Iran has proposed creating an economic zone near the Iranian-Armenian border to support joint manufacturing projects between the two countries.

Hadi Moghaddamzadeh, executive director of Iran’s Aras Free Economic Zone, said he had presented the proposal during a meeting with Armenian deputy economy minister, according to Sputnik Armenia.

The proposed zone could be established in Armenia’s Meghri, Iran’s Aras Free Economic Zone, or Norduz, an Iranian settlement near the border crossing with Armenia.

“The exact location is not so important - what matters is the result,” Moghaddamzadeh said.

He described the project as important because Armenia’s Meghri Free Economic Zone, despite opening nearly a decade ago, remains largely inactive in practice.

Moghaddamzadeh also said trade and economic cooperation between Iran and Armenia has not yet reached the level of their political relations, highlighting the need for stronger economic ties and joint production initiatives.