Lego has opened a $1 billion factory in southern Vietnam that runs entirely on clean energy, part of its push to lower emissions and grow its presence in Asian markets.
In short:
- The Danish company's new facility in Binh Duong will be its first factory designed to run entirely on clean energy by 2026, powered by solar panels and a battery-backed energy center.
- The highly automated plant, expected to eventually employ thousands, is central to Lego’s target of cutting greenhouse gas emissions 37% by 2032 and hitting net zero by 2050.
- Vietnam, where manufacturing makes up a fifth of GDP, sees this project as a model for reducing its industrial emissions while maintaining economic growth.
Key quote:
“So even if the sun is only shining during the day, we store the energy and can use it all over. That will cover by far the majority of the consumption of the factory.”
— Niels Christiansen, CEO of the LEGO Group
Why this matters:
As global plastic production surges past 400 million tons annually, the toy industry’s heavy reliance on fossil fuel-derived plastics remains a largely overlooked climate liability. For companies like Lego—an icon built on brightly colored petrochemical blocks—this presents a paradox. Lego’s move suggests that multinationals can rethink how and where they manufacture goods. Yet for all its promise, the project shines a light on deeper industry tensions: the elusive search for non-fossil alternatives to durable plastics, and whether cleaner production models are scalable — or just symbolic. With plastic toy sales continuing to grow and few truly sustainable materials ready to match plastic’s cost and performance, the sector appears to be at a crossroads.
Related: Playing with toy bricks can create microplastic pollution
