UPM Leuna Wood-Based Biochemicals Biorefinery (Germany)

First commercial-scale biorefinery turning hardwood (beech thinnings and sawmill residues sourced within about 200 km) into biochemicals. Enzymatic hydrolysis splits the biomass into industrial sugars and lignin. The sugars are converted to BioMEG and BioMPG, and the lignin to renewable functional fillers that replace carbon black and silica. The glycols serve PET packaging, polyester textiles, cosmetics and coolants, and the fillers serve tyres, rubber and plastics. The project is first of its kind. It slipped from a 2022 start-up plan to a ramp-up from late 2024, with cost growing from EUR 550m at announcement to EUR 1,370m and an EUR 373m impairment booked in Q4 2024. UPM inaugurated the plant on 15 Oct 2026, with full production guided for 2027.