Production of weapons and other defence equipment
Approval and licenses from Danish authorities are needed
Production of firearms and ammunitions as well as other defence equipment requires a license issued by the Ministry of Justice under the Act on War Material. The license will normally be granted by the authorities unless there are specific issues regarding foreign policy or security policy. The license will be granted with some provisions, i.a. that it is to be ensured that Danish sub suppliers have their own license to produce defence equipment.
Apart from the general production license a company is required to obtain a specific approval by the Ministry of Justice if:
- It is a sole proprietorship and the proprietor is not a Danish citizen.
- It is a joint-stock company, a private company, a cooperative society or similar companies and has a domicile outside Denmark.
- The managers and other employees with power of attorney are not Danish citizens.
- Less than eighty (80) percent of the board members are Danish citizens.
- Less than sixty (60) percent of the corporate capital is Danish owned.
- Foreign nationals owns more than twenty (20) percent of the votes in the company.
- Foreign nationals through capital or other means do not have ruling influence on the company.
Also a company is required to obtain a special permit from the Ministry of Justice if it want to receive foreign loans or loans with foreign security.