Presidency of Defense Industry

Presidency of Defense Industries (PDI) is a central institution under the Presidency of Türkiye tasked with meeting Türkiye’s defense and security needs through domestic and national capabilities, developing the defense industry, and ensuring the modernization of the Turkish Armed Forces. The institutional structuring of Türkiye’s defense industry began in 1985 with the aim of establishing a modern defense industry and modernizing the Turkish Armed Forces. Under this framework, the Directorate of Defense Industry Development and Support (SaGeB) was established within the Ministry of National Defense by Law No. 3238. The institution was restructured in 1989 and renamed the Undersecretariat of Defense Industries (UDI).

The UDI was authorized to determine and implement defense industry policies, manage project-based procurement programs, integrate and support domestic industry, and evaluate foreign technology contributions.

In 2017, by Presidential Decree No. 696, the Undersecretariat was brought under the direct authority of the Presidency. In 2018, by Presidential Decree No. 703, it was restructured and renamed the Presidency of Defense Industries of the Republic of Türkiye (PDI). As part of this process, the institution’s status and mandate were expanded, and the structure of the Defense Industry Implementation Committee was updated in accordance with the Presidency system.

Objectives and Responsibilities of the Undersecretariat of Defense Industries

The Undersecretariat of Defense Industries (UDI) was established in 1985 by Law No. 3238 with the aim of developing a modern defense industry and modernizing the Turkish Armed Forces.

The primary objective of the institution is to meet Türkiye’s defense needs through domestic and national capabilities, strengthen the defense industry infrastructure, and increase the level of independence in this sector. To this end, its responsibilities are defined as follows:

• Determining and implementing defense industry policies: Executing decisions of the Implementation Committee,
• Project-based procurement management: Planning multi-year acquisition programs and concluding contracts,
• Integration of domestic industry: Guiding existing industrial entities to meet defense requirements and encouraging new initiatives,
• Evaluating foreign technology and capital contributions: Planning state participation in such contributions,
• Research and development and production activities: Researching, developing, and supporting prototype production of modern weapons, vehicles, and equipment,
• Exports and offset operations: Coordinating the export of defense products and balance-of-trade processes,
• Financial management: Developing procurement programs and incentive models using funding resources,
• Quality and contract oversight: Ensuring that production complies with contractual terms and quality standards,
• Human resource development: Providing training and scholarship support to enhance the qualifications of defense industry personnel.

In addition, the institution is empowered and responsible for carrying out any other duties assigned by the President.

Implementations of the Undersecretariat of Defense Industries

Since its establishment in 1985, the Undersecretariat of Defense Industries (UDI) has carried out numerous projects and programs aimed at increasing the domestic production rate in Türkiye’s defense industry and contributing to the modernization of the Turkish Armed Forces. The Undersecretariat, later the Presidency of Defense Industries, has achieved concrete results in the following areas.

Procurement and Modernization Projects

• Many projects have been conducted to procure modern weapons, vehicles, and equipment for the Turkish Armed Forces from both domestic and foreign sources.
• Production has been organized in specialized public or private institutions; this included the acquisition of various platforms such as armored vehicles, unmanned aerial vehicles, and communication systems.

Domestic Industry and R&D Activities

• Existing industrial entities have been directed to meet defense requirements, and new defense initiatives have been supported.
• Prototype production, engineering solutions, and the development of domestic technologies have been encouraged through R&D projects.
• New investments, whether private, public, or mixed, have been supported with the goal of ensuring production is carried out by domestic firms.

Fund Management and Financing

• Financing for procurement programs and incentive models has been provided through the Defense Industry Support Fund.
• Through this fund, long-term orders have been placed and advance payments have been made to support domestic production.

Offset and Export Activities

• The export of defense industry products has been encouraged, and offset (balance-of-trade) mechanisms have been used to facilitate technology transfer and enhance production capacity in Türkiye.

Human Resources and Education Support

• Training support and scholarship programs have been provided to develop specialized human resources in the defense industry.
• Specialized personnel have been employed on contractual basis to work on projects.

Institutional and Administrative Restructuring

• In 2017, by Presidential Decree No. 696, the Undersecretariat was brought under the authority of the Presidency, and its operations were integrated into the Presidency’s vision.
• The decision-making processes of the Defense Industry Implementation Committee were reorganized, and decisions began to be made according to strategic priorities.

These implementations have been structured to serve Türkiye’s goals of nationalization, technological advancement, and reduction of external dependency in its defense industry.

Current Status of the Presidency of Defense Industries

In 2018, the Undersecretariat of Defense Industries was restructured by Presidential Decree No. 703 and renamed the Presidency of Defense Industries of the Republic of Türkiye (PDI), becoming directly subordinate to the Presidency.

Institutional Status and Scope of Authority

• The institution’s duties, authorities, and responsibilities are regulated by Presidential Decree No. 7.
• The Presidency is tasked with determining, implementing, and overseeing strategies, policies, and projects related to the defense industry; increasing domestic production; and meeting the needs of the Turkish Armed Forces and other security institutions.

Administrative Structure

• The institution is managed by a President appointed by the President of Türkiye.
• The Defense Industry Implementation Committee convenes under the chairmanship of the President of Türkiye; its agenda and decisions are implemented by the Presidency.

Current Operations and Areas of Activity

• The PDI actively engages in numerous areas including defense procurement projects, research and development activities, domestic and national production targets, and international cooperation.
• It also continues initiatives related to the export of defense industry products, offset applications, and policies for technological independence.
• The institution continues to fulfill its functions in fund management, human resource development, and supporting public-private partnerships.

The PDI serves as the central institutional structure guiding and projecting Türkiye’s domestic defense industry in alignment with the country’s strategic objectives in defense and security, within the framework of the national technology initiative.