RegReSir - Regional Resilience and Sustainable Industrial Restructuring

The proposed project investigates the effects of the COVID-19 crisis on industrial development patterns and industrial policy in Norwegian regions. When considering the economic consequences of this crisis on Norwegian businesses, the strategic, long-term question remains whether to bounce back to the 'old normal', i.e. to a situation we had before the outbreak of the Corona crisis, or to use this crisis as a departure point towards a 'new normal'. To answer this , the project maps and explains the ability of regions, industries and firms not just to bounce back (adaptation) but also their potential to bounce forward (adaptability) towards new, more sustainable development paths in terms of economically robust, environmentally friendly and socially inclusive industrial activities. Theoretically, the research builds on and adds to evolutionary economic geography to understand the uneven distribution of firm-level and regional capabilities and combines this with insights from socio-technical transition studies to understand the agentic role of firms' innovation strategies and public policies in driving new path development. Methodologically the analysis combines large scale quantitative data on determinants of regional resilience and in-depth qualitative case studies of the uneven impacts and responses to crisis across industries and regions. The research will provide analytical tools and policy-relevant insights how sustainable and digital industry restructuring unfolds in different ways across different types of regions. Given its strategic importance for the Norwegian economy the project emphasis resource-based industries (seafood/aquaculture, maritime, offshore renewable energy technologies and bioenergy/biomaterials). Through a focus on policy experimentation we also contribute with insights for policy-making on how to shape industry and innovation policies that balance an expedient recovery with sustainable restructuring across Norwegian industries and regions.