DTec Industries aims to become a globally leading company in the offset business, based on fairplay and trust.
DTec Industries was set up in 2017 in response to market demand for a specialist provider of offset solutions.
The head office for the DTec Industries group is in Singapore, close to its target markets, with subsidiaries in Kuala Lumpur, Jakarta, Abu Dhabi and the Netherlands.
A member of the Global Offset and Countertrade Association and already well established in Europe and Asia, DTec Industries is expanding its regional and local presence in the high potential markets of Asia Pacific and Middle East / North Africa regions as well as in Latin America.
The global offset market
The global market for defence and security products and services is becoming increasingly dominated by offset requirements as national governments realise their economic and strategic importance. In 2017, the global market for outstanding offset obligations was estimated at USD 500 billion. This number is expected to grow as emerging markets move away from penalty payment schemes and thus demanding execution of the offset obligations. Some experts predict an additional USD100 billion of offset obligations over the next decade.
The highest value of outstanding offset obligations comes from the Gulf States, with the Asia-Pacific region growing rapidly. In total, some 80 countries worldwide apply some form of offset demand.
Recent trends suggest that developing countries are imposing longer-term commitments, rather than just one-off transactions linked to a particular purchase. Many countries now require the creation of joint ventures or transfer of actual design and production capabilities instead of mere foreign direct investment into a wholly owned subsidiary.
The sheer size of offset obligations and the increasing complexity of policies relating to them are fundamentally reshaping the market. While offsets are familiar concepts in the aerospace and defence sector, most companies have not kept pace with changing realities.
As buyers become increasingly sophisticated in their offset policies and more rigorous in their enforcement, the challenge for the seller is to understand an environment that varies from country to country.
DTec Industries is a specialised partner in offset fulfilment and industrial cooperation. With its unique combination of extensive experience in the maritime sector (naval, coast guard and maritime infrastructure) and years of experience in offset and industrial partnerships DTec Industries is uniquely positioned to provide a cost-effective, fully compliant offset fulfilment proposition, which can also help the client market itself for future contracts.
DTec Industries’ core business is as a contractor or consultant for defence, security and infrastructure projects, primarily in shipbuilding, engineering and related products and services.
The group specializes in:
- Industrial cooperation and partnerships
- Transfer of technology and building technical capabilities
- Local contracting
- Offset consultancy
- Offset transaction services and support
- Local marketing and sales support
- Logistics and import/export management
- Participations and joint ventures
- Legal and contract management support
- Customer finance support
In the highly competitive defence, security and large infrastructure market, buyers are looking not only at the content of the offset proposal, but also at the selection of local fulfilment parties.
To meet clients’ obligations, DTec Industries provides services directly and through its network of Strategic Industrial Partners.
Local partners are selected following careful assessment of their technical, organizational, economic and reputational merits. Only those local industrial companies who meet DTec Industries’ high standards of performance and strict requirements with regards to capacity are admitted to the exclusive group of strategic partners.
With DTec Industries’ own reputation at stake, the group selects only those local partners who contribute positively to the client’s fulfillment of offset agreements or transactions. To ensure that this high level of service is maintained, DTec Industries continuously monitors the performance of every partner.
DTec Industries’ customers include governments and multinationals active in the defence, security and aviation market as well as those involved in large infrastructure projects.
DTec Industries conducts all business in strict accordance with the local laws and regulations applicable to its operations.
All DTec Industries companies, employees and subcontractors will obey the laws and regulations of the countries in which they operate.
DTec Industries companies, employees and subcontractors will not use bribery or any other form of illegal business practice.
DTec Industries will comply with all applicable trade laws and regulations in the countries in which it operates, such as export/import licensing and embargoes against countries or individuals.
DTec Industries will maintain complete and accurate records of all business transactions and payments in accordance with accounting principles and local laws, and will adhere strictly to all applicable laws and regulations relating to anti-money laundering and combatting the financing of terrorism.