Making furniture manufacturing sustainable

An investment in automated, energy-efficient technology sets an example for greening the country’s manufacturing industry.

Mongolia’s construction and interior design sector is growing rapidly, driven by increasing demand for modern, high-quality housing and furnishings. HV Solution LLC is an established leader for turnkey residential interior design solutions. In 2018, the company started its own production under the MODA HOME brand to offer a Mongolian-made furniture range as part of its interior design projects but also for general retail. High quality has been the cornerstone of the company’s activities since its foundation in 2022, enhanced by working in accordance with ISO 9001:2015 standards and combining craftsmanship with advanced technology.

As part of its continuous improvement efforts, the company realised that its older furniture production equipment required extensive manual labour and time, affecting productivity, energy efficiency, and product consistency. To address these limitations, HV Solution LLC invested in a new automated CNC furniture production system, replacing three outdated machines with a single high-efficiency line. The upgraded technology delivers greater precision, higher production capacity, more efficient energy use, reduced labour requirements and improved safety of workers.

The USD 56,199 investment was supported by a Green Economy Financing Facility (GEFF) loan from Khan Bank. As a result, the company now achieves annual energy savings of 149.4 MWh, significantly reducing operational costs and lowering greenhouse gas emissions by 68 tonnes per year.

This investment demonstrates how green technologies can strengthen Mongolia’s manufacturing competitiveness while supporting climate change mitigation and resource efficiency.

The Green Economy Financing Facility (GEFF) in Mongolia was developed by the European Bank for Reconstruction and Development (EBRD) and is supported by the Green Climate Fund and the Government of Japan.