Estonia and Latvia, the two northernmost Baltic states, share 343 km of common borders. Both states share a long common history, having since the 13th century been ruled by the Livonian Order, Poland-Lithuania, Sweden and finally, until achieving independence in 1918, the Russian Empire. They were both re-occupied by the USSR between 1945 and 1991. Both countries reestablished diplomatic relations on January 3, 1992. Estonia has an embassy in Riga. Latvia has an embassy in Tallinn.
Both countries are full members of the Council of the Baltic Sea States, NATO and the European Union. The two countries were members of the Baltic Free Trade Area from 1994 until 2004 after which they joined the European Union.
In 2006, Latvia accounted for 3% of Estonian exports. Latvia accounted for 5% of Estonian imports.
The three Baltic countries signed a trilateral defence agreement on 12 February 1995.