UPM Biochemicals Prepares for Bio-MEG Commercialisation

UPM Biochemicals is making arrangements for its incoming wood-based glycols production in Leuna, Germany. The biorefinery is expected to be operational by the end of 2023 and scaling up to its full 220 ktpa capacity by 2024. Bio-MEG (monoethylene glycol), bio-MPG (monopropylene glycol), renewable functional fillers (RFF) derived from lignin, and industrial sugar will be the main products supplied by the biorefinery.

A UPM development partnership with South Korea-based Dongsung Chemical was also announced this month using UPM’s bio-MEG BioPura™ to produce renewable polyurethane. The collaboration is aimed at the immense textile and footwear industries in the Asian market. Dongsung Chemical plans to expand its existing portfolio by advancing its eco-friendly product lines by integrating UPM’s bio-MEG into its production.  The South Korean company intends to diversify the field of application to automotive interior materials and adhesives.

Dongsung’s environmental plans include the intention to reduce its carbon emissions by 10% by 2030. In June, the company launched a biodegradable packaging material brand called ECOVIVA®. Dongsung is planning to build pilot facilities for the development of various biodegradable products such as biodegradable functional films, adhesives and foams. Dongsung is joining other South Korean chemical companies getting fully involved in the biodegradable plastics space, such as LG Chem, CJ Cheiljedang, SK Group, GS Caltex, and Lotte Chemical.

The Tecnon OrbiChem’s Bio-Materials report regularly covers the petro-based and bio-based glycols space. At present, India Glycols is the only commercial bio-based MEG producer, but several companies are expected to soon join this market.

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