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June 1, 2017

Report: Dutch defence imports to continue to rise until 2022

The defence imports of the Netherlands are forecast to increase during 2018-2022 as the nation accelerates the procurement of F-35 fighters and armoured vehicles, as well as modernisation programmes for naval vessels, according to a report by Strategic Defence Intelligence (SDI).

The defence imports of the Netherlands are forecast to increase during 2018-2022 as the nation accelerates the procurement of F-35 fighters and armoured vehicles, as well as modernisation programmes for naval vessels, according to a report by Strategic Defence Intelligence (SDI).

Titled ‘Future of the Netherlands’ Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2022’, the report offers insights of the current and future trends in the Dutch defence industry.

The country mainly acquires aircraft, naval vessels, armoured vehicles, missiles, sensors and engines. The US remains the biggest exporter of weapons to the Netherlands, while Romania, Italy, Germany and Sweden also export defence equipment and systems to the nation.

"The US remains the biggest exporter of weapons to the Netherlands, while Romania, Italy, Germany and Sweden also export defence equipment and systems to the nation."

The Dutch defence exports are also anticipated to grow as the nation intends to export sensors, naval vessels, armoured vehicles and air defence systems to Jordan, Morocco, the US, Canada, Turkey, Saudi Arabia, Mexico, Oman, Colombia, the Bahamas, and Peru.

As the Netherland’s FDI policy allows 100% investment, foreign companies can access the Dutch defence industry through multiple routes, including joint ventures (JV) with domestic companies, and acquisition of domestic firms or establishment of subsidiaries.

The Dutch government’s offset policy favours its domestic defence industry as it enforces foreign original equipment manufacturers (OEMs) to share their technical know-how with the domestic firms, and involve the domestic industry in the development stages of venture capital funds.

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