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The strategic relationship which emerged between Damascus and Tehran in the late 1970s remains one of the least comprehended aspects of Middle East politics. This relationship has endured for almost a decade and a half, despite many predictions of its imminent demise. However, the recent breakthrough in the Arab-Israeli dispute threatens once again to put a strain on bilateral ties. This paper provides a reapprasial of relations between Iran and Syria. The first part focuses on bilateral links, taking into consideration issues such as Lebanon, Gulf Security, terrorism, the growth of regional Islamist movements and relations with the West. The second part examines the implications of this bilateral relationship for the wider Middle East peace process.