The ex-Soviet Caucasus republics fought two wars over the Karabakh region before Baku regained control of the enclave in 2023, prompting the exodus of more than 100,000 ethnic Armenians.

Baku and Yerevan agreed on the text of a peace deal in March and initialled it at a White House ceremony in August, though its final signing remains uncertain.

In October, Azerbaijani President Ilham Aliyev lifted all restrictions on cargo transit to Armenia.

A train carrying 1,300 tonnes of Azerbaijani-produced gasoline crossed into Armenia via Georgia, Armenian Economy Minister Gevorg Papoyan said.

"This is probably the first trade and economic transaction between Armenia and Azerbaijan not only since peace was established between the two countries, but since their independence as a whole," he wrote on Facebook.

The Armenian government hailed the deal as "an important confidence-building measure that supports the peace agenda."

Azerbaijani state news agency Azertag reported earlier that the State Oil Company of Azerbaijan (SOCAR) had dispatched the fuel from a terminal in Baku, sending it through Georgia en route to Armenia.