On October 27th, 2022, we celebrated the opening of a fourth factory at our high-tech production site in Izmir. Dedicated to jersey, and staffed by almost 500 employees, the new 5,000-square-meter factory represents an investment of 4.5 million Euros, and ensures our production capacity will continue to increase in line with our ambitious growth plans.
Our Izmir facility is the main production platform of the HUGO BOSS Group, particularly in apparel product groups destined for the European market, where its location offers important nearshoring advantages. In 2022, we almost doubled our capacity here, producing 5.5 million pieces in comparison to 3 million in 2021.
Overall, we have invested 100 million Euros in this facility, which has been part of HUGO BOSS for more than 20 years.
The new factory in Izmir represents the latest investment in the region by HUGO BOSS. 1,000 new employees have been added to the team in the past year, while in the next 12 months, we plan to create more than 1,000 additional jobs. This will take employee numbers on the 120,000-square-meter campus to 5,700 by the end of 2023.
Our skilled teams and established materials supply chain in Turkey offer clear advantages, supporting the “Organize for Growth” pillar of our Claim 5 strategy, and allowing us to achieve a three-day shipping lead time.
HUGO BOSS Izmir also fully reflects our global efforts regarding sustainability and corporate citizenship. In 2022, the site commissioned a 5,000 square meter solar energy system, which produces 820,000 kWh of electricity per year – the equivalent of the annual energy consumption of 164 households.
The facility aims to meet 35% of its energy needs from renewable energy sources through an investment of 1.25 million Euro next year, and supports the HUGO BOSS AG goal of using electricity only generated from renewable energy sources by 2030.
In terms of corporate citizenship, HUGO BOSS established the HUGO BOSS Education Association in Izmir in 2008, offering scholarships and mentoring to local students from disadvantaged families.
Furthermore, the program “Doors Open for Women” supports women in Izmir who want to re-enter the workforce, demonstrating our commitment to equal opportunities. More than 1,600 women have successfully completed the program since its launch in 2010, and 62% of employees at our Izmir production site are female, including 50% of senior management.