A new milestone is being reached in the limited economic relations between Turkey and Armenia that have progressed for years. As part of the normalization process that began in 2022, it has been announced that bureaucratic preparations for direct land trade between the two countries have been completed (TV100). The ongoing technical work, particularly regarding the opening of border crossings, is considered a significant development for regional trade. For Turkish companies operating in the construction materials sector, this development not only means a new export route but also offers logistical advantages, cost reductions, and access to new markets in the South Caucasus.

Despite being a small-scale economy, Armenia has increased its infrastructure investments in recent years and is a country heavily reliant on imports of construction materials. There is a significant need for imports, particularly in areas such as housing renovation projects, road and infrastructure investments, commercial building modernizations, and energy-efficient building transformations. Currently, Russia, Iran, and China are among the main suppliers of construction materials to Armenia. With the opening of the land border with Turkey, Turkish producers are expected to gain a significant competitive advantage in terms of price and delivery time thanks to the logistical benefits.

It is assessed that Turkish construction materials, especially ceramic and vitrified products, cement and construction chemicals, PVC and aluminum window and door systems, exterior facade solutions, iron and steel products, and thermal and waterproofing materials, could stand out in the Armenian market. Considering Turkey's production capacity, quality standards, and price advantage, it has a strong supply infrastructure capable of quickly responding to demand in the region. The need for insulation products, particularly due to harsh climatic conditions, could create a significant opportunity for Turkish manufacturers.

This development is not limited to the Armenian market alone. One of the most critical aspects of the process is Armenia's potential to become a regional logistics transit point. If land trade fully commences, alternative trade corridors to markets such as Georgia, southern Russia, Kazakhstan, Turkmenistan, and Kyrgyzstan could also emerge for Turkish companies. This could provide significant advantages, particularly in terms of reducing transportation costs and shortening delivery times.

For Turkish companies, the commencement of direct land trade could offer significant advantages such as reduced costs of indirect shipments through third countries, shorter delivery times, and more competitive pricing. Furthermore, geographical proximity and familiarity with the regional trade culture will provide Turkish firms with a significant advantage in their business development processes. Turkish manufacturers, offering more cost-effective solutions compared to European-made products, appear poised to achieve a stronger market position in this process.

On the other hand, for the process to proceed smoothly, firms need to be prepared in certain areas. Customs regulations and new arrangements, local distributor and dealer structures, payment systems and banking infrastructure, technical certification processes, and regional political developments are among the issues that need to be carefully monitored.

The steps taken towards direct land trade between Turkey and Armenia represent the opening of a new export gateway for the construction materials sector. Considering geographical proximity, strong production capacity, and logistical advantages, Turkish firms are expected to become more visible in the Armenian market in the coming period. This development is not only a short-term trade opportunity; it also has the potential to be a strategic turning point in the expansion of the Turkish construction sector into the South Caucasus and Central Asia.