Relations between the Islamic Republic of Iran and the Republic of Turkey have been generally peaceful in recent times, but sometimes they have also been strained, slowing trade. Nevertheless, Iran and Turkey are major trade partners and each influences the other, due to their geographical proximity, linguistic and ethnic relations (e.g. Azerbaijanis, a Turkic people, are the second largest ethnicity in Iran). They also share common cultural interests.
Turkey and Iran have in place a preferential trade agreement. There are over 3.7 billion dollars of export trade from Turkey to Iran, including such commodities as: iron, gold, steel, textiles and road vehicles. Conversely, Iran’s exports to Turkey include: raw energy products, plastic products, plus metals and organic chemicals.