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GEO Brasil - UNEP

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34 Industrialisation and Spatial Reorganisation<br />

The transformations in the international production structure have caused the<br />

rationale for the spatial distribution of industries and their complementary<br />

operations to be significantly redesigned The new spatial order established at<br />

global level causes major metropolitan areas and their traditional industrial<br />

activities to become meaningless and substitutes them with a variety of services<br />

that serve both the domestic and foreign plants<br />

At the international level, the location trend imposed globally is the concentration<br />

of enterprises in the subcontracting sector in metropolitan areas and the<br />

dispersion of plants throughout moderate-sized cities or regions<br />

Box 1 - Recent strategies for industrial location<br />

A reduction of industrial production activities and an expansion of the service<br />

segment in Brazilian metropolises are consequences of trends in the globalisation<br />

of the economy As Geiger (2000) described, companies, particularly<br />

transnational companies, have been relocating their plants from metropolises<br />

to moderate- and small-sized cities in the wake of trends in developed countries<br />

An illustration of this new territorial organisation of industrial activities is the<br />

agglomeration of auto industries in the cities of Resende and Porto Real, in the<br />

State of Rio de Janeiro; and the cities of Betim and Juiz de Fora, in the State of<br />

Minas Gerais<br />

The Rio de Janeiro-São Paulo axis reinforces the connection between two<br />

service hubs through industrial activities in moderate- and small-sized<br />

municipalities situated inbetween the Rio and São Paulo These undertakings,<br />

however, have their administrative and managerial headquarters and their service<br />

benchmarks in the metropolis<br />

From 1980 to 1985, while Brazil grew<br />

at an annual rate of only 127 percent,<br />

the most part of the 13 metropolitan<br />

cities and 16 regional cities expanded<br />

at much higher rates: 9 capitals in the<br />

“regional centres” category grew at<br />

rates higher than 30 percent per year<br />

and, in the case of “sub-regional<br />

centres”, 13 of them reported a growth<br />

rate above the national average for the<br />

part 20 years (IBGE 2001)<br />

At local level, new uses to the territory<br />

have developed and, in order to be<br />

competitive at global level, cities<br />

required massive investments in<br />

telecommunication informatics<br />

infrastructure by reason of the demand<br />

for the establishment of large<br />

corporate conglomerates<br />

35<br />

Industry and the<br />

Environment:<br />

a New Interface<br />

As the economy goes global, natural<br />

resources – a primary source of export<br />

revenues for peripheral countries –<br />

undergo a growing deterioration of<br />

their exchange power due to<br />

accelerated technological absorption<br />

of industrialised services and goods<br />

the state of the environment in Brazil<br />

Although statistical data have failed to encompass these recent changes in<br />

industrial locations as of now, specific studies show that the two largest cities in<br />

Brazil, Sao Paulo and Rio de Janeiro, had their share of the GDP reduced from<br />

386 percent to 317 percent during the 1975-1996 period (IBGE 2000)<br />

Metropolitan Areas start to play a new role in this state of affairs by attracting to<br />

their outskirts the establishment of transnational plants or service companies,<br />

which either causes their value to appreciate or their shape to be altered in order<br />

to meet the new requirements<br />

In Brazil, transnational companies have been transferring their plants from<br />

domestic metropolitan areas to moderate- and small-sized cities Large cities,<br />

particularly state capitals, have taken up a national-level role in addition to their<br />

regional hegemony, while they concentrate on educational and political decisionmaking<br />

functions<br />

Unlike the post-war industrialisation,<br />

which consumed a substantial<br />

portion of natural resources – raw<br />

materials, commodities and power<br />

sources – the new pattern of growth<br />

is characterised by a strong demand<br />

for information and knowledge; there<br />

is a relative reduction in the<br />

consumption of natural resources and<br />

in the emission of polluting effluents<br />

Though the industrialisation model<br />

employed at that time in Brazil<br />

included technological standards that<br />

were admittedly advanced for the<br />

domestic framework, it was not<br />

matched by environmental protection<br />

183

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