Lexel Fabrika | Schneider Electric

In Riga, a modern industrial facility is quietly delivering outsized results on a global scale. Through the joint efforts of its 480 employees, SIA Lexel Fabrika grew turnover from €140 million to €190 million in a single year, turning the Riga plant into Schneider Electric’s largest electronics manufacturing site in Europe.  

The main product groups leaving Riga are surge protection devices, frequency converters, and smart-home controllers. They rarely reach shop shelves as stand-alone items; more often they are built into huge distribution cabinets, data centres, and industrial systems worth hundreds of thousands or even millions of euros.

Schneider Electric began producing electronics in Riga more than 10 years ago. The original reasons still hold true: technical expertise, lower labour costs than in Western Europe, and a strategic location within the European Union.

Over a three-year period, the company invested €15 million, a project approved under Latvia’s state-supported major investment program with the support of Altum and the Investment and Development Agency of Latvia (LIAA). The funds delivered three major leaps: factory expansion, the launch of new product lines that alone added at least €8 million in annual turnover, and deep automation of existing processes that will raise labour productivity by 15% by 2028. The company is continuing to invest its own capital in automation and productivity, with planned investments of €7 million in 2025 and €8 million in 2026. 

In the coming years Lexel Fabrika aims to further strengthen its role as a strategic European hub. The company plans to bring printed circuit board production in-house, reduce reliance on subcontractors, and transfer part of Schneider Electric’s manufacturing volume from Asia to Riga. This shift is driven by sustained investment in automation and productivity, enabling the factory to remain cost-competitive within the narrow 10–15% margin that allows European production to compete with Asia. The company continues to invest in people, training and attracting young talent, reinforcing the message that modern manufacturing is not a “harsh factory” but a high-skill environment where complex problems are solved daily and local teams contribute to global projects. 

2025 has already gone down as a historic year: €190 million in turnover, holding the number one position among six Schneider Electric electronics factories in Europe, and a decisive investment leap into the future. In Riga, Lexel Fabrika continues to prove that Latvia can not only attract global industrial leaders but also grow into their strategic heart in Europe.