UPM Biochemicals
UPM Biochemicals, a subsidiary of UPM, operates the world's first industrial-scale wood-to-biochemicals biorefinery in Leuna, Germany, producing 220,000 tonnes annually of bio-glycols, lignin-based functional fillers, and industrial sugar as drop-in replacements for fossil-derived chemicals used by industrial OEMs in automotive, tires, packaging, textiles, and construction.
- Company typePrivate
- Founded2020
- HeadquartersLeuna, Germany
- Headcount251–500
- GTM typeB2B
- OfferingHardware or Manufacturing
What UPM Biochemicals does
UPM Biochemicals is a wholly-owned subsidiary of Finnish conglomerate UPM (Nasdaq Helsinki: UPM) that develops and commercializes wood-based renewable biochemicals as drop-in replacements for fossil-derived chemical inputs. The company operates the world's first industrial-scale biorefinery converting solid beechwood into next-generation biochemicals in Leuna, Saxony-Anhalt, Germany, representing a EUR 1,275 million capital investment on a 15-hectare site with 220,000 tonnes of annual production capacity. Commissioning was initiated in late 2024 and integrated commercial production commenced in H2 2025.
The technology platform fractionates beechwood into cellulose, lignin, and hemicellulose, then converts each fraction into commercial products via proprietary processes. Cellulose is converted in a one-step process to Bio-Monoethylene Glycol (BioMEG / UPM BioPura) and Bio-Monopropylene Glycol (BioMPG) that are molecularly identical to fossil-derived glycols; lignin is processed into UPM BioMotion Renewable Functional Fillers (RFF) replacing carbon black and silica in rubber and plastic applications; and hemicellulose is converted to industrial sugar. A separate BioPiva lignin product line targets phenolic resin substitution. All products carry FSC, PEFC, and ISCC PLUS chain-of-custody certifications and are positioned as CO2-negative from cradle to gate.
The business model is product-led B2B sales of renewable commodity-equivalent chemicals to industrial customers — compounders, converters, and OEMs in automotive, tires, packaging, textiles, construction, rail, footwear, and consumer goods. Revenue is generated through volume-based product sales via dedicated direct sales teams (glycols, RFF, lignin), regional sales offices (Helsinki, Tokyo), and global distribution partners. Pricing is not publicly disclosed. The customer base includes reference partners such as Nokian Tyres, Artigo, Standard Profil, HÜBNER Group, SFC Solutions, Voith, and HAERTOL Chemie, with active qualification programs across multiple verticals. The May 2026 acquisition of Ray Technology IP from Avantium extends the glycols IP portfolio.
UPM Biochemicals firmographics
Firmographics- Name
- UPM Biochemicals
- Legal name
- UPM Biochemicals Sales GmbH
- Website
- https://upmbiochemicals.com
- Company type
- Private
- Founded year
- 2020
- Operating status
- Operating
- Headcount range
- 251–500 employees
- Short description
- UPM Biochemicals, a subsidiary of UPM, operates the world's first industrial-scale wood-to-biochemicals biorefinery in Leuna, Germany, producing 220,000 tonnes annually of bio-glycols, lignin-based functional fillers, and industrial sugar as drop-in replacements for fossil-derived chemicals used by industrial OEMs in automotive, tires, packaging, textiles, and construction.
- Ownership category
- akta.pro rank
UPM Biochemicals industry classification
Industry- Product category
- Bio-based Renewable Chemicals
- NAICS
- Cyclic Crude, Intermediate, and Gum and Wood Chemical Manufacturing (325194), Other Basic Organic Chemical Manufacturing (32519)
- SIC
- Industrial Organic Chemicals (2860)
- akta.pro primary industry
- Bio-based Platform & Commodity Chemicals (e.g., bio-ethylene, bio-propylene, bio-BTX, bio-methanol) (EUAAAIAA)
- akta.pro secondary industries
- Bio-based Solvents & Process Chemicals (e.g., bio-acetone, bio-butanol, bio-IPA, green solvents) (EUAAAIAB), Bio-based Carbon Products & Advanced Bioproducts (Biochar, activated carbon, carbon black alternatives) (EUAAAIAM), Bio-based Resins, Adhesives, Coatings & Sealants (EUAAAIAG), Biochemicals & Bio-based Platform Chemicals (cellulose sugars, lignin derivatives, organic acids) (IMAMALAB)
Keywords
Where UPM Biochemicals is headquartered
LocationHeadquarters
- HQ city
- Leuna
- HQ country
- Germany
- HQ region
- Europe
Offices4 records
Markets served
UPM Biochemicals business model
Business model- GTM type
- B2B
- Offering type
- Hardware or Manufacturing
- Cost components
- Supply Chain, Infrastructure, Operations, Personnel, Technology or R&D, Marketing or Sales
Revenue model
- Biochemical Product Sales: UPM Biochemicals generates revenue through the sale of wood-based biochemical products: Bio-Monoethylene Glycol (BioMEG), Bio-Monopropylene Glycol (BioMPG), Renewable Functional Fillers (UPM BioMotion RFF), and Industrial Sugar. Products serve diverse end-use markets including PET packaging, textiles, automotive coolants, rubber tires, and industrial coatings. As a product-led business with industrial-scale production from the Leuna biorefinery, revenue is derived from volume-based product sales to manufacturers and brand owners.
Go-to-market motion1 record
Distribution channels3 records
Marketing channels4 records
UPM Biochemicals product offering
Product offeringCore offering
UPM Biochemicals produces wood-based renewable biochemicals at its Leuna Biorefinery in Germany, including Bio-Monoethylene Glycol (BioMEG / UPM BioPura), Bio-Monopropylene Glycol (BioMPG), Renewable Functional Fillers (UPM BioMotion RFF), Industrial Sugar, and Lignin Solutions (BioPiva). These drop-in replacements for fossil-based chemicals serve industrial customers in polyester/packaging, rubber, automotive, coatings, cosmetics, and pharmaceutical applications.
Product overview
UPM Biochemicals offers a portfolio of wood-based renewable biochemicals produced at its world-first Leuna Biorefinery in Germany. The core product offerings include Bio-Monoethylene Glycol (BioMEG / UPM BioPura™) and Bio-Monopropylene Glycol (BioMPG) for use in PET, textiles, packaging, coolants, cosmetics, and cleaning agents; Renewable Functional Fillers (UPM BioMotion™) for replacing carbon black and silica in tires, rubber, and plastics; Industrial Sugar from hemicellulose conversion; and Lignin Solutions under the BioPiva brand for replacing fossil phenols in resins and polymers. These 100% wood-based biochemicals serve as drop-in replacements for fossil-based alternatives, enabling brands to reduce carbon footprint without compromising product quality or recyclability. The company also supplies glycol mix for composites, pharma, and cosmetics applications.
Differentiator
Problem solved
Functional benefit
Brands
- UPM BioPura™: Brand name for UPM's bio-monoethylene glycol (BioMEG) product. Molecularly identical to conventional mono ethylene glycol, serves as base material for PET bottles, packaging, textiles, and coolants.
- UPM BioMotion™
- BioPiva™
Products and services
- Bio-Monoethylene Glycol (BioMEG / UPM BioPura) Wood-based monoethylene glycol produced at the Leuna Biorefinery. Molecularly identical to conventional fossil-based MEG, serving as a drop-in replacement for PET bottles, packaging materials, polyester textiles, and engine/battery coolants.
- Bio-Monopropylene Glycol (BioMPG) Wood-based monopropylene glycol for use in cleaning agents, deicing fluids, fragrances, and cosmetics. Produced through an efficient one-step process from sugars at the Leuna Biorefinery.
- Renewable Functional Fillers (UPM BioMotion RFF) Lignin-based renewable functional fillers that replace traditional carbon black and precipitated silica in rubber and plastic applications. CO2-negative from cradle to gate, lightweight, high purity, and electrically insulating. Applications include tires, hoses, automotive profiles, precision seals, rubber flooring, and thermoplastics.
- Industrial Sugar Sugar produced from hemicellulose conversion at the Leuna Biorefinery, provided as a liquid solution for various industrial applications.
- Lignin Solutions (BioPiva product family) 100% bio-based lignin products replacing fossil phenol and formaldehyde in phenolic resins. Used in adhesives, bioplastics, polyurethanes, and other industrial polymer applications. Offered under the BioPiva brand family.
- Glycol Mix A mixture of wood-based glycols produced at the Leuna Biorefinery, used in composites, pharma, cosmetics, and food/feed industries, as well as technical fluids.
Quantifiable outcome
- UPM BioMotion RFF carbon footprint is at least 90% lower than carbon black
- +12 more outcomes
Companies that use UPM Biochemicals
Customer profileNamed customers13 records
Segments5 records
Ideal customer profiles3 records
UPM Biochemicals technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Feature4 records
UPM Biochemicals partnerships and signals
Strategic signalPartnerships
14 partnerships are on record, tiered core and flagship.
- Fashion for GoodcoreUPM Biochemicals is an industry partner in Fashion for Good's Mass Balance Demonstrator project, which aims to implement and scale the mass balance attribution (MBA) chain-of-custody model for biomass-attributed PET in textiles. The project involves producing biomass-attributed resin and yarns, quantifying climate impact through GHG emissions modeling, developing a blueprint for industry scale-up, and informing climate frameworks and standards. Other partners include Bestseller, Beyond Yoga, On, Paradise Textiles, Indorama Ventures, and Textile Exchange.
- Nokian TyrescoreUPM Biochemicals and Nokian Tyres introduced the world's first concept tire leveraging UPM BioMotion RFF. All fossil carbon black in the tire's sidewall was replaced by UPM BioMotion RFF, achieving 60 wt% renewable/recycled content in the sidewall compound. Nokian Tyres targets 50% recycled or renewable raw materials in tires by 2030. Partnership introduces CO2-negative RFF into global tire markets and demonstrates industrial-scale usability.
- ArtigocoreArtigo, an international rubber flooring company, will produce its next-generation floor covering collections from 2025 using UPM BioMotion Renewable Functional Fillers. Partnership enables up to 0.5 kg CO2 reduction per sqm and up to 5% weight reduction per sqm. Artigo achieves up to 30% renewable material content in new products. Christian Hübsch, Sales Director at UPM Biochemicals, noted the partnership demonstrates commercial potential for RFF in the construction industry.
- HEIDENAUflagshipHEIDENAU developed the world's first racing kart tire containing UPM BioMotion RFF. The new rubber tread formulation achieves 20% lower carbon footprint compared to the reference compound. Partnership demonstrates high-performance application of RFF in motorsport-grade rubber products.
- HÜBNER GroupflagshipHÜBNER Group developed a prototype of a folding bellow for public transportation featuring textile coated with rubber containing UPM BioMotion RFF. The new compound enables 30% carbon footprint reduction and 8% weight savings while meeting all relevant fire standards. Partnership targets sustainable mobility applications in trains and public transit.
- Industrial Rubber Products (India)coreIndustrial Rubber Products developed a sustainable product line containing UPM BioMotion RFF, achieving engine and body mounts with up to three-quarters renewable material content. Partnership demonstrates RFF adoption in Indian manufacturing market.
- OmikronflagshipOmikron developed a new thermoplastic masterbatch for automotive air ventilation systems using UPM BioMotion RFF. The masterbatch fulfills automotive OEM requirements and increases renewable material content to 15 wt% while reducing final article weight by 6%.
- SEALABLEflagshipSEALABLE developed RCS greenline rail encapsulation containing UPM BioMotion RFF, reducing compound carbon footprint by 15% while improving electrical resistance against stray current. Partnership targets sustainable rail transportation infrastructure.
- SFC SolutionsflagshipSFC Solutions developed an EPDM rubber compound with UPM BioMotion RFF for injection molded automotive rubber bellow applications. 30% of carbon black replaced without compromising manufacturing and performance, enabling 20% lower carbon footprint in final bellows.
- Standard ProfilflagshipStandard Profil developed sustainable automotive weatherstrips with up to 50% of carbon black replaced by UPM BioMotion RFF while still meeting OEM requirements. Partnership addresses high-volume automotive sealing applications.
- UltrashinzflagshipUltrashinz developed sustainable shin guards made from natural rubber and UPM BioMotion RFF, achieving more than 75% lower carbon footprint compared to the fossil reference compound. Partnership targets consumer sports equipment with high renewable content.
- VoithflagshipVoith developed next-generation rubber covers for the paper industry using UPM BioMotion RFF, replacing silica. Results show 23% lower carbon footprint and more than 20% biogenic carbon content compared to the existing reference compound.
- Dongsong Chemical (Korea)corePartnership with Dongsong Chemical of Korea for incorporation of UPM bio-glycols into footwear products. UPM's bio-glycols serve as drop-in replacement for conventional MEG in shoe soles and athletic footwear manufacturing.
- HAERTOL Chemie (Germany)corePartnership with HAERTOL Chemie of Germany for incorporation of UPM bio-glycols into automotive coolants. UPM's bio-glycols are integrated into coolant formulations as drop-in replacement for conventional fossil-based glycols.
Scale indicators7 records
Recent moves7 records
Expansion highlights6 records
UPM Biochemicals competitors and assessment
Company assessmentBroad incumbents
- Stora Enso: Finnish-Swedish forest industry major producing pulp, paper, packaging, and wood-based biochemicals including lignin. Comparable as a vertically integrated forest-products incumbent with growing bio-based chemicals business and shared Nordic forestry supply chain.
- Suzano: Brazilian eucalyptus pulp giant increasingly diversifying into wood-based biochemicals, including bio-based MEG and lignin derivatives. Comparable as a large-scale forest-industry incumbent moving into the same bio-based glycols and renewable chemicals market.
- Eastman Chemical: US specialty chemical company with molecular recycling and bio-based intermediates. Comparable as an established specialty chemicals producer investing in renewable feedstock alternatives for plastics, packaging, and fibers.
- BASF: World's largest chemical company with a broad bio-based chemicals portfolio (e.g., renewable MEG pilot programs, biodegradable plastics). Comparable as the dominant incumbent UPM must displace or partner with in the bio-based MEG and specialty chemicals market.
Direct peers
- Borregaard: Norwegian biorefinery producing lignin-based biopolymers and specialty chemicals from wood. Direct overlap with UPM's BioPiva lignin line and UPM BioMotion RFF, serving similar industrial end-markets with wood-derived bio-based materials.
- Corbion: Dutch company producing lactic acid and PLA precursors from biomass for bioplastics, food ingredients, and biochemicals. Comparable as a fermentation/biorefinery-based producer of renewable platform chemicals serving packaging and industrial markets.
- Braskem: Brazilian petrochemical giant and world's largest producer of bio-based polyethylene (I'm green) from sugarcane ethanol. Comparable as an industrial-scale bio-based commodity chemical producer serving packaging and consumer goods.
- Avantium: Dutch bio-based chemical company developing renewable glycols and plant-based polymers. Directly comparable as a bio-based glycols/MEG technology developer; UPM even acquired Avantium's Ray Technology IP in May 2026, confirming direct technology overlap.
- NatureWorks: Producer of bio-based PLA polymers from plant sugars. Comparable as a leading industrial-scale biorefinery producing drop-in bio-based chemicals/polymers from renewable feedstocks targeting packaging and consumer goods.
Emerging players
- Renmatix: US-based technology company converting cellulosic biomass to industrial sugars via its Plantrose process. Comparable as a cellulosic sugar platform technology provider relevant to UPM's biorefinery feedstock and downstream biochemical value chain.
Market position
Strengths4 records
Weaknesses4 records
Competitive moat5 records
Key risks6 records
Key highlights7 records
Customer concentration
UPM Biochemicals social profiles
Digital presenceUPM Biochemicals compliance and trust
Trust signalCompliance3 records
UPM Biochemicals financial estimates
Financial estimateRevenue estimate
Valuation estimate
UPM Biochemicals leadership team
Management profileNumber of profiles
Profiles3 records
UPM Biochemicals subsidiaries and ownership
Company hierarchySubsidiaries1 record
UPM Biochemicals funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
UPM Biochemicals M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about UPM Biochemicals
What does UPM Biochemicals do?
UPM Biochemicals produces wood-based renewable biochemicals at its Leuna Biorefinery in Germany, including Bio-Monoethylene Glycol (BioMEG / UPM BioPura), Bio-Monopropylene Glycol (BioMPG), Renewable Functional Fillers (UPM BioMotion RFF), Industrial Sugar, and Lignin Solutions (BioPiva). These drop-in replacements for fossil-based chemicals serve industrial customers in polyester/packaging, rubber, automotive, coatings, cosmetics, and pharmaceutical applications.
Is UPM Biochemicals a public or private company?
UPM Biochemicals is a private company. It is classified as corporate owned and is currently operating.
When was UPM Biochemicals founded?
UPM Biochemicals was founded in 2020. It employs 251 to 500 people.
Where is UPM Biochemicals based?
UPM Biochemicals is headquartered in Leuna, Germany, in the Europe region.
How does UPM Biochemicals make money?
One revenue line is on record: biochemical Product Sales.
Who are UPM Biochemicals's main competitors?
Broad incumbents on record are Stora Enso, Suzano, Eastman Chemical and BASF. Direct peers are Borregaard, Corbion, Braskem, Avantium and NatureWorks. Renmatix is listed as an emerging player.
Does UPM Biochemicals have an API?
No public API is recorded for UPM Biochemicals.
What industry is UPM Biochemicals in?
UPM Biochemicals's product category is Bio-based Renewable Chemicals. Its primary akta.pro industry code is EUAAAIAA, Bio-based Platform & Commodity Chemicals (e.g., bio-ethylene, bio-propylene, bio-BTX, bio-methanol), with a secondary code of EUAAAIAB, Bio-based Solvents & Process Chemicals (e.g., bio-acetone, bio-butanol, bio-IPA, green solvents). Its NAICS code is 325194 and its SIC code is 2860.