa, these initiatives go beyond facilitating trade and movement, instead helping build trust among neighbors, create jobs and foster shared economic growth.

European Commission President Ursula von der Leyen also stressed the importance of strengthening Europe’s resilience in a shifting geopolitical landscape, warning against overdependence in key sectors.

Reflecting on lessons from recent crises, she highlighted the EU’s past reliance on imported fossil fuels as a major vulnerability, exacerbated by global instability and rising energy price volatility.

"We have to build our energy Reliance much stronger, much more reliable on these homegrown, cheaper and predictable energy sources that we do have," she said, pointing to renewables such as wind, solar, hydropower and geothermal energy, as well as nuclear power.

Von der Leyen underscored the need to accelerate electrification across the EU to enhance energy independence and competitiveness.

She also emphasized the importance of strengthening Europe’s security and defense capabilities, noting plans to mobilize up to €800 billion by 2030 to address existing gaps and ensure credible deterrence.

"We need to be able to stand up for ourselves. It's long overdue," von der Leyen said.