Lego opens its 'most environmentally sustainable' plant in Binh Duong

Lego opens its 'most environmentally sustainable' plant in Binh Duong

Lego Manufacturing Vietnam, the company’s sixth factory worldwide and second in Asia, opened in Vietnam Singapore Industrial Park (VSIP) in Binh Duong province on April 9.

Deputy Prime Minister Mai Van Chinh and Niels B. Christiansen, CEO of Lego Group

With investment of around $1.3 billion to support long-term growth in the region, it is also Lego Group’s most environmentally sustainable factory to date.

Niels B. Christiansen, CEO of Lego Group, said, "This state-of-the-art site reflects our commitment to sustainable growth and innovation, while bringing more Lego play experiences to children and our fans in the Asia-Pacific region through increased manufacturing capacity."

"This factory meets the highest quality standards and is designed for sustainability. We’re on track for all of its energy to come from renewable sources. We’re also very pleased with the quality and skill of the local workforce. The precision required in producing our products is extremely high with tolerances as fine as a tenth of a human hair, and that demands top-tier equipment and highly skilled labour, which is a major reason for our confidence in this factory’s long-term success."

Lego Manufacturing Vietnam is expected to run on 100 per cent renewable energy by early 2026. In addition to the factory’s own 12,400 rooftop solar panels, the company on April 9 announced a landmark agreement with VSIP for an energy centre on adjacent land.

The energy centre will house the first battery storage solution of its scale in Vietnam and will be operational by the end of 2025. Remaining renewable energy needs will be met through power purchase agreements.

Carsten Rasmussen, COO of Lego Group, said, "The use of battery storage solutions and power purchase agreements to increase renewable energy is not just a first for Lego Group but among the first for any company in Vietnam. I am thankful for the collaboration we have had in establishing frameworks and policies that can serve other companies looking to increase their own use of renewable energy."

The factory is also home to Lego Group’s first LEED Platinum certified buildings. Both its administrative building and play pavilion, a play space for children, are certified LEED Platinum, while the moulding, packing, and warehousing buildings are certified LEED Gold.

LEGO Manufacturing Vietnam is also the first Lego factory to exclusively produce paper-based pre-pack bags.

The plant serves as a flagship for Lego Group’s Future Factory Workplace concept, creating an inspiring and inclusive workplace where everyone feels valued and proud. The concept includes green and healthy work environments, play spaces, local community engagement in factories, and facilities such as prayer and lactation rooms, wellbeing rooms, indoor and outdoor break rooms, and wheelchair accessibility.

Guided by its mission to inspire and develop the builders of tomorrow, Lego Group has partnered with local government, community organisations, non-governmental organisations, and charities to ensure children in Vietnam benefit from greater learning through play opportunities.

Lego Group is also set to open a regional distribution centre in Dong Nai province later this year as part of its strategy to increase flexibility and agility in its supply chain network. The centre has started ramping up operations, with the first inbound and outbound shipments underway. It will be the company’s second distribution centre in Asia and will be operated by Kuehne+Nagel.

VIR