From wood to chemicals: UPM inaugurates pioneering biorefinery in Germany
UPM inaugurated its biorefinery Oct. 15 in Leuna, Germany, marking the start of a new industrial platform for renewable chemicals made from wood.
The biorefinery converts lignocellulosic biomass, primarily wood from sustainably managed forests and sawmill residues, into biochemicals.
With an annual capacity of 220,000 metric tons, it is the largest facility of its kind in the world.
The ramp-up has progressed further, UPM stated.
Enzymatic hydrolysis and the production of lignin-derived specialty chemicals have reached stable operation, and UPM is ramping up sales of these products.
“The Leuna Biorefinery is a transformative investment for UPM and an important milestone in our growth journey,” said Massimo Reynaudo, the president and CEO of UPM. “Our high-performance renewable chemicals open new markets for UPM and new opportunities for our customers. Together with our renewable fuels, the Leuna Biorefinery forms a platform for profitable growth and shows the ambition and energy with which UPM innovates.”
The biochemicals will be used in everyday products, from clothing and packaging to cosmetics, construction materials and tires.
Many of these are still made from fossil-based raw materials.
Manufacturers and brands look for new ways to innovate and differentiate, and the Leuna plant gives them renewable alternatives with the required performance.
At the same time, global warming underlines the need for continued defossilization, and a considerable share of consumers looks for products made from renewable materials.
UPM said its Leuna Biorefinery is also a milestone for Europe’s bioeconomy.
It shows that renewable carbon-based solutions can move beyond pilot projects into commercial-scale manufacturing, reducing dependence on imported fossil value chains and strengthening supply security.
“Europe’s competitiveness depends on creating new industries and scaling innovation,” Reynaudo said. “With Leuna, UPM turns Europe’s strengths in science and engineering into a new growth business.”
The biorefinery uses beechwood from thinnings and sawmill residues, sourced within about 200 kilometers and unsuitable for higher-value uses such as timber or furniture.
Using enzymatic hydrolysis, it breaks the biomass down into industrial sugars and lignin, renewable raw materials that can replace fossil-based inputs in chemicals production.
The facility represents a total investment of 1.37-billion euros (USD$1.54 billion).
