UPM innovations advance bioeconomy

UPM’s Biofore strategy is based on the versatile use of renewable wood biomass, combined with innovation, resource efficiency and sustainability. We actively develop solutions based on the circular economy model, where materials and value circulate and added value is generated by services and smart operations. The purpose is to replace non-renewable materials with renewable, recyclable and low-impact alternatives – the main drivers for the bioeconomy.


Our innovations in the bioeconomy create value for our businesses and support UPM renewal by creating new business opportunities using renewable and recyclable biomass. We enhance the competitiveness of existing businesses by finding solutions to increase resource efficiency, reduce costs and develop new products.

We develop new technologies and businesses in order to expand the future UPM portfolio. UPM is developing new businesses based on its extensive know-how and strong position in the forest biomass sourcing and processing value chain. We aim to use valuable and renewable forest biomass as responsibly and efficiently as possible.

An excellent example of responsible business practices in innovation processes is the UPM ecodesign concept that we have incorporated into our product and process development. For us, ecodesign means that we design and produce our products responsibly to be safe and sustainable, and we ensure that, whenever possible, the end of our products’ lifecycle is the birth of something new. We have developed innovative ways to reduce our own waste or residues and to be able to reuse them in smart new products – we see yesterday’s waste as today’s valuable raw material.


Securing IP rights for new businesses

UPM actively protects inventions and brands with intellectual property rights. UPM manages and uses its patents, trademarks and other intellectual property rights throughout the world. Protected innovations and high level risk management is an integral part of the business model throughout UPM. UPM is also actively seeking partners and licensing opportunities to develop new technologies and solutions for its customers. UPM leaves approximately 350 patent applications annually. For example in Finland, UPM was granted over 50 patents in 2016, more than any other Finnish company.

Innovations create value

Sustainability, resource efficiency and innovative products made from renewable resources are at the forefront driving UPM’s shift towards the bioeconomy. Different innovation needs are emphasised in different businesses. In existing businesses the focus is on cost savings and developing new services and new business models according to customer needs.

For new businesses we need to create new products and technologies or applications and means of commercialisation. At the moment UPM develops new bioeconomy-based businesses in three areas: biofuels, biocomposites and biochemicals.

Biofuels from residues

UPM plans to become a major player in high quality, advanced biofuels for transport. Our innovative, wood-based biofuels and production technologies support sustainable development. UPM’s biofuels are frontrunners in quality, usability and sustainability.


UPM Biocomposites consists of UPM ProFi outdoor products for construction and UPM Formi granulates for injection moulding and extrusion. UPM ProFi and UPM Formi composites combine the best characteristics of natural fibers and plastic.


UPM Biochemicals offers and develops innovative, sustainable and competitive wood-based biochemicals for a variety of uses. Our high-quality products are derived from renewable wood originating from sustainably managed and certified forests.