Cluster evolution, the transformation of old industrial regions and the steel industry supply chain in North East England

This paper reports on research carried out in response to the decline of the steel industry in North East England. Drawing on survey evidence, it maps out the consequences of contraction for the industry's regional supply chain. The issues confronting engineering firms are explored in particular detail. The changing fortunes of the steel industry supply chain are interpreted in terms of the industrial cluster discourse. It is argued that air effective regional cluster policy needs to identify clusters on a number of variables, including knowledge flows, and should recognize the significance of dynamic cluster evolution.