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

How CEO Santi is changing ITW

April 23, 2014 2:48 pm ET

Scott Santi is showing he can do more than just cut costs at Illinois Tool Works Inc.    More

Image

Unilever puts Dove brand on a MuCell diet

April 23, 2014 1:57 pm ET

New technology employed by Unilever NV in the manufacture of bottles for its Dove Body Wash range of products could end up saving the brand owner up...    More

Image

Coffee roaster looks to improve footprint of single cup systems

April 22, 2014 1:30 pm ET

One of the largest coffee and tea manufacturers in North America has introduced a single-serve beverage capsule intended to curb the waste created by ...    More

Image

German electronics firm expanding in Hungary

April 22, 2014 9:46 am ET

German electronics manufacturer Provertha GmbH has announced plans to set up a new plastic galvanizing plant at the Kapuvár Industrial Park, in...    More

Image

Inventor taps into TV exposure, crowd funding for water bottle project

April 21, 2014 3:26 pm ET

An Australian inventor has developed a reusable plastic water bottle with a filter in a bid to get more people to drink tap water instead of buying di...    More

Market Reports

Market Data Book - Rankings & Lists

A one-stop download of Plastic News' exclusive annual lists and processor rankings containing essential data including sales, employees, end markets, materials and more.
EXCLUSIVE EXCEL FEATURE: full mailing address details for available plant locations.

Learn more

Thermoformed Packaging 2014 Market Review & Outlook – North America

This in-depth report provides analysis and discussions of economic and political conditions, market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as strategies being implemented by thermoformed packaging companies. In addition, there are reviews of 25 leading thermoformers in the packaging segment, assessing their growth initiatives and performance metrics over 10 years.

Learn more

Mold Making and Tooling Review and Outlook 2014 – North America

This report provides in-depth analysis of the mold and toolmaking market for North America, including discussions of trends, opportunities, threats, the latest developments in production and labor and equipment trends impacting moldmakers.

Learn more

Upcoming Plastics News Events

May 6, 2014 - May 8, 2014Plastics in Medical Devices 2014

May 12, 2014 - May 12, 2014Plastics News Brazil Pharma Summit

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

February 3, 2015 - February 7, 2015Plastics News Executive Forum 2015

More Events