The work characterizes the concentration levels and patterns of Brazilian transformation Industry, and identifies the economical determinants of the industrial employment growth for the states of Brazil, in 1994 and 2004. The evidences show that industrial desconcentration is stronger for the intensive capital segment and weaker for natural resources segment. New poles of employment growth seem to appear in the Northeast, especially, for the segment intensive labor. The market linkages, or pecuniary externalities, and of the dynamic externalities, measured by the industrial diversity, are important evidence for the employment growth of transformation industry of Brazilian states. While the transport costs, when controlled by fixed effects, they present negative statistical correlation with the employment growth, consistent to NEG.
