- October 3, 2025
Washington, D.C. — Global ARM, a U.S.-based nonprofit committed to supporting Armenia and the Armenian people, calls for the passage of legislation introduced this week that would sanction Azerbaijan’s senior government officials, including Ilham Aliyev, his immediate family members, Azerbaijani military units, and foreign financial institutions for engaging in hostile actions against Armenia. This legislation represents the first time that Azerbaijan’s main instrument of aggression—its oil and gas sector—is targeted for sanctions.
The legislation, the “Preventing Escalation and Advancing Caucasus Engagement Act,” or “PEACE Act,” was introduced on September 30 by Congressman Darrell Issa (R-CA) and Armenia Caucus Co-Chair Gus Bilirakis (R-FL).
Supported by Global ARM, the bill, H.R. 5632, seeks to hold Azerbaijan accountable for aggression and supports the establishment of a just and durable peace in the South Caucasus. The PEACE Act reinforces the August 8, 2025, Joint Declaration affirming “the inadmissibility of the use of force,” signed at the White House by Armenian Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev and witnessed by President Donald Trump.
“We commend Congressman Issa and Congressman Bilirakis for their leadership on this legislation and their commitment to intensifying U.S. leverage in deterring and holding Azerbaijan accountable for aggression,” said Timothy Jemal, President of GlobalmARM. “The PEACE Act represents a vital and timely step toward advancing U.S. strategic interests and preventing further destabilization in the region.”
“The goal of this bill is to make clear that it is up to Aliyev to avoid sanctions and consequences through the immediate cessation of hostilities,” Jemal continued. “The legislation was specifically designed to enable progress on de-occupation of sovereign Armenia by Azerbaijani forces, the release of Armenian political prisoners by Baku, and the right of return for ethnic Armenians forcibly displaced from Nagorno-Karabakh—all of which is needed to achieve an equitable and lasting peace,” emphasized Jemal.
In the bill, the term ‘‘hostile action’’ is defined to include military aggression that results in significant loss of life; the disabling of military systems, materiel, or personnel; the incapacitation of major utility or transportation infrastructure; or a material breach of Armenia’s sovereignty, territorial integrity, or political independence. The legislation further describes “military aggression” as inclusive of armed force or other coercive military conduct by Azerbaijan that is reasonably expected to cause substantial harm to the territorial integrity and sovereignty of Armenia.
Global ARM played an advisory role in shaping the PEACE Act, which empowers the President to determine that Azerbaijan has engaged in hostile actions against Armenia. If such a determination is made, the bill requires the President to impose sanctions, including the blocking of property, revocation of visas, and ineligibility for visas, admission, and parole for individuals who have aided, abetted, or facilitated Azerbaijani aggression against Armenia.
Additionally, a determination would trigger sanctions on foreign financial institutions by prohibiting a bank that has transacted with Azerbaijan financial institutions on oil and gas sales from holding corresponding and pass-through accounts in the U.S., effectively denying these institutions access to the global financial market.
“Azerbaijan’s unprovoked aggression—including its 2022 attack on Armenia, war crimes, ethnic cleansing in Nagorno-Karabakh, illegal detention of Armenian prisoners, and occupation of sovereign Armenian territory—runs counter to U.S. interests and inhibits progress towards achieving an equitable and lasting peace,” added Jemal.
Jemal continued, “Aliyev has repeatedly broken commitments to the U.S. not to use violence. Azerbaijan’s unchecked aggression directly threatens U.S. national security and economic goals in the South Caucasus. This legislation ensures for the first time there will be real consequences if Aliyev’s actions undermine U.S. strategic interests,” said Jemal.
Importantly, the bill preserves the President’s discretion to impose sanctions even after a peace agreement is signed—ensuring long-term accountability and deterrence.
On August 8, responding to a question from Armenian journalist Astghik Sargsian before President Trump on the need to avoid further aggression, referring to the Joint Declaration, Aliyev said, “The fact that it is initialed here in the Capital #1 of the world, in the office #1 of the world, and in front of the great President of the United States means that there should be no doubt and no suspicion that any of the sides would step back.” The PEACE Act is essential for accountability and ensuring that Aliyev upholds his words.
“This bill represents a new and meaningful approach to deterring conflict in the South Caucasus,” stressed Jemal. “The PEACE Act was intentionally designed to support U.S. leadership and U.S. strategic interests in facilitating peace negotiations between Armenia and Azerbaijan and to evolve to maintain the conditions needed for a dignified and durable peace”.
Global ARM calls for swift action on the PEACE Act to bolster the administration’s use of sanctions as a vital tool in ensuring accountability for aggression and bringing peace and prosperity to the region.
Global ARM looks forward to continuing to work with Congressman Issa, Congressman Bilirakis, and other pro-Armenia leaders in Congress to advance H.R. 5632 to the floor, pass it in the Senate, and send it to President Trump’s desk to be signed intolaw.
Contact: Adam Raezler, adamraezler@mckeongrp.com.