UPM inaugurates €1.4bn renewable chemicals biorefinery in Germany
27 Oct 2026
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Leuna facility ramps up production of lignin-based chemicals, including functional fillers for rubber, tires
Leuna, Germany – UPM has inaugurated its €1.37-billion biorefinery in Leuna, where it is ramping up production of, among other products, lignin-based renewable functional fillers (RFFs) for rubber and tire applications.
The Finnish group officially opened the 220-kilotonne/year facility 15 Oct, describing it as 'the world's largest facility of its kind'.
UPM said enzymatic hydrolysis and the production of lignin-derived speciality chemicals had reached “stable operation,” with sales of these products now being ramped up.
The facility converts sustainably sourced wood and sawmill residues into renewable chemicals, including UPM BioMotion RFFs, which are designed to replace conventional carbon black and silica in rubber and plastics.
“The Leuna Biorefinery is a transformative investment for UPM and an important milestone in our growth journey,” said president and CEO Massimo Reynaudo.
“Our high-performance renewable chemicals open new markets for UPM and new opportunities for our customers,” he added.
The plant sources beechwood from forest thinnings and sawmill residues within approximately 200km of Leuna, using enzymatic hydrolysis to produce industrial sugars and lignin.
UPM previously said it expected to begin customer deliveries of RFFs during the third quarter, with the facility targeted to reach full production capacity in 2027.
The group has positioned the renewable fillers for applications including tires, automotive profiles, hoses, seals and other rubber products.
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