New materials from cellulose: what is real and what is still in the lab

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The only commercial microfibrillated cellulose plant with a verified capacity is Borregaard's Exilva plant in Norway, with a capacity of 1,000 metric tons a year on a dry basis ¹. Borregaard says its competitors are in a "pilot plant or captive use phase" ². This post gives a clear ladder from lab to production for each new cellulose material.

Published October 27, 2026 · Facts as of October 27, 2026 · 11 min read · Sources listed at the end

Facts as of October 27, 2026. This page states the facts as they stood on that date. Figures, rules and company plans may have changed since publication. We review this guide every six months and update the pages.

1,000 tDry capacity a year of Borregaard's Exilva MFC plant, Sarpsborg, opened 2016 ¹

300 tRated yearly capacity of CelluForce's cellulose nanocrystal plant in Quebec, a demonstration-scale plant, February 2019 ⁴

4 plantsMFC production plants FiberLean had in the US, India and France in March 2021. We could not verify the current count ³

2017Year of the Japanese cellulose nanofiber facts in this post. Their present status is unverified ⁵

The 60-second version

What is it?

Cellulose is the main fiber in wood pulp. New materials made from it include microfibrillated cellulose (MFC), cellulose nanofiber (CNF), cellulose nanocrystals (CNC) and lignin products. Many of them are still small, at pilot scale or in the lab.

Why does it matter?

A press release can name a plant years before it runs. A buyer or lender needs to know the stage: lab, pilot, being built or in production. The stage tells you how much volume can be delivered.

How does it work?

Each material below carries a stage and the evidence for it, such as a named plant, a stated capacity and a date. Where we found no current data, the post says so.

Myth or fact?

"Nanocellulose is already a large industry."

See the answer

Mostly myth. Borregaard, which calls itself the global leader, calls the market "embryonic but fast-growing" and says its competitors are in a pilot plant or captive use phase ². The only commercial MFC plant with a verified capacity has a capacity of 1,000 metric tons dry a year ¹.

In this post

1. How real is each new cellulose material?
2. What do MFC, CNF, CNC and lignin mean?
3. How big are the plants?
4. Where does lignin stand?
5. What about medical uses?
6. How can a reader tell if a new material is real?

01How real is each new cellulose material?

Most new cellulose materials are still small or at pilot scale. The list below places each one on a four-step ladder: lab, pilot, being built, in production. Each step needs evidence, such as a named plant, a stated capacity and a date.

Borregaard's Exilva plant at Sarpsborg, Norway, is the only commercial MFC plant with a verified capacity. Borregaard calls it "the world's first commercial-scale production facility for microfibrillated cellulose". It opened in 2016 with a capacity of 1,000 metric tons on a dry basis a year ¹. Borregaard also says its competitors are in a "pilot plant or captive use phase" ². Captive use means the maker uses the material itself. One example is Nippon Paper's plan to use CNF as a deodorizer in its own adult diapers ⁵. Borregaard sells these products, so read its words as a seller describing its rivals.

FiberLean is the other MFC producer we found. When Wilh. Werhahn KG bought it on March 29, 2021, the deal included four MFC production plants in the US, India and France ³. We could not verify the current number of plants or any tonnage.

Other cellulose products are further up the ladder. For wood-based textile fibers, see Clothes from trees. For molded fiber and paper packaging, see Pulp against plastic.

How real is it?

Where each new cellulose material stands, October 27, 2026

• In Production
  Borregaard Exilva MFC, NorwayOpened 2016. Capacity 1,000 metric tons dry a year ¹.
• In Production
  FiberLean MFC for paper and boardFour plants in the US, India and France in March 2021. Current count and tonnage unverified ³.
• In Production
  UPM GrowDex hydrogelA niche research reagent for 3D cell culture, launched 2014. No volume found ⁷.
• In Production
  UPM Leuna industrial sugars, GermanyProduction started December 2025, in ramp-up. Lignin fillers unconfirmed ¹².
• Being Built
  Nippon Paper CNF, JapanA 500 ton plant was under construction in 2017. Present status unverified ⁵.
• Being Built
  Sodra kraft lignin plant, MonsterasOver SEK 2 billion. Construction began 2025, completion scheduled 2027 ¹¹.
• Pilot
  CelluForce CNC, QuebecDemonstration scale, 300 metric tons a year, as of 2019 ⁴.
• Pilot
  Daio Paper CNF, JapanPilot plant rated 10 metric tons a year, January 2018 ⁶.
• Pilot
  Stora Enso Lignode battery materialPilot plant at Sunila since July 2021. No capacity or customer found ¹⁰.
• Lab
  Cellulose implants and tissue scaffoldsUPM calls them a longer-term possibility ⁷.

Stage labels: In production (commercial plants running), Being built, Planned (announced, not yet built), Pilot (test plant), Lab (research only), Stopped (closed or cancelled). Dates and capacities are as stated by the sources.

02What do MFC, CNF, CNC and lignin mean?

The four terms are easy to mix up. The table gives each one in plain words, with a company example for each. The wording is simplified.

Define

Four terms in plain words

Wording simplified from the company sources cited ^1,4,5,7,9.

Term	What it is	Example
MFC (microfibrillated cellulose)	Wood pulp fibers split into very fine threads, sold wet as a paste or a suspension.	Borregaard Exilva: 10% paste and 2% suspension, from Norway spruce 1.
CNF (cellulose nanofiber)	Cellulose fibers broken down to nanometer width. One Japanese type is chemically modified (TEMPO).	Nippon Paper's planned 500 ton TEMPO CNF plant 5. UPM's GrowDex hydrogel uses nanofibrillar cellulose from birch 7.
CNC (cellulose nanocrystal)	Short, rod-shaped crystals of cellulose.	CelluForce, Windsor, Quebec: 300 metric tons a year 4.
Lignin	The part of wood that a kraft mill sends into black liquor. Plants can wash it out as a cake.	Valmet's LignoBoost plant at Domtar Plymouth, 25,000 metric tons a year, started 2013 9.

03How big are the plants?

The chart shows the capacities that companies and governments stated for cellulose material plants. They are stated capacities, not output, and the dates differ.

CelluForce's plant at Windsor, Quebec, is rated at 300 metric tons of cellulose nanocrystals a year. In February 2019 Natural Resources Canada described it as "becoming the world's first full commercial demonstration-scale plant of its kind" ⁴. We found nothing newer that we could verify.

The Japanese facts are from 2017 and 2018, and they are nine years old or close to it. In February 2017 Borregaard reported that Nippon Paper was building a first commercial plant with a capacity of 500 tons of chemically modified (TEMPO) CNF. It also reported at least 8 to 10 pilot plants, from a few tons to 100 tons, and cost targets of $10 a kilogram by 2020 and under $5 a kilogram by 2030 ⁵. Daio Paper started a CNF pilot plant rated 10 metric tons a year in January 2018 ⁶. No source we found shows whether the 2020 cost target was met or whether the Nippon plant runs today.

For scale, Lenzing reports a nominal fiber capacity of 1,110,000 metric tons across its textile fibers ⁸. The two products differ, and the comparison only shows the size of the textile route next to the nanocellulose route.

A new plant with no sales record carries performance risk: it may not deliver what it promises. A lender looks at that risk in the same way as for any producer. See buyer, country and performance risk in the Ossiano Trade Finance Guide.

Chart

Stated yearly capacity of cellulose material plants

metric tons a year (Exilva on a dry basis). Sources: Borregaard ¹; Borregaard 2017 survey of Japan ⁵; Natural Resources Canada ⁴; PlasticsToday ⁶. Colors follow the stage labels. The Nippon Paper figure is a 2017 plan, stated as 500 tons in the source, and its present status is unverified.

Borregaard's Sarpsborg plant, opened in 2016, has a capacity of 1,000 metric tons on a dry basis a year ¹.

04Where does lignin stand?

Lignin is the part of wood that a kraft mill sends into its black liquor. See how a kraft mill works for the chemical loop and More than paper for the biorefinery. Lignin shows the same pattern as nanocellulose: plants exist, but volumes are small and several plans have changed.

Valmet says the first full-scale LignoBoost plant started in 2013 at Domtar's Plymouth, North Carolina mill, with a capacity of 25,000 metric tons a year ⁹. In August 2013 an executive told Pulp and Paper Canada that the investment was hard to justify until lignin commands a higher price ⁹. We could not confirm that the Plymouth plant runs today.

Stora Enso's Sunila plant had a LignoBoost capacity of 50,000 metric tons a year, with the first lignin cake on December 7, 2014 ⁹. In September 2023 Stora Enso decided to close pulp production and lignin extraction at Sunila for good ¹⁰.

Stora Enso's Lignode is a wood-based carbon material meant to replace graphite in battery anodes. It is a pilot. The pilot plant opened at Sunila on July 21, 2021 and kept operating after the site was sold in November 2024. A trade article in September 2025 still describes pilot operations ¹⁰. We found no capacity, customer or commercial start date. Stora Enso's product page calls Lignode "already a scalable model for commercial production". That is a company statement, and we found no commercial plant ¹⁰.

Sodra is building what it calls the first commercial kraft lignin plant in Sweden, at Monsteras. The investment is over SEK 2 billion, construction began in 2025 and completion is scheduled for 2027 ¹¹. Bioenergy International reported an offtake deal with Stora Enso in September 2024 ¹¹. An offtake agreement is a buyer's promise to purchase future output, and it is one sign that a plant has a market.

UPM's Leuna biorefinery in Germany is designed for 220,000 metric tons a year of biochemicals from hardwood. On December 19, 2025 UPM said it had started production and commercialization of industrial sugars ¹². Trade press reported on August 18, 2026 that deliveries of lignin-based fillers for rubber were expected by the end of September 2026 ¹². We found no confirmation that they began. Sources describe Leuna as a stand-alone hardwood biorefinery, so it is placed on the ladder for sugars only.

• 2027Sodra's Monsteras kraft lignin plant is scheduled for completion ¹¹. UPM expects Leuna to reach full capacity ¹².
• Sep 2026Lignin-based fillers from Leuna were expected to be delivered by the end of the month. We found no confirmation ¹².
• Dec 19, 2025UPM says Leuna has started production and commercialization of industrial sugars ¹².
• Sep 2025A trade article still describes Lignode as pilot operations at Sunila ¹⁰.
• Sep 2023Stora Enso decides to close pulp production and lignin extraction at Sunila for good ¹⁰.
• 2013The first full-scale LignoBoost plant starts at Domtar Plymouth, 25,000 metric tons a year ⁹.

05What about medical uses?

UPM Biomedicals sells GrowDex, an "animal-free hydrogel extracted from birch wood". It is made from nanofibrillar cellulose from birch pulp and was launched in 2014 for 3D cell culture in research, such as drug response testing and skin models ⁷. It is a research reagent for laboratories, a niche product. We found no volume or revenue figure.

UPM describes tissue engineering scaffolds and implants as a longer-term possibility ⁷. We place them in the lab stage. No source we found shows a cellulose implant sold for clinical use.

06How can a reader tell if a new material is real?

Use the checklist below on any press release about a new cellulose material. A real material has a named plant, a stated capacity and a date, and a buyer. If one is missing, treat the stage as pilot or lab until a source shows otherwise.

For how a lender funds a producer before sales start, see pre-export finance. A plant without a track record also ties up working capital for a long time, and a buyer's commercial risk is hard to judge without a sales history.

Checklist

Five questions: is this new material real?

• Which stage?Ask for the word: lab, pilot, being built or in production. Demonstration scale, such as CelluForce's 300 metric ton plant, sits at pilot level ⁴.
• What capacity, on what basis?A capacity can be wet or dry. Borregaard states 10,000 metric tons of 10% paste and 1,000 metric tons dry as the same capacity ¹. Capacity is the rated maximum, and output is what the plant makes.
• What date?Many facts age fast. The Japanese plant plans in this post are from 2017 and 2018 ^5,6.
• Who says so?A rival, a seller or a government can each have a reason to frame a fact. Borregaard sells MFC and describes its competitors ².
• Is anyone buying?Look for named customers, repeat orders or an offtake agreement. In 2013 a Domtar executive said lignin investment was hard to justify until lignin commands a higher price ⁹.

What this means for traders

• Ask for the stage, the capacity basis and the date of every new cellulose material before you count on supply.
• The only commercial MFC plant with a verified capacity makes 1,000 metric tons dry a year, so volumes are small ¹.
• A plant with no named customers or offtake agreement is a performance and market risk for a lender.

Questions traders ask

Is nanocellulose made at commercial scale today?

Yes, at small scale. The only commercial microfibrillated cellulose plant with a verified capacity is Borregaard's Exilva plant in Norway, which opened in 2016 with a capacity of 1,000 metric tons on a dry basis a year. FiberLean had four MFC plants in 2021, and we could not verify the current count.

What is the difference between MFC, CNF and CNC?

MFC is wood pulp fibers split into very fine threads, sold as a wet paste or suspension. CNF is cellulose broken down to nanometer width. CNC is short, rod-shaped cellulose crystals. The terms overlap in daily use, so ask a seller which one it means.

Is lignin sold as a product today?

Yes, in small volumes, but the picture changes often. Valmet's first full-scale LignoBoost plant started in 2013 at Domtar Plymouth. Stora Enso decided in September 2023 to close its Sunila lignin extraction for good. Sodra is building a kraft lignin plant for completion in 2027.

Can I buy a cellulose implant?

No source we found shows a cellulose implant sold for clinical use. UPM sells GrowDex, a birch cellulose hydrogel, as a research reagent for 3D cell culture. UPM calls tissue scaffolds and implants a longer-term possibility.

How can I check a capacity claim in a press release?

Check four items: the stage, whether the capacity is wet or dry, the date, and who made the statement. Then look for named customers or an offtake agreement. A claim that lacks these items is best treated as a pilot or lab claim.

Read next

• InnovationMore than paper: the biorefinery
• InnovationClothes from trees: dissolving pulp, viscose and new fibers
• InnovationPulp against plastic: molded fiber and paper packaging
• Inside the millHow a kraft mill works: the chemical loop that made modern pulp
• Inside the millMills that make their own power: energy, water and the recovery boiler
• Money and rulesPulp watch: every rule and date in one place
• Ossiano Trade Finance GuideHow each trade finance instrument works
• GlossaryTrade finance terms in plain English

Financing a producer or buyer of new fiber and bio-based materials? Ossiano Capital works on trade finance for pulp and paper trades.

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Sources and notes

1. Borregaard, Cellulose fibrils production (Exilva plant, Sarpsborg), read October 27, 2026. https://www.borregaard.com/product-areas/cellulose-fibrils/production
2. Borregaard ASA, General presentation, February 2026, slides 48 and 65. https://www.borregaard.com/hubfs/Media/InvestorFiles/Q42025/Borregaard%20general%20presentation%20-%20February%202026.pdf
3. FiberLean Technologies, New owner for FiberLean Technologies, March 29, 2021; FiberLean website, read October 27, 2026. https://www.fiberlean.com/news-and-media/new-owner-for-fiberlean-technologies/
4. Natural Resources Canada, Governments of Canada and Quebec support growth of CelluForce in Quebec's forest industry, February 5, 2019. https://www.canada.ca/en/natural-resources-canada/news/2019/02/governments-of-canada-and-quebec-support-growth-of-celluforce-in-quebecs-forest-industry.html
5. Borregaard, Nanocellulose market development in Japan, February 21, 2017. https://www.borregaard.com/exilva/nanocellulose-market-development-in-japan
6. PlasticsToday, Daio Paper starts up cellulose nanofiber plant, January 29, 2018. https://www.plasticstoday.com/materials/daio-paper-starts-cellulose-nanofiber-plant
7. UPM Pulp, GrowDex hydrogel, the biomedical building block of the future (undated). https://www.upmpulp.com/news-and-materials/blogs-and-stories/stories/growdex-hydrogel-the-biomedical-building-block-of-the-future/
8. Lenzing AG, Lead transformation, generate impact: 2025 annual and sustainability report, March 19, 2026. https://a.storyblok.com/f/306166/x/fd5acf4d3b/pa_2026_03_19_en_-lead-transformation-generate-impact-lenzing-presents-its-2025-annual-and-sustainability-report.pdf
9. Valmet, LignoBoost plants produce large volumes of lignin, case studies (undated); Pulp and Paper Canada, Domtar betting on biochemicals, August 1, 2013. https://www.valmet.com/insights/articles/up-and-running/new-technology/PEERS1stLignoBoostPlants/
10. PaperAge, Stora Enso divests Sunila site to Aalto Development, November 8, 2024; CompositesWorld, July 21, 2021; PaperAdvance, September 10, 2025; Stora Enso, Lignode product page. https://paperage.com/2024news/11-08-2024stora-enso-divests-sunila-site-to-aalto-development.html
11. PaperAge, Sodra starts construction of its new kraft lignin plant in Sweden, May 28, 2025; Bioenergy International, Sodra secures kraft lignin offtake deal with Stora Enso, September 23, 2024. https://www.paperage.com/2025news/05-28-2025sodra-starts-construction-of-its-new-kraft-lignin-plant-in-sweden.html
12. Hydrocarbon Processing, UPM Leuna first commercial product, December 19, 2025; European Rubber Journal, UPM set to start rubber-filler deliveries from Leuna, August 18, 2026. https://hydrocarbonprocessing.com/news/2025/12/upm-unlocks-new-bio-based-markets-as-leuna-biorefinery-produces-its-first-commercial-product/

Trade figures come from UN Comtrade (2015 to 2025, as reported by 10 countries) and FAOSTAT (1961 to 2024), checked and recalculated by us; each chart names whose data it uses. All tons are metric tons. All facts on this page are as of October 27, 2026, the date of publication, and may have changed since. For rules and tariffs, check the pulp watch before you act.

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