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Unlock This CourseThe secondary sector is all about making things! It's where raw materials from the primary sector get transformed into finished products that we use every day. Think about your smartphone, trainers, or even the desk you're sitting at - they were all made in the secondary sector.
Secondary sector employment has changed dramatically over the past 50 years. Many developed countries have seen their manufacturing jobs move to developing countries, whilst new technologies have transformed how things are made.
Key Definitions:
Heavy Industry: Steel production, shipbuilding, car manufacturing - needs lots of raw materials and energy.
Light Industry: Electronics, textiles, food processing - uses less raw materials and energy.
High-tech Industry: Computer chips, pharmaceuticals, aerospace - requires skilled workers and research facilities.
Where secondary industries choose to locate depends on several important factors. These factors have changed over time as technology has improved and globalisation has increased.
Historically, secondary industries located near their raw materials and energy sources. Coal mines and iron ore deposits determined where steel works were built. This is why cities like Sheffield, Birmingham and Manchester became major industrial centres during the Industrial Revolution.
Heavy industries need to be close to their raw materials to reduce transport costs. Steel works locate near iron ore and coal deposits.
Manufacturing needs reliable, cheap energy. Industries often locate near power stations or energy sources like coal fields.
Good transport connections are essential for bringing in materials and sending out finished products to markets.
Today's secondary industries consider different factors when choosing locations. Labour costs, government policies and market access have become more important than proximity to raw materials.
Companies seek locations with lower wage costs. This explains why many UK manufacturers have moved production to countries like China and Bangladesh.
Governments offer tax breaks, grants and subsidies to attract industries. Enterprise zones and development areas provide special incentives.
Being close to customers reduces transport costs and delivery times. Many industries locate near major population centres or transport hubs.
Nissan chose Sunderland for its car manufacturing plant in 1986 because of: government grants worth £125 million, a skilled workforce from declining shipbuilding industries, excellent transport links via the A1 and nearby ports and access to European markets. The plant now employs over 6,000 people and produces 500,000 cars annually, making it the UK's largest car plant.
The secondary sector has been transformed by globalisation. Manufacturing has shifted from developed countries to developing countries, creating winners and losers in the global economy.
Countries like China, India, South Korea and Taiwan have become major manufacturing centres. They offer lower labour costs, fewer regulations and government support for industrial development.
China became the "world's factory" by offering very low labour costs, massive government investment in infrastructure and special economic zones with tax incentives. It now produces everything from electronics to textiles for global markets.
Many developed countries have experienced deindustrialisation as manufacturing jobs moved overseas. This has had significant social and economic impacts on industrial regions.
Traditional industrial areas have lost thousands of manufacturing jobs. The UK lost 3 million manufacturing jobs between 1980 and 2010.
Industrial cities have experienced population decline, abandoned factories and reduced economic activity. Detroit in the USA is a famous example.
Unemployment, poverty and social deprivation have increased in former industrial areas, creating long-term challenges for communities.
The UK steel industry employed over 320,000 people in 1971 but only 31,000 by 2016. Competition from cheaper Chinese steel, high energy costs and reduced demand from shipbuilding and car industries caused this decline. Towns like Redcar and Port Talbot have struggled with unemployment and economic decline following steel plant closures.
Governments play a crucial role in influencing where secondary industries locate. They use various policies to attract investment and support industrial development.
Governments try to spread industrial development more evenly across their countries to reduce regional inequalities and support areas affected by deindustrialisation.
Special areas with reduced business rates, simplified planning procedures and government support. The UK has over 40 enterprise zones designed to attract businesses and create jobs in specific locations.
International trade agreements and tariffs significantly affect where companies choose to manufacture their products.
Taxes on imported goods can protect domestic industries but may also increase costs for manufacturers who rely on imported materials.
Free trade agreements like NAFTA and the EU single market make it easier for companies to trade across borders and influence location decisions.
The UK's departure from the EU has created uncertainty for manufacturers, with some companies relocating production to maintain EU market access.
The secondary sector continues to evolve with new technologies and changing global economic conditions. Understanding these trends is crucial for predicting future employment patterns.
Advanced robotics, artificial intelligence and smart manufacturing are transforming how products are made. This could bring some manufacturing back to developed countries but with fewer jobs.
Modern factories use sensors, data analytics and automated systems to improve efficiency and quality. This reduces the need for manual labour but requires highly skilled technicians and engineers.
Some German companies are bringing manufacturing back from China due to rising Chinese wages, quality concerns and the benefits of automated production. Adidas opened a "Speedfactory" in Germany using robots and 3D printing to produce trainers closer to European customers, though it later closed due to economic challenges.
Environmental concerns are increasingly influencing secondary sector location decisions. Companies are under pressure to reduce their carbon footprint and adopt sustainable practices.
Manufacturers are seeking locations with renewable energy sources to reduce emissions and meet sustainability targets.
Companies are designing products for recycling and reuse, creating new opportunities in waste processing and remanufacturing.
Shorter supply chains reduce transport emissions and improve resilience, potentially favouring local manufacturing over distant production.