Company: MT
Filing Date: 2025-03-10
Form Type: 20-F
Source: 0001243429-25-000017
Chunk: 29

Company: ArcelorMittal
Filing Date: 2025-03-10
Form: 20-F
Chunk 29
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 to remain competitive. Furthermore, the European Climate Law requires the Commission to present a legislative proposal of a Union 2040 target within six months of the first global stocktake, which concluded at COP28 in Dubai in December 2023. In February 2024, the Commission presented a communication recommending a 90% reduction in net emissions by 2040 compared to 1990, in line with the advice of the Scientific Advisory Board. The legislative proposal to table the 2040 climate target is the responsibility of the new Commission. It is expected that such a target would trigger a further review of the EU-ETS cap, likely leading to a tightened market that might drive higher prices for allowances. For further information on environmental laws and regulations and how they affect the Company’s operations, see “Business overview—Government regulations—Environmental laws and regulations” and note 9.1 to the consolidated financial statements. ArcelorMittal is subject to strict environmental, health and safety laws and regulations that could give rise to a significant increase in costs and liabilities. ArcelorMittal is subject to a broad range of environmental, health and safety laws and regulations in each of the jurisdictions in which it operates. These laws and regulations impose increasingly stringent standards regarding general health and safety, air emissions, discharges of wastewater, the use, handling and transportation of hazardous, toxic or dangerous materials, waste disposal practices and the remediation of environmental contamination, and health and safety matters, and permit requirements/limits among other things. The costs of complying with, and the imposition of liabilities pursuant to, these laws and regulations can be significant, and compliance with new and more stringent obligations may require additional capital expenditures or modifications in operating practices. Failure to comply can result in civil and or criminal penalties being imposed, the suspension of permits, requirements to curtail or suspend operations and lawsuits by third parties. Despite ArcelorMittal’s efforts to comply with environmental, health and safety laws and regulations, and monitor and reduce accidents at its facilities, health, safety and environmental incidents or accidents, including those involving serious injury or death, have occurred and may in the future occur. Such accidents could include (and in certain instances have included) explosions or gas leaks, fires or collapses in underground mining operations, crushing incidents, vehicular accidents, falls while working at heights, and other accidents involving mobile equipment, or exposure to radioactive or other potentially hazardous, toxic or dangerous materials, which have had, and could in the future have, significant adverse consequences for the Company’s workers and facilities, as