Company: MT
Filing Date: 2025-03-10
Form Type: 20-F
Source: 0001243429-25-000017
Chunk: 231

Company: ArcelorMittal
Filing Date: 2025-03-10
Form: 20-F
Chunk 231
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. Interest rate and currency swaps are utilized to manage the currency and/or interest rate exposure of the debt. For the Company’s tabular presentation of the fair values of its short and long term debt, please see note 6 to the consolidated financial statements. Commodity price risk ArcelorMittal utilizes a number of exchange-traded commodities in the steel-making process. In certain instances, ArcelorMittal is the leading consumer worldwide of certain commodities. In some businesses and in certain situations, ArcelorMittal is able to pass this exposure on to its customers. The residual exposures are managed as appropriate. Financial instruments related to commodities (base metals, energy, freight and emission rights) are utilized to manage ArcelorMittal’s exposure to price fluctuations. Hedges in the form of swaps and options are utilized to manage the exposure to commodity price fluctuations. In case of natural gas, ArcelorMittal has a portfolio of steelmaking assets with approximately 75% of steel being produced through the BF-BOF route which means resulting by- product gases are recycled and utilized as a substitute for natural gas covering a large part of the Company's needs. Overall, the Company has a policy of hedging a portion of its natural gas requirements with other strategic long term hedges in place. With respect to emission rights, in 2024, the Company has fulfilled its shortfall requirements through the utilization of some of its hedges and through some spot purchases by strategically buying certificates in a planned manner. For the Company’s tabular presentation of information related to its market risk sensitive instruments, please see note 6 to the consolidated financial statements. In respect of non-exchange traded commodities, ArcelorMittal is exposed to volatility in the prices of raw materials such as iron ore (which is generally correlated with steel prices with a time lag) and coking coal. This exposure is almost entirely managed through long-term contracts, however some hedging of iron ore exposures is made through derivative contracts. For a more detailed discussion of ArcelorMittal’s iron ore and coking coal purchases, see “Operating and financial review —Key factors affecting results of operations—Raw materials”. Outlook T he Company expects higher apparent demand in 2025 as compared to 2024. Outside China, ASC is expected to grow by

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2.5% to 3.5% in 2025 as compared to 2024, which is expected to support steel shipment growth in 2025. ArcelorMittal expects the following demand dynamics by