The environmental impact of a product in different stages of its life cycle can be assessed using eco-design analysis methods. It is possible to research the environmental impact in the early stages of the product planning. In this assessment eco-design analysis was carried out using Pré Consultants computer program ECO-it to forecast environmental impacts during the production process of xylan. It is a chemical product extracted from wood. Previously conducted studies identified xylan as a product with high commercialization potential for Latvia’s conditions. Innovative microwave assisted xylan production technology was assessed. Results reveal that depending on source energy powering the technological processes can create the greatest environmental impacts as xylan production is an energy intensive process. Another significant source of pollution comes from the use of chemicals in the production process. In comparison raw materials, transportation and water use environmental impacts are minor.