According to Supply Chain Dive, The Lego Group plans to invest $400 million to expand its manufacturing facility in Monterrey, Mexico — a site that first opened in 2008.
Project scope and infrastructure
The investment will add more than 667,000 square feet of new space, including a dedicated packing hall and a fully automated high-bay warehouse. That warehouse will support vertical storage stacks between 40 feet and over 150 feet tall, enabling denser, more efficient inventory management across the Americas region.
The expansion is designed to strengthen The Lego Group’s regional supply chain network by consolidating manufacturing, packaging, and warehousing functions at a single location. The facility currently employs 7,300 workers, and the project is expected to generate 1,300 jobs during and after construction.
Construction is scheduled to begin in early 2027 and conclude by 2029, according to the company’s announcement. The Monterrey plant handles element molding, processing, decoration, and final box packing for Lego products distributed throughout North and South America.
Strategic supply chain positioning
The Lego Group describes its global supply chain as “flexible and resilient, regionally based” — with the Monterrey expansion serving as a cornerstone of its strategy to produce closer to major markets. This approach reduces transit time and enhances responsiveness to demand fluctuations across the Americas.
The $400 million investment reflects a long-term commitment to nearshoring capacity in Latin America. It follows earlier investments at the same site and aligns with broader industry shifts toward geographically diversified manufacturing footprints amid evolving trade dynamics.
The facility’s current workforce of 7,300 workers underscores its scale, while the addition of 1,300 jobs signals both immediate construction-phase employment and sustained operational growth post-2029.
Source: Supply Chain Dive
Compiled from international media by the SCI.AI editorial team.