Business and industry in Norway - 2) Technology-based industries

The past few years have seen the formation of a number of companies that use advanced technology and specialist expertise to manufacture goods for niches in the market. Many have a background in the shipbuilding and electrotechnical industries, among others.

The mechanical-engineering industry is extremely technology-based and R&D intensive. Ever since oil became a significant part of Norway’s economy, oil rigs and other equipment for the oil industry have been extremely important Norwegian technology products. The shipbuilding industry, which mainly builds small and medium-sized specialised ships, is an important part of Norway’s cluster of maritime industries.

The chemical industry has long traditions in Norway. The production of dynamite, which laid the foundation for what later became Dyno Industrier, started in 1865. In 1905, Norsk Hydro was established to manufacture chemical fertilisers. Gas and oil from the North Sea have also created a basis for a considerable petrochemical industry.

The Norwegian textile and ready-made clothing industry is facing stiff competition from low-cost countries, so Norwegian manufacturers have made great efforts to create special products that require high-technology and specialist expertise. This industry has shrunk significantly in Norway over time.