LEGO Manufacturing Vietnam has signed a Direct Power Purchase Agreement (DPPA) with Vietnam–Singapore Industrial Park (VSIP) to supply renewable electricity to its newly opened factory in Ho Chi Minh City.
The agreement, one of the first of its kind in Vietnam, will see power generated from VSIP’s large-scale solar panels delivered to the site through an industrial battery energy storage system. This will provide a stable renewable energy supply and support LEGO’s ambition to operate the factory on 100 percent renewable energy.
“This is an important step forward in our ambition to operate the factory on renewable energy. We are proud to be one of the first companies to sign a DPPA and appreciate the support of the national and provincial authorities in creating this opportunity,” says Jesper Hassellund Mikkelsen, Senior Vice President of Asia Operations and General Manager of LEGO Manufacturing Vietnam.
The signing ceremony was attended by Nicolai Prytz, Ambassador of Denmark to Vietnam, along with representatives from the Ministry of Industry and Trade, Ho Chi Minh City authorities and VSIP leadership.
According to VSIP General Director Nguyen Phu Thinh, the agreement reflects a shared commitment to accelerate the transition to renewable energy and “sets a new benchmark for low-carbon manufacturing in Vietnam.”
The renewable supply is expected to help reduce the factory’s carbon emissions by around 15,000 tonnes annually, starting in early 2026. Combined with 12,400 rooftop solar panels already installed, the system will cover about 75 percent of the site’s energy needs during its first five years.
LEGO’s Vietnam factory, which opened in April 2025, is the company’s sixth globally and its most environmentally sustainable facility to date. Built with an investment of USD 1 billion, the factory covers 44 hectares and will support long-term growth across Asia.
Source: LEGO
[…] Manufacturing Vietnam has signed a Direct Power Purchase Agreement (DPPA) with the Vietnam–Singapore Industrial […]