New LEGO Factory in Vietnam to Be Powered by Green Energy with Energy Storage Systems
LEGO Group, the Danish giant in construction toys, once again proves that environmental responsibility can go hand in hand with industrial innovation.
The company has announced the opening of a new factory in Vietnam powered by renewable energy, while also signing an agreement with the Vietnam-Singapore Industrial Park (VSIP) to install an energy storage system. This marks a groundbreaking step for both LEGO and the entire industry in Southeast Asia.
First System of Its Kind in Vietnam
LEGO Manufacturing Vietnam, located in Binh Duong province, will be the company’s sixth production facility worldwide and its second in Asia. By 2026, the plant will be fully powered by renewable energy. Already, 12,400 solar panels have been installed on the factory’s roof, with the remaining energy needs to be covered through power purchase agreements (PPAs).
The biggest innovation, however, is the planned installation of a Battery Energy Storage System (BESS) on a neighboring plot. It will be the first system of this scale in Vietnam, with operations expected to begin by the end of 2025.
As Carsten Rasmussen, LEGO Group COO, emphasizes: “The use of energy storage and PPAs is not only new for LEGO, but also one of the first such solutions in Vietnam.”
A Legacy of Green Energy Investments
LEGO’s commitment to renewable energy isn’t new. Since 2012, the company has supported the development of more than 160 MW of green energy. A major milestone was reached in 2017 when LEGO achieved 100% renewable energy coverage for its global operations — three years ahead of schedule. This was made possible in part by a 25% stake investment in the Burbo Bank Extension offshore wind farm near Liverpool, home to some of the world’s largest turbines.
The wind farm is co-owned by KIRKBI A/S, the LEGO Group’s parent company, which invested around DKK 3.3 billion. The farm has a capacity of 258 MW and powers over 230,000 UK households.
Social Engagement and Children’s Education
LEGO doesn’t just make eco-friendly toys — it educates and inspires young people. The company built the world’s largest LEGO wind turbine, now located at LEGOLAND Windsor Resort. Through the LEGO Life platform, kids around the world are encouraged to design their own renewable energy-powered machines.
“We see children as our role models — we are building a better future for them,” said former LEGO CEO Bali Padda.
Green Factories Around the World
Green energy investments are also being made in other locations. In Kladno, Czech Republic, LEGO installed new solar panels, boosting the plant’s capacity from 1 MWp to 2.5 MWp — enough to power around 400 homes and reduce CO₂ emissions by over 9%. Similar efforts have been made in Denmark, China, Mexico, and Hungary, totaling 15.6 MWp of installed capacity in 2023 — a 16% increase from the previous year.
The planned factories in Vietnam and Richmond, Virginia (USA), will be designed from the start to run entirely on renewable energy, using both onsite and external sources of green energy. In Billund, the birthplace of LEGO, the company plans to build a solar park to meet the energy needs of all its local facilities.
Eco-Friendly Bricks of the Future
LEGO is also investing in more sustainable materials. By 2032, the company plans to completely phase out petroleum-based plastics. Over 600 alternatives are currently being tested, with promising materials including recycled arMABS and ePOM, which is derived from bio-waste and renewable energy.
As CEO Niels B. Christiansen explains: “This means higher production costs, but we’re privileged to have a family owner that supports our sustainability strategy, so we don’t need to pass these costs on to customers.”
Source: renewablesnow.com