Dive Brief:
- The Lego Group plans to invest over $400 million to expand its manufacturing operations in Monterrey, Mexico. This expansion will add packing and warehousing capabilities, as stated by the company.
- The project aims to create more than 667,000 square feet of space, including a new packing hall and a fully-automated high-bay warehouse with storage capabilities ranging from 40 to over 150 feet high, according to a press release.
- Currently employing 7,300 workers, the investment will create an additional 1,300 jobs. Construction is set to begin in early 2027 and finish by 2029.
Dive Insight:
The Monterrey facility focuses on the manufacturing and packaging of Lego products, including element molding, processing, decoration, and packing boxes. It serves customers across the Americas.
Nancy Sánchez, the general manager of Lego factory Monterrey, highlighted the company’s flexible and resilient global supply chain strategy designed to respond to demand changes while supporting long-term growth. Since its opening in 2008, the site has seen gradual expansion, becoming the company’s largest plant.
The latest expansion reflects Lego’s commitment to Mexico and the site’s role in its global network. COO Carsten Rasmussen emphasized that this investment positions Lego for sustained growth and meets future demand for Lego products.
The expansion will also create opportunities for technical training and professional development. Lego collaborates with technical schools and Mexico’s Ministry of Education to align workforce training with the needs of the manufacturing sector.
In line with its sustainability goals, Lego is reducing its greenhouse gas emissions and phasing out single-use plastics in packaging by 2027. The Monterrey site is also working towards reducing its environmental footprint with solar energy, water reuse systems, and zero-waste initiatives.
This facility is Lego’s first in North America, with another site under construction in Chesterfield, Virginia. The company plans to invest $1.5 billion in this new factory and regional distribution center, both expected to open in 2027.