The employee became trapped between a blade component and a shelving unit within the facility, said Vestas. An inquiry in to the incident is taking place. The employee's next of kin have been informed.
Blade assembly at the site has stopped while an investigation takes place. Vestas said it was unable to say when the site would reopen.
The manufacturer said experts will "conduct a thorough investigation together with Danish authorities to establish the root cause of the accident".
Vestas chief operating officer Jean-Marc-Lechene said: "I am very saddened to hear about the fatality at our blade facility in Videbæk. My thoughts and concern go to the family of the employee.
"We in Vestas will do our utmost to find out what caused this terrible accident to happen," he added.
The Videbaek facility operates a northern Europe sales office, a global servicing warehouse and blade assembly linked to Vestas' production facility in nearby Lem.