Industries across the world are reassessing the foundations of the materials they rely on. From consumer goods and textiles to transport and packaging, long-established supply chains are being reshaped by efforts to lower emissions, reduce dependency on fossil feedstocks, and prepare for tightening regulatory frameworks. Recycling alone cannot close the gap; many systems still rely on inputs whose production carries a significant carbon footprint. As a result, renewable materials are gaining prominence as a complementary route to more sustainable manufacturing.
This shift is mirrored in market trends. The global bio-based chemicals sector, valued at more than 70 billion USD in 2023, is projected to nearly triple over the coming decade, reflecting rising demand for viable alternatives that can perform at scale. Emerging technologies in renewable chemistry are beginning to make that growth tangible, offering pathways to replace fossil-based components in widely used products.
A New Generation of Renewable Materials at Industrial Scale
The shift toward renewable chemistry becomes particularly tangible in Leuna, Germany, where UPM, a global material solutions leader, has developed a biorefinery designed to produce advanced, wood-based chemicals at commercial scale. With an anticipated annual output of around 220,000 tonnes, the facility demonstrates how renewable feedstocks can be converted into consistent, high-quality inputs for established industrial value chains.
At the core of the refinery is a set of technologies designed to reimagine how materials are made.
“Leuna is a true groundbreaking investment and a front runner project. What we do here is we use first-of-its-kind technologies to convert woody biomass into renewable chemicals and materials. In a way we’re dissecting wood on a molecular level and rearranging the molecules to value products that are replacing fossil equivalents in various chemical value chains,” explains Harald Dialer, Executive Vice President, Technology & UPM Biorefining.
The biorefinery will produce renewable glycols that can be used in PET bottles, textiles, and cosmetics, as well as lignin-based Renewable Functional Fillers that offer a lower-carbon alternative to conventional materials in rubber and plastic applications. For many manufacturers, these kinds of solutions are essential: they reduce reliance on fossil feedstocks while fitting into existing supply chains without requiring radical operational overhaul.
The development aligns with UPM’s broader evolution into a material solutions company, supported by longstanding expertise in renewable fibres and recognised sustainability performance across global indices.
The Future Role of Renewable Materials
As industries work to decarbonise, renewable materials will become increasingly important to improving environmental performance and strengthening supply chain resilience. Large-scale biorefineries such as Leuna show that the sector is entering a new phase - one where renewable chemistry is not experimental, but a practical part of industrial strategy.
The pace of adoption will differ, but the direction is clear. Advances in renewable feedstocks will shape how materials are sourced and deployed, influencing the next stage of low-carbon industrial growth.