UPM has inaugurated its wood-based chemicals biorefinery in Leuna, Germany. The facility has an annual capacity of 220,000 tonnes and represents an investment of Euro 1.37 billion, UPM announced.

Enzymatic hydrolysis and the production of lignin-derived specialty chemicals have reached stable operation. The company is ramping up sales of these products as the facility continues its production ramp-up.

The biorefinery uses beechwood from forest thinnings and sawmill residues sourced within about 200 kilometers. The feedstock is unsuitable for higher-value uses such as timber or furniture.

Enzymatic hydrolysis breaks down the biomass into industrial sugars and lignin. These renewable raw materials can replace fossil-based inputs in chemicals production.

The biochemicals will be used in clothing, packaging, cosmetics, construction materials and tires. They offer renewable alternatives to fossil-based inputs in these applications.