As a by-product, glycerol will be yielded at about 10% of biodiesel during the process of biodiesel production. How to convert glycerol has become a common problem which has to be resolved if considering large amount of biodiesel production. Integrated production of 1,3-propanediol (PDO) from glycerol could be a promising way to improve the profit of the whole process during biodiesel production. 1,3-PDO is a valuable chemical material and especially it could be copolymerizes with terephthalic acid (or methyl ester) to form polytrimethylene terephthalate (PTT). PTT has excellent properties compared to other polymers such as PET. 1,3-PDO can be synthesized from petrochemicals by chemical approaches or manufactured from renewable substrates by fermentation. However, it’s well known that there are many disadvantages associated with chemical approaches for 1,3-PDO production, such as low Selectivity, high temperature and high pressure needed etc. Especially the material for chemical approaches is unrenewable and some intermediates such as ethylene oxide and acrolein are explosive or high toxic. Therefore, fermentation approaches for 1,3-PDO production have drawn more and more attention by considering its advantages over chemical method such as relatively low investment, mild reaction conditions and using renewable sources as the starting materials. We have proposed a novel flexible process for 1,3-PDO production from glycerol or glucose, and the demonstration was finished in pilot plant at the end of 2003 and in industrial scale(50m3fermentor) in June 2006. The purity of final product 1,3-PDO is as good as 99.92%. Some 1,3-PDO sample was tested for PTT polymerization by Chinese and Japanese companies. The results showed that the key characteristics (such as inherent viscosity) of PTT polymerized with the 1,3-PDO produced by biological route are even better than that by chemical route.