Gen Nakatani, the former Director General of the Japan Defence Agency, has called on Prime Minister Suga Yoshihide to introduce offset obligations on military purchases. Such agreements are common among countries around the world, he said, and Japan is exceptional in not applying them. He provided examples of the deals that Japan could demand...
Avascent, a management consulting firm for government-driven industries, predicts the value of global defence offsets to reach almost $400bn over the next five years. However, after taking the ability of local defence industrial bases into account, Avascent believes that only about $229bn will actually be retired...
Lockheed Martin ended 2020 with outstanding offset agreements worth about $17.5bn. Most of the obligations extend through 2049. The company is also liable for about $1.8bn in offset penalties should it fail to fulfill its obligations.
The European Parliament’s Committee on the Internal Market has produced an 8,500-word study of the implementation of Directive 2009/81/EC. The study reveals an ongoing state in which there has been neither motion nor development towards the elimination of offsets by member states.
Transparency International has called for countries in West Africa to establish a regulatory legal framework for offsets. The call comes in a report entitled “The Missing Element: Addressing Corruption Through Security Sector Reform in West Africa” published by TI’s Defence and Security unit.