On 24th June 2021, DTec Industries has signed a contract with the French company GE Power Conversion to assist them with the execution of the Industrial Participation obligation of GE in respect of the Combat Support Ship (CSS) for the Netherlands Navy.
DTec Industries shall use its combined expertise in the naval domain and the Dutch defense market to support GE with the fulfilment of its IP-obligation in the Netherlands.
The Industrial Participation Division was established by DTec Industries in 2017. This was in response to the increasing demand in the global defence and security markets for an independent and specialist provider of industrial participation (including offset) services primarily in the maritime industry.
The Industrial Participation team is based in the Netherlands and has close ties with the Group’s head office in Singapore. The team in the Netherlands consists of three members that have extensive expertise in advising clients and managing their industrial participation obligations with national governments or end-buyers.
As a member of the European Club for Countertrade & Offset (ECCO) and the Global Industrial Cooperation Association (GICA), DTec Industries continues to grow its client network, international contacts and presence.
DTec Naval Industries recently became a member of The Netherlands Industries for Defence & Security (NIDV) Foundation. The NIDV Foundation facilitates the sustainable positioning of the Dutch Defence and Security-related Industry (NL-DVI) in national and international orders (from the government and elsewhere) and in national and international supplier chains. The NL-DVI is synonymous with the highest possible quality and effectiveness of equipment, services and application-oriented knowledge. The NIDV is a strategic partner of the government in the area of defence and security and a key figure in the triple helix collaboration between the government, knowledge institutes and the business community.
DTec’s ambition is to be an active member of NIDV in the naval domain and jointly work on positioning the naval NL-DVI and in particular the SME members, to become members of international naval industry supply chains.
Interviewing Mr Ton Hamelink, our Global Director – Industrial Participation:
“Why is it important for DTec to be a member of NIDV, ECCO & GICA?
It is critical that the players operating in the Industrial Participation market have recognised forums for promoting business activity and for exchanging ideas and information about local and international guidelines and legislation. The NIDV, ECCO & GICA provide these forums. These Associations bring the players together on the demand and the supply side and help to bring about and advance Industrial Participation projects. These Associations also play a vital role in further professionalising the people involved in the market through training and documentation.
What are the benefits of working in associations like these?
These Associations bring benefits to all of the members. DTec is and will continue to be an active member, sharing its knowledge and information, and encouraging the other members to contribute in the same manner. This will bring equal value to DTec and to all the other members.”
The Industrial Participation team possesses a distinctive combination of experience in defence shipbuilding, engineering and maritime infrastructure, and wide expertise in related industrial participation projects. We continue to build relationships with our clients and provide value-added services for their specific needs in a professional, timely and compliant manner.
The team specialises in:
- Industrial participation services from requirements’ assessment to value proposition
- Industrial participation support services, whether directly and through outsourcing
- Industrial participation obligations from management to direct assumption
- Trading services relating to industrial participation credits
- Industrial partnerships & joint ventures
- Selection of local industrial participation fulfilment partners
- Transfers of technology and technical capabilities
DTec Industries is one of the first companies that has successfully implemented the industrial participation policy of the Republic of Indonesia (known as Law 16) for one of its clients. Based on this experience, we have the full capability and confidence to advise you on a Law 16 proposition that will contribute to your winning defence and security contracts in Indonesia.
The Industrial Participation Division is aiming to become a leading independent and specialist provider of industrial participation services in the global defence and security markets, primarily in the maritime industry.
The global defence and security markets are heavily influenced by industrial participation obligations imposed by national governments or end-buyers. Globally, there are around 80 countries that impose various types of industrial participation obligations. In 2019, the global market for outstanding industrial participation obligations was estimated at USD500 billion. In addition, some experts predict that this number will increase by at least another USD100 billion over the next 10 years.
Our clients include national governments and large commercial enterprises that operate in the global defence and security markets. We focus primarily on shipbuilding and maritime infrastructure projects, which is where we have the underlying capabilities, the key country connections and the experience and expertise to create successful and sustainable industrial partnerships for the benefit of our clients.
Challenges & Opportunities
DTec Industries is continuing to take advantage of the challenges and market opportunities presented by complex and advanced industrial participation obligations. For the benefit of our clients, we are capturing these opportunities and providing tailor-made solutions to the challenges.
We have successfully defined and implemented industrial participation projects for clients. These projects have been delivered on time, within budget and have met the requirements of the national government or end-buyer.