Lego expands again in Czech Republic

Richard Higgs

Published: October 8, 2012 6:00 am ET

Related to this story

Topics Consumer Products, Injection Molding

BILLUND, DENMARK (Oct. 8, 12:40 p.m. ET) — Thriving global toy maker Lego A/S has announced fresh expansion plans for its already substantial production plant in Kladno, Czech Republic.

This facility, which manufactures the group’s eponymous building brick products, has already been extended twice since 2010.

Now Lego is due to start work on a new project in December that will add another 150,000 square feet of processing and assembly space to the factory by 2014.

The two-stage project is scheduled to result in a facility with a total covered area of more than 1 million square feet. In the first phase, a 35,000 square foot upper extension will be added to a unit of the processing department where components are decorated and assembled. The additional section will also process Lego parts.

Last year, the company purchased a neighboring industrial site in Kladno. In early 2013, it plans to demolish an existing building on that site making way for the second phase of its own expansion. There Lego will construct an 120,000 square foot product packing hall and an underground car park for 250 vehicles, it said in a news release.

The Billund-based group expects its latest expansion scheme will require investment of more than 13.4 million euros ($17.4 million). It plans to hire another 300 workers.

“It confirms our strong belief in the Czech factory and in the skills and culture of its employees. We expect a lot from our colleagues at this site, and the factory is part of our future,” said group CEO Jørgen Vig Knudstorp.

Lego admitted that it had allowed for possible further expansion at the Kladno site, but was surprised that it was needed so soon. Continuing sales growth has meant it must add more space to avoid a squeeze on capacity there, it said.

This summer, Lego group began the construction of a 125 million euro ($161 million), 860,000 square foot factory complex near Nyíregyháza, Hungary, to manufacture its Duplo and Lego brand toys. That project is also set for completion in 2014.


Comments

Lego expands again in Czech Republic

Richard Higgs

Published: October 8, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Injection molder, recycler Polyvulc USA puts itself up for sale

July 24, 2014 12:41 pm ET

Fred Farrell and Larry Lambiotte, founders of Polyvulc USA Inc. and its subsidiaries Polyvulc Tire Recycling Llc and Winnsboro Rubber Recycling LLC,...    More

Image

Bayer PC used for lightweight, durable luggage collection

July 24, 2014 10:52 am ET

Bayer MaterialScience has partnered with U.S.-based travel goods manufacturer Andiamo Luggage LLC to create a special plastic for suitcases that is...    More

Image

Contigo, Avex buy lets Newell Rubbermaid leapfrog new bottle development

July 22, 2014 4:11 pm ET

Newell Rubbermaid Inc. is ready to accelerate its move into the reusable water bottle business with the purchase of two on-the-go drinkware brands.    More

Image

Illinois injection molder expands

July 21, 2014 1:23 pm ET

Automotive supplier All-Rite Industries Inc. has added two new injection molding machines to its operations.    More

Image

Newell Rubbermaid to acquire Contigo brand

July 21, 2014 5:00 pm ET

Consumer products company Newell Rubbermaid Inc. has signed an agreement to acquire Ignite Holdings LLC, owner of the Contigo and Avex brands of bever...    More

Market Reports

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Plastics Recycling Market Review & Outlook 2014

This special report from Plastics News examines the North American plastics recycling industry and provides insight into indicators that impact market viability, including Resin pricing trends for virgin and recycled market material and historical Resin production trends for post- consumer and industrial waste.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events