Lego is going to build its bricks in the United States

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The company announced plans on Wednesday for a 1.7 million square foot facility in Virginia, which will employ about 1,800 people by 2025. It will be the Danish company’s seventh global factory and its second in North America – the other being located in Monterrey, Mexico.

Lego previously had a US factory in Connecticut, but that facility closed in 2006 because the company said kids would rather play with electronics. Times have changed: Like other toy manufacturers, Lego is in the midst of a pandemic-induced boom as families seek entertainment at home.

Sales increased 27% last year thanks to new store openings in China and customers flocking back to the reopened stores. The family-owned company said it had surpassed the toy industry in all major markets over the year, when sales of its plastic bricks totaled more than $8 billion.

“More and more families are falling in love with building Lego and we look forward to making Lego bricks in the US, one of our largest markets,” CEO Niels B. Christiansen said in a statement.

Building a factory in the US will also help the company meet demand here, especially when supply chains are congested and costs to ship goods soar amid record fuel prices.

“Our factories are close to our largest markets, which shortens the distance our products have to travel,” Lego COO Carsten Rasmussen said in the statement. “Our new facility in the US and expanded capacity at our existing location in Mexico means we can best support long-term growth in the Americas.”

Christiansen also noted that Virginia was chosen for the carbon neutral plant because it will allow them to “build a solar farm that supports our sustainability ambitions and provides easy connections to nationwide transportation networks.”

The company has long been a target of climate advocates for its plastic bricks and packaging. The company has stepped up its sustainability efforts in recent years. It announced in 2020 that it plans to package its products in recyclable paper instead of single-use plastic. And last year, Lego unveiled a prototype brick made from recycled plastic.

The company currently employs 2,600 people in the United States and has more than 100 stores.

— Reuters contributed to this report.



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