The Interim North East Local Growth Plan, published in March 2025, identifies advanced manufacturing as a sector where the North East has unique economic assets and opportunities. The UK's Modern Industrial Strategy, published in June 2025, includes it as one of the nation's eight growth-driving sectors (the 'IS8' sectors).
The UK Industrial Strategy's sector plan considers that advanced manufacturing has production processes that integrate advanced science and technology. It notes that examples of such activities can be found across the range of manufacturing, but defines a measurable proxy for advanced manufacturing based on subsectors. This uses the Eurostat and UN definition of high and medium-high technology manufacturing. There are seven broad manufacturing subsectors identified in this way (with the two digit UK SIC codes in brackets):
The UK Industrial Strategy does not include pharmaceutical products within its definition of advanced manufacturing but defines it as part of the strategy's Life Sciences sector. It does, however, include the manufacture of computer equipment, despite this also being within the strategy's Digital and Technologies sector. This report includes data based on the seven broad subsectors listed above but will also include some information that matches the UK strategy's six-sector IS8 definition.
North East employment
34,000
employment in advanced manufacturing
NE registered enterprises, 2024.
40% of manufacturing employment.
Motor vehicles: 11,000;
general machinery and equipment: 8,000.
13,000
advanced manufacturing employment in Sunderland
2024, survey based total.
County Durham: 10,000;
Other five local authority
areas: each <3,600
3.9%
of total employment
NE registered enterprises, 2024.
Higher than national rate (2.3%);
third among the 15 CA areas;
Sunderland: 10.9%.
-4,000
change in advanced manufacturing employment
NE registered enterprises.
2015 to 2024: 11% decrease.
A larger percentage fall than
nationally (-5%)
North East business count
555
advanced manufacturing businesses
NE registered enterprises, 2025.
Based on a single classification.
155 in County Durham;
100 in Northumberland.
190
general machinery and equipment manufacturers
NE registered enterprises, 2025.
100 manufacturers of computer,
electronic and optical products;
80 electrical equipment manufacturers.
17.0%
of advanced manufacturing enterprises either medium-sized or large
NE registered enterprises, 2025.
Medium-sized: 50 employees or more.
GB, advanced manufacturing: 9.7%;
NE all sectors: 2.3%
1,433
more broadly defined advanced manufacturing enterprises
An estimate of companies that work in
advanced manufacturing to any extent.
From Companies House data and
corporate website information.
Economic output (GVA)
£5.5 bn
North East advanced manufacturing GVA
2023 estimate,
10.5% of total GVA,
68% of manufacturing GVA,
England 4.4% and 49%.
5.9%
of England's advanced manufacturing GVA
North East manufacturing, 2023,
10.2% of England's GVA from
chemicals and pharmaceuticals.
6.7% of that from motor vehicles.
+32%
five year change in advanced manufacturing GVA
North East, 2018-23.
Only a 1% increase in the
previous five years (2013-18).
Real totals, exc. inflation effects.
+£1.5 bn
ten year change in chemical and pharmaceutical GVA
NE manufacturing, 2013-23.
Motor vehicles +£0.3 bn GVA,
other subsectors -£0.6 bn.
Real totals, exc. inflation effects.
Employment location maps
Introduction
These maps are based on information from the 2024 ONS Business Register Employment Survey (BRES), the official government source of employee statistics by industry.
The maps show estimated employment totals in advanced manufacturing PAYE/VAT registered businesses.
The geography used is the North East's 253 middle layer super outrput areas (MSOAs). These areas are designed to be approximately equal in population size and to be consistent over time in a way that council wards are not.
Employment in this dataset includes employees and working proprietors. The published employment totals are rounded to the nearest five.
Each business is classified in a single industrial sector. The source of broader, overlapping, classifications (Data City) does not yet have useable local employment estimates.
Advanced manufacturing - total
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Motor vehicles
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Other transport equipment
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Electrical equipment
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Computer, electronic and optical
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Machinery and equipment
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Chemicals
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0
Pharmaceutical
Map contains data from the Office for National Statistics licensed under the Open Government License v.3.0