Iran-Turkmenistan

Economic Relations
Iran and Turkmenistan have largely cooperated in terms of oil and gas trade. In November 2010, Iran and Turkmenistan inaugurated a new pipeline. Turkmenistan has the world’s fourth largest reserves gas reserves, from which Iran imports heating fuel in the winter when it’s own consumption/demand exceeds its indigenous supply. According to Iran’s national Press TV, the volume of trade between the two countries was worth $5 billion in 2011 and the two Foreign Ministers that met in Iran in July 2012 have pledged to increase the figure to $10 billion within the next few years.

In July 2012, Turkmenistan's President Berdimuhamedov claimed "We have the best regional relations with Iran".

Pipeline Politics
Turkmenistan is in favour of the building of the Trans Caspian Pipeline, to ship natural gas through Azerbaijan to Europe whereas Iran opposes the project. In the case of the Nabucco pipeline project and alternative Southern Corridor gas export routes, Iran wants to ensure its gas is fed into the pipelines, and thus Iran needs to be fully integrated into the pipelines of its neighbours, including Turkmenistan.

As reported by industry analyst Gal Luft in Foreign Policy, the US should politically support the diversion of Turkmen gas south through a Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline. This would make redundant Iranian plans to build an Iran-Pakistan-India pipeline, thereby allowing India to meet its energy needs without Iran.

Military Build-up
Whilst attentions were focused on an Israeli-Iranian confrontation, there was a military/naval build-up since 2008 carried out in other countries in the Caspian region, including in Turkmenistan. The build-up has been due to not simply mistrust of Iran's growing presence, but also due to the necessity to act as a counterweight to the Russian presence and traditional dominance in the region. Iran's fleet has grown from next to nothing at the end of the Cold War to around 100 missile boats with plans to build a 'destroyer' which will become the largest ship in its fleet. Joshua Kucera at Foreign Policy has described the situation developing in the region as The Great Caspian Arms Race. Turkmenistan, according to Foreign Policy is building a naval base and naval academy in the coastal city of Turkmenbashi and has bought two Russian missile boats, with plans to buy three more, as well as Turkish patrol boats.

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