The LEGO Group celebrated the completion of 50,000 trees being planted at its new LEGO® factory in Binh Duong province in southern Vietnam. The event was attended by His Excellency, Deputy Prime Minister of Vietnam Le Minh Khai, national and provincial officials, as well as business and community partners.
The tree planting comes as the next round of LEGO Manufacturing Vietnam’s community engagements begin, which are expected to reach nearly 5,000 local children, and as the company accelerates recruitment towards a total of 100 employees by the end of 2023.
Preben Elnef, General Manager of LEGO Manufacturing Vietnam and Vice President of the LEGO Group, said:
“Today is about taking a moment to celebrate the positive environmental and community-focused momentum the LEGO Group has had in Vietnam, as well as recognizing the significant progress we’ve made in the construction on our state-of the-art factory – our most sustainable to date.”
“As construction is underway, we are grateful for the continued support from the authorities and our many partners, whose collaboration has ensured that we are on-track to begin production in the second half of 2024, allowing us to reach even more children with learning through play and creating long-term growth in the Asia-Pacific region.”
Tree planting marks environmental milestone for the LEGO Group in Vietnam
The LEGO Group aims to ensure that the factory has a minimal impact on the environment. As part of this ambition, the company completed its planting of 50,000 trees at the site, which began in September 2022 and amounts for twice as many as were removed for construction of the new factory, and includes seven different species native to Vietnam, fostering greater biodiversity in the long term. The planting was supported by Vietnam Singapore Industrial Park Joint Venture Company Limited (VSIP).
The factory is designed to be the LEGO Group’s most sustainable to date, supporting the company’s sustainability ambitions to reduce absolute global carbon emissions by 37 percent by 2032*. It will feature rooftop solar panels, and a solar plant will be built on a neighbouring plot of land, which combined aims to match the total annual energy requirement of the site. The factory will use the latest energy-efficient production equipment while buildings and manufacturing processes are designed to minimise energy use.
Next phase of local community partnerships to benefit nearly 5,000 children
In August 2023, LEGO Manufacturing Vietnam began implementation of its Build the Change (BtC) programme together with the LIFE Centre in the Tan Uyen District of Binh Duong. The programme encourages children to use their creativity to solve real-world challenges with LEGO bricks and other creative materials. The company is piloting a new delivery format for the first time, equipping mobile vans and motorbikes with resources to conduct workshops in farther, more remote locations. A total of 60 workshops are expected to be completed through Q1 2024, benefitting over 2,000 local children.
The LEGO Group is also helping to fund OneSky’s pilot project which seeks to develop and strengthen private independent childcare services in support of low-income families through a co-led Vietnam government and OneSky training model, benefitting over 2,600 children in Binh Duong in its first year. The company’s funds will primarily go towards supporting capacity-building efforts of government trainers and lead educators, as well as towards establishing a demonstration centre in Binh Duong.
Preben Elnef said: “While it will be some months before LEGO® bricks are produced in Vietnam, our work with the local community began back when we broke ground here in November 2022 and continues today. We are thankful to local partners and organisations who have collaborated with us thus far and share our commitment to give children opportunities to realise their potential.”
Recruitment to reach 100 employees by end of 2023, up to 500 by end of 2024
The LEGO Group is committed to building a local talent pool and contributing to the local community through the creation of highly skilled jobs. The company is on-track to hire 100 new employees by the end of 2023, with up to 500 to be hired by the end of 2024, to be responsible for operating state-of-the-art moulding, processing, and packing machinery when the factory is fully operational. On-site training will begin in Q1 2024, with the company’s overseas factories providing additional opportunities for further training and knowledge exchange.
More than 2,000 contracted construction workers are working on-site – a number that will double by the end of 2023. With more than one-and-a-half million working hours recorded to date, there have been no lost-time injuries, ensuring that the LEGO Group and its facilities remain a safe workplace for all.
Production on-track to begin in H2 2024
Significant progress has been made on the 44-hectare site since the company broke ground in November 2022, including the ongoing construction of an energy centre and 110kV power station, moulding and packing facilities, and an automated, high-bay warehouse.
The LEGO Group announced its plans to build the new US $1 billion factory in December 2021. The investment is the largest by any Danish company in Vietnam and part of the company’s strategy to expand its supply chain network to support long-term growth and locate production facilities close to its major markets to respond to shifts in local demand, shorten the supply chain, and reduce its environmental impact.
Facts LEGO Manufacturing Vietnam
Investment: US $1 billion.
Jobs: 4,000 positions over 15 years, recruitment ongoing for roles. For a full list of jobs, visit: www.LEGO.com.
Land: 44-hecares, size of 62 football pitches.
Buildings: Five buildings that will span over approximately 150,000 m2 ranging from office spaces, energy centre, moulding, packing buildings, a high bay warehouse and other miscellaneous buildings.
Blueprint: Same blueprint for all LEGO factories – high-tech production equipment that ensures each brick is made to the accuracy of 1/10th of a hair’s width. This precision means that LEGO bricks made today fit perfectly with bricks and products made over the past 60 years.
Location: Binh Duong Province, Vietnam, approximately 50km from Ho Chi Minh City.
Sustainability
Solar power on-site: 12,500+ (7.4 MWp) rooftop solar panels to be installed; solar plant to be built on neighbouring plot of land.
Production: The packaging line in this new factory will only package LEGO bricks in our new paper-based bags, replacing single-use plastic bags.
Compliance: Delivered following our Responsible Business Principles (RBP) due-diligence plan and timeline.
Zero waste to landfill: The new factory shares the same ambition as all LEGO operations of achieving zero waste from factories to landfill.
Certification: The aim is to secure Gold LEED certification (Leadership in Energy & Environmental Design) for the building once it is completed including energy, water and waste.
Planted trees: 50,000 new trees over 30 hectares, creating a self-sustaining Miyawaki forest of native trees along the factory perimeter.