The LEGO Group announces plans to build new factory in Vietnam to support long-term growth
Billund, December 8, 2021: The LEGO Group today signed a Memorandum of Understanding with Vietnam Singapore Industrial Park Joint Venture Company Limited (VSIP) to build a new factory in Vietnam. The facility is planned to be the company’s first carbon neutral factory and will include investments in solar energy generation.
The LEGO Group will invest more than US $1 billion in the 44-hectare site in the Binh Duong Province around 50km from Ho Chi Minh City and create up to 4,000 jobs over the next 15 years.
Construction is set to begin in the second half of 2022 and production is due to start during 2024.
The new factory will be the LEGO Group’s sixth manufacturing site and second in Asia. It is being built to support additional long-term growth in the region so the company can continue to deliver play experiences to many more children in the years to come. The LEGO Group has achieved annual double digit growth in the region since 2019.
The new site expands the LEGO Group’s global supply chain network which locates factories close to its major markets. This provides the flexibility to respond quickly to shifts in local consumer demand, shortens the supply chain, and reduces the environmental impact of shipping long distances.
Chief Operations Officer, Carsten Rasmussen said: “We are very grateful for the support of the Vietnamese government in helping us achieve our ambition to build our first carbon neutral factory. Their plans to invest in expanding renewable energy production infrastructure and a collaborative approach to working with foreign companies who are seeking to make high quality investments, were among the factors in our decision to build here.
“This investment will help us to bring the power of LEGO play to future generations of children. We want to inspire and develop the builders of tomorrow, and it is critical that we do so by acting in the most sustainable way possible.
“We are also looking forward to partnering with VSIP to build this state-of-the-art factory which will directly provide thousands of jobs to the region and indirectly support local businesses and communities.”
Mr Nguyen Phu Thinh, General Director of VSIP said: “We are excited to collaborate with the LEGO Group on this important investment and honoured they selected Vietnam Singapore Industrial Park III in Binh Duong Province. We are committed to offering international companies high quality investments and sustainable solutions to create attractive long-term development opportunities.”
Source: https://www.lego.com/en-il/aboutus/news/2021/december/new-factory-in-vietnam/
