Dive Brief:
- The Lego Group broke ground on its first U.S. manufacturing facility in Chester, Virginia on April 13.
- The $1 billion, 1.7 million-square-foot site will house 13 buildings and draw its power from rooftop and ground solar panels, as well as an on-site solar plant when completed in 2025, according to a press release.
- Using the same factory blueprint as its other Lego factories, the full plant is slated to open in the second half of 2025.
Dive Insight:
The carbon-neutral facility is part of Lego's goal to reduce carbon dioxide emissions by 37% by 2032.
"We are working hard to reduce emissions at the Lego Group and are really excited about our plans to build this solar plant as we push towards a better world for our children to inherit," COO Carsten Rasmussen said in a statement.
The site will employ more than 1,700 people in molding, processing and packing machinery once completed. However, Lego is currently recruiting up to 500 people for a temporary packing facility it plans to open in the first half of 2024.
The Virginia facility will be Lego’s second plant in North America. In August, Lego invested $500 million to expand its first facility in Monterrey, Mexico.
The sites add to Lego’s manufacturing plants in Denmark, the Czech Republic, Hungary, and China. It’s also planning to open its first carbon-neutral site in Vietnam.
The Virginia location will bring the toy manufacturer closer to major markets, shorten its supply chain and respond quickly to consumer demands, according to the release.
"Our new factory in the U.S. and expanded capacity at our existing site in Mexico means we will be able to best support long-term growth in the Americas," Rasmussen said in a statement in June. "We are fortunate to find a location where we can begin construction quickly and create temporary capacity in under two years."
In January, Lego said it was moving its Americas office from Enfield, Connecticut to Boston, Massachusetts by 2026. The move would support the company's goals to bring Lego to more kids in the U.S. and the Americas region, Skip Kodak, president of the LEGO Group in the Americas, said in a statement.
“Boston is ranked one of the best cities in the world to attract and retain talent. This, along with its world-class academic institutions, skilled workforce and great quality of life makes it an ideal location for our US head office,” Kodak said. “We have exciting plans for the next phase of growth.”
