Maybe it's missing mime types? Try adding these to //system.webServer/staticContent section in Web.config:

      <remove fileExtension=".eot" />
      <mimeMap fileExtension=".eot" mimeType="application/vnd.ms-fontobject" />
      <remove fileExtension=".ttf" />
      <mimeMap fileExtension=".ttf" mimeType="application/x-font-ttf" />
      <remove fileExtension=".ttc" />
      <mimeMap fileExtension=".ttc" mimeType="application/x-font-ttf" />
      <remove fileExtension=".otf" />
      <mimeMap fileExtension=".otf" mimeType="font/opentype" />
      <remove fileExtension=".woff" />
      <mimeMap fileExtension=".woff" mimeType="application/font-woff" />
      <remove fileExtension=".woff2" />
      <mimeMap fileExtension=".woff2" mimeType="application/x-font-woff" />

Our standard <staticContent> section looks like this in our projects:

<staticContent>
    <!-- Set expire headers to 365 days for static content-->
    <clientCache cacheControlMode="UseMaxAge" cacheControlMaxAge="365.00:00:00" setEtag="false" />
    <!-- use utf-8 encoding for anything served text/plain or text/html -->
    <remove fileExtension=".css" />
    <mimeMap fileExtension=".css" mimeType="text/css" />
    <remove fileExtension=".js" />
    <mimeMap fileExtension=".js" mimeType="text/javascript" />
    <remove fileExtension=".json" />
    <mimeMap fileExtension=".json" mimeType="application/json" />
    <remove fileExtension=".rss" />
    <mimeMap fileExtension=".rss" mimeType="application/rss+xml; charset=UTF-8" />
    <remove fileExtension=".html" />
    <mimeMap fileExtension=".html" mimeType="text/html; charset=UTF-8" />
    <remove fileExtension=".xml" />
    <mimeMap fileExtension=".xml" mimeType="application/xml; charset=UTF-8" />
    <!-- HTML5 Audio/Video mime types-->
    <remove fileExtension=".mp3" />
    <mimeMap fileExtension=".mp3" mimeType="audio/mpeg" />
    <remove fileExtension=".mp4" />
    <mimeMap fileExtension=".mp4" mimeType="video/mp4" />
    <remove fileExtension=".ogg" />
    <mimeMap fileExtension=".ogg" mimeType="audio/ogg" />
    <remove fileExtension=".ogv" />
    <mimeMap fileExtension=".ogv" mimeType="video/ogg" />
    <remove fileExtension=".webm" />
    <mimeMap fileExtension=".webm" mimeType="video/webm" />
    <!-- Proper svg serving. Required for svg webfonts on iPad -->
    <remove fileExtension=".svg" />
    <mimeMap fileExtension=".svg" mimeType="image/svg+xml" />
    <remove fileExtension=".svgz" />
    <mimeMap fileExtension=".svgz" mimeType="image/svg+xml" />
    <!-- HTML4 Web font mime types -->
    <!-- Remove default IIS mime type for .eot which is application/octet-stream -->
    <remove fileExtension=".eot" />
    <mimeMap fileExtension=".eot" mimeType="application/vnd.ms-fontobject" />
    <remove fileExtension=".ttf" />
    <mimeMap fileExtension=".ttf" mimeType="application/x-font-ttf" />
    <remove fileExtension=".ttc" />
    <mimeMap fileExtension=".ttc" mimeType="application/x-font-ttf" />
    <remove fileExtension=".otf" />
    <mimeMap fileExtension=".otf" mimeType="font/opentype" />
    <remove fileExtension=".woff" />
    <mimeMap fileExtension=".woff" mimeType="application/font-woff" />
    <remove fileExtension=".woff2" />
    <mimeMap fileExtension=".woff2" mimeType="application/x-font-woff" />
    <remove fileExtension=".crx" />
    <mimeMap fileExtension=".crx" mimeType="application/x-chrome-extension" />
    <remove fileExtension=".xpi" />
    <mimeMap fileExtension=".xpi" mimeType="application/x-xpinstall" />
    <remove fileExtension=".safariextz" />
    <mimeMap fileExtension=".safariextz" mimeType="application/octet-stream" />
    <!-- Flash Video mime types-->
    <remove fileExtension=".flv" />
    <mimeMap fileExtension=".flv" mimeType="video/x-flv" />
    <remove fileExtension=".f4v" />
    <mimeMap fileExtension=".f4v" mimeType="video/mp4" />
    <!-- Assorted types -->
    <remove fileExtension=".ico" />
    <mimeMap fileExtension=".ico" mimeType="image/x-icon" />
    <remove fileExtension=".webp" />
    <mimeMap fileExtension=".webp" mimeType="image/webp" />
    <remove fileExtension=".htc" />
    <mimeMap fileExtension=".htc" mimeType="text/x-component" />
    <remove fileExtension=".vcf" />
    <mimeMap fileExtension=".vcf" mimeType="text/x-vcard" />
    <remove fileExtension=".torrent" />
    <mimeMap fileExtension=".torrent" mimeType="application/x-bittorrent" />
</staticContent>

If that doesn't work, I would try to add a .EOT version as well. Do you have the font installed on your development machine? That might explain why it's working on localhost and not in DXC. Maybe the installed font is used when the .WOFF can't be loaded on your machine?

We had the mime types mapped in the web.config so this is  not the issue.

I am waiting for the team to provide a .EOT file for the font to test this option.