Company: VIENNA INSURANCE GROUP AG
Industry: Insurance
Country: Austria
Sector: Financials
Company type: Aktiengesellschaft
Revenue (EUR): 15230000000
Employees: 31643

Reported EU Taxonomy activities:
Manufacture of iron and steel
Manufacture of automotive and mobility components
Freight rail transport
Infrastructure for rail transport

EU Taxonomy KPIs (currency: EUR, units: millions)
Turnover:
totalTurnover: value: 16684.3
percentage: 100.0%
eligibleTurnover: value: 11839.5
percentage: 71.0%
alignedTurnover: value: 4429.7
percentage: 26.6%
nonEligibleTurnover: value: 4844.8
percentage: 29.0%
CapEx:
totalCapex: value: 1112.8
percentage: 100.0%
eligibleCapex: value: 867.2
percentage: 77.9%
alignedCapex: value: 258.8
percentage: 23.3%
eligibleNotAlignedCapex: value: 608.4
percentage: 54.6%
nonEligibleCapex: value: 245.6
percentage: 22.1%
OpEx:
totalOpex: value: 1027.8
percentage: 100.0%
eligibleOpex: value: 816.7
percentage: 79.5%
alignedOpex: value: 269.8
percentage: 26.3%
nonEligibleOpex: value: 211.1
percentage: 20.5%

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# 13. ENVIRONMENT

Environmentally conscious action is firmly integrated into the voestalpine Group's corporate philosophy. Hence the company endeavors not only to use resources such as raw materials and energy economically along the entire production chain but also to minimize the environmental impact of processes and products.

To achieve these goals, voestalpine utilizes the best available technologies in its production plants and continually works to boost efficiency, lower emissions, and reduce the consumption of energy subject to the parameters of the existent steel production system. Our intensive work to research new, more environmentally friendly production processes and, not least, to refine materials and products alike makes decisive contributions to the company's environmental footprint as well.

All of these activities are supported by transparent and efficient environmental management systems (EMSs) that have already been implemented more or less across the entire voestalpine Group.

#### voestalpine is committed to the following principles at all production sites:

- >> Take comprehensive responsibility for products
- >> Optimize the production processes
- >> Establish environmental management systems
- >> Integrate employees into these processes and ensure environmentally-conscious conduct
- >> Engage in open and professional dialogues

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Image /page/1/Picture/0 description: The image shows a 3D rendering of a silver-colored logo or symbol against a gray background. The logo consists of concentric circular shapes with a stylized arrow pointing upwards and a smaller circle containing a lightning bolt symbol. In the lower right corner of the image, there is a small, rounded rectangle with a white background. Inside this rectangle, there is a line drawing of a gauge with a needle pointing to the right, and a lightning bolt symbol is placed below the gauge. The word "Energy" is written below the drawing.

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#### Environmental protection is a core component of voestalpine's Sustainability Strategy. It encompasses the following principles:

#### Emissions in the Air, Soil, and Water: Minimize using the best available technologies

Process-related emissions cannot be entirely avoided due to the chemical-physical properties of existent production processes. We operate our production facilities based on the principle that the best available technologies must be applied as appropriate and in economically viable fashion. We also develop new approaches that aim to mitigate environmentally relevant effects on the air, soil, and water as best as possible.

#### Circular Economy and Life Cycle Assessments (LCAs)

We support holistic, comprehensive, and integrated analyses and assessments of materials (LCAs) as well as of all process and value chains within the parameters of the circular economy, also known as circularity.

#### Energy and Climate Policy: Commitment to net zero production

We commit to achieving net zero emissions in production, especially through comprehensive research and development of new technologies via cross-sector cooperation agreements and projects. We support the transformation toward a largely fossil-fuel-free society thanks also to our product innovations that are used, for example, in e-mobility, railway systems, and renewable energy generation. We also engage in an open and constructive dialogue with stakeholders such as political decision makers, advocacy and interest groups, civil society as well as the scientific community and environmental organizations.

Image /page/2/Figure/8 description: The image shows eight icons representing the United Nations Sustainable Development Goals. From left to right, top to bottom, they are: 3 Good Health and Well-Being, 6 Clean Water and Sanitation, 7 Affordable and Clean Energy, 8 Decent Work and Economic Growth, 11 Sustainable Cities and Communities, 12 Responsible Consumption and Production, 13 Climate Action, and 17 Partnerships for the Goals.

## 13.1 ENVIRONMENTAL MANAGEMENT SYSTEMS

voestalpine's environmental data management covers 115 production companies and sites worldwide. This includes all steel producing and processing (and therefore all energy and emissions-intensive) business segments that are relevant to the Group's carbon footprint.

The Group periodically compiles about 150 key figures, for instance, those related to air emissions; energy and materials efficiency; water, waste, and recycling management; as well as environmentally relevant investments and expenditures. These data are used for external reporting and fulfillment of reporting obligations as well as, in particular, for environmental assessments of processes, products, and materials. Moreover, the metrics compiled as part of environmental data management provide the basis for strategic planning and operational implementation of environmental activities. The voestalpine Group has established management systems across the board worldwide. A total of 82% of the production sites, which account for 97% of the total production volume, have an environmental management system in accordance with ISO 14001 or EMAS, while 30% of the companies are subject to certified energy management in accordance with ISO 50001. A total of 16% of the companies carry out activities in accordance with the Industrial Emissions Directive (EU/2010/75) and are subject to regular controls (environmental inspections by the local authorities) and continuous emissions monitoring. These companies cover 75% of the Group's total production volume.

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### 13.2 ENVIRONMENTAL INVESTMENTS

At EUR 45.8 million, investments in environmentally relevant facilities in 2023/24 were significantly higher than in the previous business year (EUR 28.9 million). These investments served pri-

marily to expand captive renewable energy production, boost energy efficiency, and further reduce emissions.

Image /page/3/Figure/4 description: This bar chart titled "ENVIRONMENTAL INVESTMENTS" shows the environmental investments in millions of euros from 2019/20 to 2023/24. In 2019/20, the environmental investment was 35 million euros. In 2020/21, the environmental investment was 15 million euros. In 2021/22, the environmental investment was 27 million euros. In 2022/23, the environmental investment was 29 million euros. In 2023/24, the environmental investment was 46 million euros.

The High Performance Metals Division's sites are continuously working to reduce energy consumption and increasingly cover their needs from renewable sources. Among other projects, a 187.5 kWp photovoltaic system was installed at the Johannesburg site in South Africa in the 2023/24 business year. Initiatives to replace fossil fuels with sustainable alternatives are also underway at production sites. These include projects for the production of biomethane and the evaluation of the effects of hydrogen as an energy source on the products and processes of the High Performance Metals Division. At the Hagfors plant in Sweden, 50% of natural gas requirements are already covered by biomethane, and the process of converting heat treatment furnaces to electricity is being accelerated.

The High Performance Metals Division is continuously driving forward improvements in energy efficiency. Around 70 GWh of energy was saved

this way in the last year. The measures implemented include the optimization of combustion technology, the conversion of heating technology in ovens, the installation of efficient LED lighting systems, various optimizations of the system control, and numerous process improvements.

The High Performance Metals Division has set itself the target of reducing CO2 emissions (Scope 1 and Scope 2) by 50% by 2029 compared to 2019. Progress and target achievement are monitored using a detailed roadmap based on individual projects.

The new stainless steel plant in Kapfenberg in Austria makes a significant contribution towards reducing the environmental impact and sets new standards worldwide with its highly efficient technology, closed water circuits, and efficient heat extraction. Options for leveraging the remaining energy-saving potential at sites that produce crude steel conventionally are 

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limited. Nevertheless, significant progress has been made at the Metal Engineering Division's Donawitz site in Austria. A newly installed system for preheating combustion air results in energy savings of 27,000 MWh per year. In addition, the implementation of a natural gas expansion machine reduces the annual energy requirement by a further 2,200 MWh by converting the energy from the pressure difference between the external and internal gas network into electricity, thereby enabling this to be used. Measures were also implemented to generate our own renewable electricity at the site. PV systems were installed e.g. on the plant restaurant and an industrial building, which feed the electricity generated directly into the plant grid.

The expansion of PV system capacity is underway at the Metal Engineering Division's site in Kindberg in Austria. Heat losses were minimized in the reporting period by optimizing processes and improving exhaust gas recirculation at various heating units. Another highlight at the site is the extraction of district heating, which will be able to feed up to 15,000 MWh into the district heating network of the town of Kindberg when completed, significantly reducing the use of primary energy in the region.

PV systems were also installed at various sites in the Metal Forming Division. Elevated tracks produced by us ("iFIX" and "Sadef Solar Structures") were used in many cases. Several locations also switched to energy-saving LED hall lighting, which further reduced electricity consumption.

In addition, voestalpine Precision Strip GmbH has increased the proportion of electricity generated in-house by modernizing the company's own hydroelectric power plants and installing a PV system. The use of waste heat from the company's own facilities and waste heat from the neighboring company (sector coupling) for hall heating reduced natural gas consumption and thus CO2 emissions.

Work on greentec steel is already well underway in the Steel Division. Construction of the electric arc furnace began in the past calendar year. Work has already begun on the new power supply using the microtunneling method and a new conveyor belt bridge has been installed for raw materials supplies.

In addition to greentec steel, the division also focused on expanding its own renewable energy generation. A further PV system with an output of almost 1,400 kWp was commissioned for instance in the past 2023 calendar year on the foundry's production hall.

Another key focus was on the CO2-reduced product portfolio. voestalpine already started back in calendar year 2021 to offer all flat steel and heavy plate products manufactured at the Linz (Austria) plant in a greentec steel edition also. These products have a carbon footprint that is around 10% lower thanks to optimization measures in process management, such as the use of scrap and reducing agents, and the use of renewable electricity, thereby enabling more than 200,000 tons of CO2 to be saved along the entire value chain since the start of the project. In addition to the automotive industry, steel produced this way is already being used by customers in areas that include façade construction, building technology, crane construction, and the heating and heat pump industries.

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### 13.3 ENVIRONMENTAL EXPENDITURES

The voestalpine Group's environmental expenses reached a new record level in the 2023/24 business year, increasing by 7.2% to EUR 514.4 million. voestalpine's environmental expenditures have already come to around EUR 3.3 billion in total over the past 10 years.

#### The investments were directed primarily at the following main areas during the business year ended:

- >> 69% were invested in clean air activities including EU emissions trading allowances (see also the chapter "Climate Action")
- >> 14% were invested in waste recycling, reuse, and disposal
- >> 16% were invested in protecting the waterways
- >> 1% were spent on noise abatement and other projects

#### ENVIRONMENTAL EXPENDITURES

200 300 100 0 514 2019/20 2020/21 2021/22 2022/23 2023/24 400 500 438 300 315 480

In millions of euros

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### 13.4 AIR EMISSIONS

Due to both processes and raw materials, conventional production of pig iron and steel generates various emissions such as carbon dioxide (CO2), but also sulfur dioxide (SO2) and nitrogen oxides (NOx).

voestalpine fully complies with the relevant statutory thresholds. These parameters are verified and the annual loads determined by means of continuous measurements, periodic tests, and material flow analyses. State-of-the-art scrubbing facilities (end-of-pipe measures) are utilized in addition to continual process optimization (process integrated (PI) measures) to minimize any remaining emissions.

Over the last few decades, the voestalpine Group substantially lowered its emissions thanks to extensive environmental measures and innovations in process technology. Given existent steel production technologies, the residual air emissions are the minimum achievable.

#### 13.4.1 GREENHOUSE GAS EMISSIONS

#### 13.4.1.1 Science Based Targets

voestalpine committed to setting targets for reducing greenhouse gas (GHG) emissions in 2022, as part of the Science Based Targets Initiative (SBTi). The proposed targets for voestalpine's "Near-Term Science Based Targets" have been reviewed and validated by the SBTi and are in line with the "well-below 2°C trajectory" initiative.

voestalpine has committed to reducing its absolute Scope 1 and Scope 2 emissions by 30% by 2029 compared to the reference year of 2019. The Group has committed to a 25% reduction in Scope 3 emissions for the same period. Achievement of the 2029 target is also subject to external factors and influencing variables, such as the availability of raw materials and renewable energy as well as the economic situation.

The ambitious savings targets are another important step for voestalpine. The challenge is that the decarbonization measures required to achieve the climate protection targets must also be economically viable.

The plan is for voestalpine's climate strategy to be gradually developed towards net zero emissions and a 1.5 degree reduction trajectory. An initial step towards narrowing this gap is the ambitious target to reduce Scope 3 greenhouse gas emissions.

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#### 13.4.1.2 Scope 1 and Scope 2 reduction potentials

Investments as part of the greentec steel climate protection program and other measures in all divisions and companies of the voestalpine Group are aimed at increasing the reduction potential. It is expected that this will reduce Scope 1 and Scope 2 emissions across the Group by 30%, thereby achieving the Near-Term Science Based Targets in 2029.

An important step on the path towards achieving the science-based targets for Scope 1 and Scope 2 emissions is the initial phase of the transformation of the metallurgical processes for crude steel production at the Linz and Donawitz sites. Two coal-based blast furnaces in Linz and Donawitz will each be replaced by an electric arc furnace powered by renewable electrical energy by 2027.

Measures are also planned in the following areas: Reduction of GHG emissions in the processing and refining processes, a further increase in the energy efficiency of existing processes, the use of renewable resources and renewable energy as well as measures involving the circular economy.

Significant changes to the GHG balance resulting from disposals or acquisitions of companies from the reference year 2019 onwards are not included in the savings targets and must be deducted when evaluating achievement of the targets. voestalpine has begun developing a rescaling process since publication of the targets by the SBTi and intends to establish this in the coming business year.

#### 13.4.1.3 Scope 3 reduction potentials

In order to reduce indirect greenhouse gas emissions (Scope 3) by 25% by 2029, voestalpine has identified the raw materials used (iron carriers, energy sources, alloys, input materials, coatings), auxiliary and operating materials as well as existing and future approaches towards the circular economy as offering significant reduction potential. Upstream and downstream transportation can also play a part in reducing the voestalpine Group's indirect emissions.

Involving and cooperating constructively with companies along the supply chains in the area of raw materials and the circular economy is a prerequisite for determining Scope 3 emissions and for identifying and implementing reduction potential. voestalpine relies on the support and cooperation of its suppliers and business partners.

The availability and quality of data on GHG emissions from upstream and downstream activities along the value chain still includes some gaps. Determining Scope 3 emissions therefore remains a challenge. voestalpine only uses verified data sets and emission factors from recognized sources. Plans are in place for a gradual expansion and extension of the proportion of specific data from the supply chains.

The GHG balances of recent years have shown that the ongoing development of emission factors and the increasing availability of data sets for various material flows and input materials influence the quantification of Scope 3 emissions and can lead to an increase in the absolute amount of GHG emissions. It seems necessary for voestalpine to take these changes in data availability and quality into account in 

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connection with the reduction targets (sciencebased targets) in the future.

Significant changes to the GHG balance resulting from disposals or acquisitions of companies from the reference year 2019 onwards are not included in the savings targets and must be deducted when evaluating achievement of the targets. voestalpine has begun developing a rescaling process since publication of the targets by the SBTi and intends to establish this in the coming business year.

#### 13.4.1.4 Greenhouse Gas Emissions 2023

Direct greenhouse gas emissions (Scope 1) from the voestalpine Group's 115 production sites fell to 12.5 million tons of CO2 equivalents in 2023 (previous year: 12.7 million tons).

The majority of direct greenhouse gas emissions are generated in Austria at the Linz (8.7 million tons) and Donawitz (2.9 million tons) sites, where crude steel is produced via the blast furnace route. In addition to the direct emissions (Scope 1), we also collected data on the indirect greenhouse gas emissions (Scope 2 and Scope 3) and analyzed the data using the "EF 3.0 Climate Change total" method. voestalpine only uses verified data sets and emission factors from known sources (sphera LCAFE®) and primary data from suppliers to determine indirect GHG emissions. Besides carbon dioxide, the direct and indirect emissions data also include the greenhouse gases methane and nitrous oxide.

In addition to the greenhouse gas accounting for the 115 production companies, an evaluation was also carried out of the direct and indirect greenhouse gas emissions of other sites in the voestalpine Group that perform customized processing and services. These additional emissions are not included in the overall result shown on the following page and amounted to the following in 2023: Scope 1 = 0.01 million t CO2e; Scope 2 – market-based = 0.08 million t CO2e; Scope 2 – site-based = 0.10 million t CO2e and Scope 3 – raw material procurement = 0.26 milmillion t CO₂e.

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Image /page/9/Figure/1 description: The image is a bar chart comparing Scope 1, Scope 2, and Scope 3 emissions from 2019 to 2023. In 2019, Scope 1 emissions were 13.61, Scope 2 emissions were 0.94, and Scope 3 emissions were 9.34. In 2020, Scope 1 emissions were 12.44, Scope 2 emissions were 0.64, and Scope 3 emissions were 9.47. In 2021, Scope 1 emissions were 14.45, Scope 2 emissions were 0.55, and Scope 3 emissions were 12.01. In 2022, Scope 1 emissions were 12.71, Scope 2 emissions were 0.48, and Scope 3 emissions were 11.31. In 2023, Scope 1 emissions were 12.53, Scope 2 emissions were 0.60, and Scope 3 emissions were 11.26.

In million tons of CO2e

#### DIRECT AND INDIRECT GREENHOUSE GAS EMISSIONS 2023

In million tons of CO2e

Image /page/9/Figure/6 description: The image contains two bar charts related to greenhouse gas emissions. The first chart, titled "DEVELOPMENT OF SCOPE 1, 2, 3 EMISSIONS," shows emissions in million tons of CO2e from 2019 to 2023. For 2019, Scope 1 is 13.61, Scope 2 is 0.94, and Scope 3 is 9.34. For 2020, Scope 1 is 12.44, Scope 2 is 0.64, and Scope 3 is 9.47. For 2021, Scope 1 is 14.45, Scope 2 is 0.55, and Scope 3 is 12.01. For 2022, Scope 1 is 12.71, Scope 2 is 0.48, and Scope 3 is 11.31. For 2023, Scope 1 is 12.53, Scope 2 is 0.60, and Scope 3 is 11.26. The second chart, titled "DIRECT AND INDIRECT GREENHOUSE GAS EMISSIONS 2023," presents emissions in million tons of CO2e, categorized by Scope 1 (Direct), Scope 2, and Scope 3 (Indirect). Scope 1 (Direct) emissions are 12.53. Scope 2 emissions from energy purchased (market-based) are 0.60. Scope 3 (Indirect) emissions include: Raw materials purchases at 8.85, Manufacture Energy source at 0.42, Transportation (upstream) at 1.52, Transportation (downstream) at 0.36, Business travel at 0.04, and Waste treatment at 0.07. A note indicates that Scope 2 market-based emissions are 0.60 million tons of CO2e, and Scope 2 site-based emissions are 0.53 million tons of CO2e.

- Scope 2 market-based: 0.60 million tons of CO₂e
Scope 2 site-based: 0.53 million tons of CO₂e

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### 13.4.2 SO2 EMISSIONS

The use of particular raw materials—especially coal and coke—introduces sulfur into the production process. Additional processing steps and the use of by-products such as coke oven gas (COG) and blast furnace gas (BFG) for thermal recycling turn sulfur into sulfur dioxide.

At 0.62 kg per ton of product, specific SO2 emissions in the 2023 calendar year were higher than the previous year's figure of 0.54 kg. The reason for the increase is the slight rise in emissions at the main sites in Linz and Donawitz. Absolute SO2 emissions rose to 5.1 kt.

Image /page/10/Figure/4 description: This bar chart shows CO2 emissions from 2019 to 2023. The y-axis ranges from 0 to 10. In 2019, the CO2 emission was 4.6. In 2020, the CO2 emission was 4.4. In 2021, the CO2 emission was 4.6. In 2022, the CO2 emission was 4.6. In 2023, the CO2 emission was 5.1.

#### SO2 EMISSIONS

kt

#### SPECIFIC SO2 EMISSIONS

kg/t product

Image /page/10/Figure/8 description: The image is a bar graph that shows values for the years 2019, 2020, 2021, 2022, and 2023. The y-axis ranges from 0 to 1.0, with a horizontal line at 0.5. The bar for 2019 has a value of 0.49, the bar for 2020 has a value of 0.46, the bar for 2021 has a value of 0.44, the bar for 2022 has a value of 0.54, and the bar for 2023 has a value of 0.62.

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#### 13.4.3 NOX EMISSIONS

Nitrogen oxides are generated through the operation of industrial furnaces and the thermal recycling of by-product gases.

voestalpine's absolute NOx emissions fell to 5.2 kt (previous year 5.5 kt). As in the previous year, specific NOx emissions per ton of product were 0.64 kg.

Image /page/11/Figure/4 description: This image is a bar chart showing NOx emissions from 2019 to 2023. The y-axis ranges from 0 to 10, with a horizontal line at 5. The x-axis shows the years 2019, 2020, 2021, 2022, and 2023. The NOx emissions for each year are as follows: 2019: 6.1, 2020: 5.0, 2021: 5.9, 2022: 5.5, 2023: 5.2. The bar for 2023 is colored blue, while the other bars are gray.

#### NOX EMISSIONS

kt

#### SPECIFIC NOX EMISSIONS

kg/t product

Image /page/11/Figure/8 description: This bar chart shows the values for the years 2019, 2020, 2021, 2022, and 2023. The value for 2019 is 0.64, the value for 2020 is 0.53, the value for 2021 is 0.55, the value for 2022 is 0.64, and the value for 2023 is 0.64.

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#### 13.4.4 CAPTURED DUST EMISSIONS

Dust-laden exhaust air and exhaust gases that occur during production are captured and channeled to dedusting systems using state-ofthe-art processes and equipment.

Captured dust emissions increased in absolute terms to 0.29 kt in 2023. In specific terms, the value increased slightly to 35 g per ton of product.

#### CAPTURED DUST EMISSIONS

Image /page/12/Figure/5 description: This bar chart shows the values for the years 2019, 2020, 2021, 2022, and 2023. The y axis ranges from 0 to 0.50, with a line at 0.25. The value for 2019 is 0.32, the value for 2020 is 0.32, the value for 2021 is 0.35, the value for 2022 is 0.28, and the value for 2023 is 0.29.

#### SPECIFIC CAPTURED DUST EMISSIONS

g/t of product

kt

Image /page/12/Figure/8 description: The image is a bar graph that shows the values for the years 2019, 2020, 2021, 2022, and 2023. The y-axis ranges from 0 to 50, with a line at 25. The value for 2019 is 34, the value for 2020 is 34, the value for 2021 is 33, the value for 2022 is 33, and the value for 2023 is 35.

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#### 13.4.5 ORGANIC AIR POLLUTANTS

Organic air pollutants (i.e., volatile organic compounds, VOC) are generated primarily during the thermal process stages of crude steel production as well as during the associated combustion processes.

voestalpine commissioned several technically sophisticated pieces of equipment in recent years to cut VOC emissions. This enabled a substantial decline in the emission of organic air pollutants. VOC emissions amounted to 0.09 kt (2022: 0.14 kt) in absolute terms and 11 g (2022: 17 g) per ton of product in specific terms in 2023.

Image /page/13/Figure/4 description: This bar chart shows VOC emissions in kilotonnes (kt) from 2019 to 2023. The y-axis ranges from 0 to 0.50 kt, with a line at 0.25 kt. In 2019, emissions were 0.17 kt. In 2020, emissions were 0.15 kt. In 2021, emissions were 0.16 kt. In 2022, emissions were 0.14 kt. In 2023, emissions were 0.09 kt.

#### SPECIFIC VOC EMISSIONS

g/t of product

Image /page/13/Figure/6 description: This bar chart shows the values for the years 2019, 2020, 2021, 2022, and 2023. The value for 2019 is 18, the value for 2020 is 16, the value for 2021 is 15, the value for 2022 is 17, and the value for 2023 is 11.

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#### 13.4.6 HAZARDOUS AIR POLLUTANTS (HAPs)

The overall parameter of hazardous air pollutants (HAP) covers a range of air pollutants. Benzene emissions account for the largest proportion of hazardous air pollutants at voestalpine. Absolute HAP emissions amounted to 7.98 t and specific emissions to 0.97 g per ton of product in 2023.

Image /page/14/Figure/4 description: The image is a bar chart comparing values from 2019 to 2023. The y axis ranges from 0 to 10. The value for 2019 is 7.86, for 2020 is 7.28, for 2021 is 7.79, for 2022 is 7.14, and for 2023 is 7.98.

#### HAP EMISSIONS

in tons

g/t

#### SPECIFIC HAP EMISSIONS

Image /page/14/Figure/8 description: This is a bar chart comparing values from 2019 to 2023. The y axis ranges from 0 to 1.0 in increments of 0.5. The x axis shows the years 2019, 2020, 2021, 2022, and 2023. The value for 2019 is 1.0, for 2020 is 0.96, for 2021 is 0.86, for 2022 is 0.82, and for 2023 is 0.97.

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### 13.5 WATER MANAGEMENT

Water is used to cool the units and to generate steam used for energy and is therefore an important operating and auxiliary resource in the entire production and manufacturing process. Water resources are used as sparingly as possible at voestalpine by means of circulation systems and multiple use of process water. In keeping with ISO 14046 and the integrated LCA approach, assessments of the water circulation systems are performed across all production steps and sites.

The volume of water used from 2022 to 2023 fell from 741 million m<sup>3</sup> to 739 million m<sup>3</sup> (1 m<sup>3</sup> corresponds to 0.001 megaliters). Most of this (85%) was sourced from surface water for cooling purposes and returned back to the source in the same quality. The voestalpine water sources meet the freshwater standard with <1,000 mg filtrate dry residue per liter.

More than 95% of the cooling and wastewater discharge streams of voestalpine Group companies were subjected to both quantitative and qualitative parameter monitoring. This periodic and continuous monitoring ensures compliance with applicable national and regional standards.

Direct net fresh water consumption amounted to 15.6 million m<sup>3</sup> (previous year: 11.4 million m<sup>3</sup>), which corresponds to 1.89 m<sup>3</sup> per ton of product. The indirect consumption of 66.8 million m<sup>3</sup> (2022: 43.6 million m3) in absolute terms, or 8.11 m<sup>3</sup> per ton of product, was primarily attributable to the upstream steel production chain.

voestalpine's water consumption in production and processing has a minor impact on local water systems and does not aggravate conditions in regions already affected by water scarcity. This is the finding of an externally verified study that determined the water scarcity footprint based on an analysis of all production activities across the entire value chain ("cradle to gate"). Determining the "blue water consumption" (i.e., the net consumption of freshwater) and/or the water scarcity footprint of each and every production facility involves analyzing the ways they contribute to the given region's water scarcity in detail, also taking local hydrogeological conditions into account.

Image /page/15/Figure/7 description: This image shows a donut chart titled "WATER EXTRACTION 2023" with the units "million m3 ,%". The chart shows the percentage of water extracted from different sources. River water accounts for 691.6 million m3, which is 93.6% of the total. Groundwater accounts for 44.1 million m3, which is 6.0% of the total. Municipal water supply accounts for 0.7 million m3, which is 0.1% of the total. Other sources account for 2.1 million m3, which is 0.3% of the total. Seawater and salt water each account for 0.0 million m3, which is 0.0% of the total.

#### WATER FOOTPRINT 2023

Image /page/15/Figure/9 description: This image shows a bar graph comparing direct and indirect water consumption and water scarcity footprint, measured in percentage. For blue water consumption, 19% is direct and 81% is indirect. For water scarcity footprint, 3% is direct and 97% is indirect.

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## 13.6 WASTE & RECYCLING MANAGEMENT

Steel is considered a permanent material thanks to its longevity, ease of repairability, and the possibility of converting it as scrap any number of times into new steel products. As such, steel can already make an important contribution to the circular economy that the European Union aims to achieve by 2050.

Decoupling the economy from the consumption of resources requires both extending the useful life of products and repurposing them in different ways at the end of their service life. voestalpine is responding to this challenge. Hence own and third-party scrap have become a primary raw material for the Group, for one, in connection with conventional technology, where scrap is used especially in the Linz and Donawitz steel plants and, for another, in connection with the envisioned shift to electric furnaces at these two facilities (also see the "Climate Action" chapter).

Furthermore, scrap is already being used to manufacture special steel grades in the electric furnaces of the High Performance Metals Division.

Overall, the recycling rate measured against product output was 27.4% in 2023 (2022: 27.7%). This metric concerns the product's iron content that is derived from secondary raw materials such as scrap iron.

Image /page/16/Figure/6 description: This bar graph shows the percentage of product output from 2019 to 2023. In 2019, the percentage of product output was 28.7%. In 2020, the percentage of product output was 26.5%. In 2021, the percentage of product output was 27.4%. In 2022, the percentage of product output was 27.7%. In 2023, the percentage of product output was 27.4%.

#### RECYCLING RATE

As a percentage of product output

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voestalpine implements numerous measures to promote internal circularity as well as external utilization of residual products and waste from both the production plants and downstream facilities. For one, process management in the integrated steel mills is subject to continual improvement. For another, internally and externally generated products as well as residual products and waste such as scrap and plastic are re(used) in the production plants.

By-products such as steel mill dust or slag are utilized in the zinc industry or in the production of cement.

Agreements with third parties serve to ensure professional and state-of-the-art downstream processing in connection with the transfer of waste to them. Waste streams are monitored and accounted for in accordance with legal requirements and on an electronic basis.

The specific volume of hazardous waste in calendar year 2023 was 20 kg per ton of product (2022: 29 kg/t) and that of non-hazardous waste 169 kg per ton of product (2022: 184 kg/t).

Image /page/17/Figure/5 description: The image is a bar chart comparing hazardous and non-hazardous waste from 2019 to 2023. In 2019, hazardous waste was at 204 and non-hazardous waste was at 1,446. In 2020, hazardous waste was at 263 and non-hazardous waste was at 1,627. In 2021, hazardous waste was at 259 and non-hazardous waste was at 1,460. In 2022, hazardous waste was at 248 and non-hazardous waste was at 1,600. In 2023, hazardous waste was at 163 and non-hazardous waste was at 1,388.

#### WASTE VOLUME

kt

#### SPECIFIC WASTE VOLUME

Image /page/17/Figure/8 description: This image is a bar chart comparing hazardous and non-hazardous waste production in kg/t product from 2019 to 2023. In 2019, hazardous waste was 21 kg/t product and non-hazardous waste was 152 kg/t product. In 2020, hazardous waste was 28 kg/t product and non-hazardous waste was 173 kg/t product. In 2021, hazardous waste was 24 kg/t product and non-hazardous waste was 138 kg/t product. In 2022, hazardous waste was 29 kg/t product and non-hazardous waste was 184 kg/t product. In 2023, hazardous waste was 20 kg/t product and non-hazardous waste was 169 kg/t product.

{18}------------------------------------------------

13. Environment

## 13.7 ENERGY

As already presented in detail in previous reports, the currently still prevailing blast furnace route is based on a mixture of fuels and raw materials both from fossil sources. Most of this energy is converted: For example, voestalpine generates electricity in its captive power plants from process gases and uses it to drive both the production process and the downstream processing steps. This enables the Group to cover a

large part of its electricity requirements from its own generation.

Only 6.1% of total energy consumption is currently procured from the power grid. The remainder is obtained through the conversion of coal (51.3%), the resulting coke (22.5%), and natural gas (17.4%).

Image /page/18/Figure/5 description: This image is a pie chart showing the distribution of energy sources. 51.3% of the energy comes from coal, 22.5% from coke, 17.4% from natural gas, 6.1% from purchased electricity, and 2.7% from other energy sources.

#### PERCENTAGE OF ENERGY SOURCES 2023

Renewable energy sources play a key role in voestalpine's long-term climate protection goal of achieving net zero emissions by no later than 2050. voestalpine already uses renewable energy in the form of green electricity and biogas. These are included in the "Electricity (purchased)" and "Other energy sources" items in the above diagram. The share of these amounted to around 3% of total energy consumption in the reporting period, which also includes the reducing agents coal and coke.

The renewable energy sources used can be broken down as follows:

Image /page/18/Figure/10 description: This image is a pie chart showing the sources of renewable electricity. 72% of the renewable electricity is generated by third parties, 24% is generated in-house, 0% is biomass, 4% is biogas, and 0.0% is geothermal energy.

### PROPORTION OF RENEWABLE ENERGY SOURCES 2023

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mented by renewable electricity generated in- 36.4 TWh in 2023. house as well as biogas and biomass.

The largest share of renewable energy sources The voestalpine Group's total energy procured is generated by third parties, supple- consumption fell slightly from 36.9 TWh to

Image /page/19/Figure/3 description: The image is a bar graph that shows values for the years 2019, 2020, 2021, 2022, and 2023. The y-axis ranges from 0 to 50. The value for 2019 is 42.4, for 2020 is 38.7, for 2021 is 43.9, for 2022 is 36.9, and for 2023 is 36.4.

#### TOTAL ENERGY CONSUMPTION

TWh

per ton of product in the specific analysis. Donawitz (6.2 TWh). The largest consumers in 2023 were also the

Energy consumption increased to 4.4 MWh steel production sites in Linz (24.9 TWh) and

#### SPECIFIC TOTAL ENERGY CONSUMPTION

10 5 0 MWh/t of product 2021 2022 2023 4.1 4.1 4.3 4.4 2020 2019 4.4

1 MWh corresponds to 3.6 GJ.

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### 13.8 EU TAXONOMY

### 13.8.1 GENERAL INFORMATION ON THE TAXONOMY

Since January 1, 2022, listed companies in the EU must classify their economic activities in accordance with the EU Taxonomy Regulation and publish the results thereof in their consolidated non-financial statements or in their consolidated non-financial report (pursuant to the requirements of Section 267a and Section 243b Austrian Commercial Code). All economic activities are to be classified as to their environmental sustainability. When classifying its economic activities, voestalpine at times refers to the FAQs on the application of the EU taxonomy published in the EU Official Journal on October 20, 2023.

Assessment of compliance with the taxonomy regulations is carried out in a multi-stage process in which it is first determined whether an economic activity is taxonomy-eligible (i.e. in principle covered by the Taxonomy Regulation), and subsequently whether it is also taxonomy-compliant. Economic activities of a company that are not covered by the Taxonomy Regulation are not taxonomy-eligible.

The taxonomy-eligible economic activities must make a significant contribution to at least one of the environmental objectives listed below in order for them to be classified as taxonomy-compliant. In addition, they must not significantly impair the achievement of other environmental goals (Do No Significant Harm; DNSH) and minimum social protection criteria must be met (minimum safeguards), e.g., with respect to occupational safety and human rights.

The EU Regulation identifies six environmental objectives:

- a. Climate change mitigation
- b. Climate change adaptation
- c. Sustainable use and protection of water and marine resources
- d. Transition to a circular economy
- e. Pollution prevention and control
- f. Protection and restoration of biodiversity and ecosystems

In implementing the Regulation, voestalpine classified all of its economic activities as related to the "climate change mitigation" objective. This also prevents activities from being counted twice.

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Image /page/21/Figure/1 description: The image describes the multi-stage taxonomy process. The first stage is "taxonomy-eligible", which requires contribution to one or more environmental objectives and allocation to taxonomy-eligible economic activities. If not fulfilled, it leads to "taxonomy non-eligible". If fulfilled, it leads to the next stage, "taxonomy-compliant", which requires fulfilling technical assessment criteria of the environmental objectives. If not fulfilled, it leads to "taxonomy eligible" and "taxonomy non-compliant". If fulfilled, it leads to the next stage, "Do No Significant Harm (DNSH)", which requires not undermining the other environmental objectives. If not fulfilled, it leads to "taxonomy eligible" and "taxonomy non-compliant". If fulfilled, it leads to the next stage, "Minimum safeguards", which requires compliance with fundamental principles and rights related to work (ILO) and human rights. If not fulfilled, it leads to "taxonomy eligible" and "taxonomy non-compliant". If fulfilled, it leads to "taxonomy-compliant".

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#### 13.8.2 IMPLEMENTATION OF TAXONOMY ELIGIBILITY IN THE voestalpine GROUP

The assessment of voestalpine's economic activities with regard to their taxonomy eligibility had already been carried out in the 2021/22 business year. Environmental goals 3 to 6 were also analyzed and evaluated with regard to their taxonomy eligibility as part of this year's reporting.

A project team comprising personnel from the Group's Finance, Investor Relations, Environment, and Corporate Responsibility departments along with experts from each division was set up to this end. External experts were also consulted, including technical experts and scientific experts. In addition, clarifying interpretations and statements from European industry associations, such as the rail industry association UNIFE, were taken into account in the assessment.

The implementation process included reviewing the taxonomy eligibility of all Group entities. This analysis identified economic activities of the voestalpine Group as taxonomy-eligible and allocated them to the following categories under the climate change mitigation objective:

#### >> 3.9. Manufacture of iron and steel

The voestalpine Group engages in steel production based on the blast furnace route in Linz, Austria (Steel Division), and in Donawitz, Austria (Metal Engineering Division). The High Performance Metals Division engages in steel production based on electric arc technology at a total of three plants in Europe (Kapfenberg, Austria; Wetzlar, Germany; and Uddeholms, Sweden) and one in South America (Sumare, Brazil).

#### >> 3.18. Manufacture of automotive and mobility components

 voestalpine acts as a supplier to some wellknown automobile manufacturers. With its Automotive Components business unit, the Metal Forming Division offers the complete range of pressed parts in the exterior body part segment as well as highly innovative structural parts, hot-formed parts, laser-welded blanks and complex assemblies with a focus on lightweight solutions at more than a dozen sites worldwide, e.g., in Linz (Austria), Bunschoten (Netherlands), Shenyang (China), Cartersville (USA), Dettingen and Schwäbisch Gmünd (Germany). The Tubes & Sections business unit manufactures tubes, profiles, and components that are also supplied to the automotive industry.

#### >> 6.2. Freight rail transport

The voestalpine Group operates a rail transportation entity that uses the European railway network in Linz, Austria (Steel Division).

#### >> 6.14. Infrastructure for rail transport

Worldwide, the voestalpine Group produces material components for railway infrastructure (Metal Engineering Division). These components include rails, turnout systems (from components to pre-assembled complete systems including drives, locking systems, and monitoring equipment), diagnostic and monitoring systems, as well as railway infrastructure services (logistics, rail treatments, rail welding, rail grinding, recycling, etc.).

{23}------------------------------------------------

#### 13.8.3 DETERMINATION OF TAXONOMY COMPLIANCE

The underlying technical assessment criteria must be fulfilled in order for an economic activity to be classified as "environmentally sustainable" under the taxonomy regulations. These are quantifiable guidelines (environmental targets) on how an activity should be assessed in terms of its contribution to the respective environmental target. The Taxonomy Regulation specifies this significant contribution to the respective environmental objective and also defines whether these economic activities cause significant harm to any of the relevant environmental objectives. The DNSH criteria (Do No Significant Harm) must therefore also be observed in addition to the significant contribution criterion. This review must provide evidence that a given economic activity does not undermine the other environmental objectives.

voestalpine makes comprehensive contributions to climate change mitigation. As far as the business activities related to the production and downstream processing of steel as well as the transportation of freight by rail are concerned: They are generally deemed to contribute substantially to climate action as long as they fulfill the technical assessment criteria pursuant to Category 3.9 and/or 6.2 or are lower than the predefined CO2 limits on emissions. As far as the business activities of voestalpine Railway Systems are concerned, they are generally deemed to make a substantial contribution to climate change mitigation as long as they fulfill the technical assessment criteria set forth in that category. The services of voestalpine Railway Systems fulfill the requirement that they are suitable for the use of trains with no direct CO<sup>2</sup> exhaust emissions. Services for rail tracks that are only intended for the transportation of fossil fuels are not included.

A comprehensive DNSH conformity assessment was carried out for the relevant economic activities (3.9, 3.18, 6.2, 6.14).

The review of the DNSH criterion regarding the EU environmental objective "climate change adaptation" was conducted using a simulation-based software tool for identifying, quantifying, and disclosing physical climate risks to the relevant operating sites. A detailed climate risk and vulnerability analysis was performed for all relevant sites based upon this. The representative concentration pathways RCP 2.6, RCP 4.5, RCP 6.0 and RCP 8.5 of the future scenarios used by the Intergovernmental Panel on Climate Change (IPCC), the assessment reports on climate change by the IPCC and central Copernicus services of the European Commission are used as the methodological basis. Adaptation solutions were determined as necessary and implemented based on the findings of this climate risk and vulnerability assessment.

In addition, the voestalpine Group also uses its management systems, such as the environmental management systems certified according to ISO 14001 or EMAS, which are widely implemented in the companies worldwide, to fulfill the DNSH criteria. These systems ensure that environmental impacts are identified and reviewed as to their relevance to a given operating site's environment and that any adaptation solutions aimed at impact mitigation are developed as necessary.

In particular, these analyses comprise and/or take into account environmental matters such as water (sustainable use and protection of water and marine resources) and biodiversity (protection and restoration of biodiversity and ecosystems).

In order to prevent and reduce environmental pollution, the voestalpine Group has created processes in its companies that ensure the production, use and marketing of substances in accordance with national laws and European legislation on chemicals.

{24}------------------------------------------------

Substances with properties of very high concern are only used if no other technically and economically suitable alternative substances or technologies are available on the market. If such a replacement is not yet possible, these substances are used under controlled conditions.

The Group-wide review of the DNSH compliance criteria came to the conclusion that these are already met to a very high degree at the sites carrying out the relevant economic activities. Non-compliant sub-areas were excluded from the calculation of the relevant key figures. Appropriate measures have been introduced to increase the degree of fulfillment on a continuous basis. The dynamic development of EU Taxonomy Regulations may lead to adjustments to economic activities and adaptations to the assessment criteria in the future.

#### 13.8.4 MINIMUM SAFEGUARDS

All economic activities that contribute substantially to at least one of the six environmental objectives, do not adversely affect another objective, and fulfill the (social) minimum safeguard requirement are recognized as being environmentally sustainable. In accordance with Article 18 of the EU Taxonomy Regulation, the minimum protection review is also the final review stage for taxonomy compliance. This serves to ensure that a given economic activity also fulfills international human rights standards as well as rules and regulations regarding issues such as bribery, corruption, taxation, and fair competition. The standards specified in Article 18 identify four core topics in regards to which compliance with minimum safeguards is defined.

The following guidelines and standards must be complied with:

- >> OECD Guidelines for Multinational Enterprises
- >> UN Guiding Principles (UNGPs) on Business and Human Rights
- >> ILO Declaration on Fundamental Principles and Rights at Work ("ILO Core Conventions on Labor")
- >> International Charter of Human Rights

The Platform on Sustainable Finance (PSF) takes up the following central issues as they apply to social minimum safeguards:

- >> Human rights (incl. rights of workers)
- >> Avoidance of bribery and corruption
- >> Taxation
- >> Fair competition

voestalpine has already surveyed the aforementioned topics on a Group-wide basis in the past. This is also reported in detail in this CR Report. For more information on human rights, please see the chapter of the same name. Issues pertaining to the rights of workers and employees are taken up in the "Human Resources" chapter, among others.

For information on fair competition and taxation, please see the subsections "Compliance" and "Taxes". No legal violations of the above points were identified in the reporting period.

{25}------------------------------------------------

#### 13.8.5 SIGNIFICANT CHANGES FROM THE PREVIOUS YEAR

#### 13.8.5.1 Publication of the delegated act on environmental objectives 3 to 6

The European Commission published two delegated acts on the EU Taxonomy Regulation (Regulation EU 2020/852) on June 13, 2023. The new technical assessment criteria for the four non-climate-related environmental objectives of the EU taxonomy are central to this (see also 13.8.1 "General information on the Taxonomy Regulation"). In addition, new economic activities that were not previously included in the Taxonomy Regulation were added for the two climate targets "climate change mitigation" and "climate change adaptation".

#### 13.8.5.2 Economic activity 3.18 Manufacture of automotive and mobility components

New economic activities were added to the Climate Law Act at the same time as the technical assessment criteria for environmental targets 3 to 6 were published. voestalpine initiated a screening process to identify relevant economic activities after the new non-climate-related environmental targets came into force. The economic activity 3.18 "Manufacture of automotive and mobility components" was identified as significant. With this economic activity, suppliers to the automotive industry are now included in the taxonomy. Following a Group-wide screening, a process was started with the companies concerned to collect the key taxonomy-eligible figures. As part of this survey, only the taxonomy eligibility is reported in the current business year. Disclosure of taxonomy compliance takes place in the following business year, as provided for in Regulation 2023/3850.

#### 13.8.5.3 CAPEX PLAN

voestalpine has developed an ambitious phased plan for green steel production with greentec steel. As part of the first stage of the phased plan, one green electricity-powered electric arc furnace (EAF) will be built in Linz and one in Donawitz. This will make it possible to produce around 2.5 million tons of CO2-reduced steel each year from 2027 following the rampup. The greentec steel flagship project is also included in the CapEx plan. The individual processes within the scope of future EAF production are to be regarded as independent production units, which will be integrated into the existing plant configurations at the Linz and Donawitz sites. Taxonomy compliance within the context of economic activity 3.9 "Manufacture of iron and steel" can also be determined for electric arc furnaces as an independent production unit with the corresponding technical evaluation criteria under the environmental objective of climate change mitigation. The tracking and coding of sales must be ensured and double counting must be avoided. In the course of the preparation of the CapEx plan, which began in the business year and is expected to run for five years, the total amount of capital was estimated at EUR 1.5 billion. In the current business year, the CapEx plan was classified as taxonomy-compliant at an amount of EUR 64.3 million.

#### 13.8.5.4 CHANGE IN ECONOMIC ACTIVITIES

Due to the clarification of Regulation 2023/3850, which specifies that assembled stationary track material is to be subsumed under economic activity 6.14 "Rail transport infrastructure", the classification of rail production was updated from 3.9 "Manufacture of iron and steel" to 6.14. The rail production could thus be evaluated as taxonomy-eligible and subsequently also as taxonomy-compliant.

{26}------------------------------------------------

### 13.8.6 RESULTS OF THE KPIS

The following summarizes the performance indicators of revenue, investment and operating activities of voestalpine for each environmental target. expenses from taxonomy-eligible economic

ctivities of voestalpine for each environmen-
tal target.

#### Share of revenues/total revenues

In each case as of the March 31 reporting date

|                                        | taxonomy-compliant<br>per target | taxonomy-eligible<br>per target |
|----------------------------------------|----------------------------------|---------------------------------|
| CCM (climate change mitigation)        | 26.6%                            | 71.0%                           |
| CCA (climate change adaptation)        | 0.0%                             | 0.0%                            |
| WTR (water and marine resources)       | 0.0%                             | 0.0%                            |
| CE (circular economy)                  | 0.0%                             | 0.0%                            |
| PPC (pollution prevention and control) | 0.0%                             | 0.0%                            |
| BIO (biodiversity)                     | 0.0%                             | 0.0%                            |

#### CapEx share/total CapEx

In each case as of the March 31 reporting date

|                                        | taxonomy-compliant<br>per target | taxonomy-eligible<br>per target |
|----------------------------------------|----------------------------------|---------------------------------|
| CCM (climate change mitigation)        | 23.3%                            | 77.9%                           |
| CCA (climate change adaptation)        | 0.0%                             | 0.0%                            |
| WTR (water and marine resources)       | 0.0%                             | 0.0%                            |
| CE (circular economy)                  | 0.0%                             | 0.0%                            |
| PPC (pollution prevention and control) | 0.0%                             | 0.0%                            |
| BIO (biodiversity)                     | 0.0%                             | 0.0%                            |

#### OpEx share/total OpEx

In each case as of the March 31 reporting date

|                                        | taxonomy-compliant<br>per target | taxonomy-eligible<br>per target |
|----------------------------------------|----------------------------------|---------------------------------|
| CCM (climate change mitigation)        | 26.3%                            | 79.5%                           |
| CCA (climate change adaptation)        | 0.0%                             | 0.0%                            |
| WTR (water and marine resources)       | 0.0%                             | 0.0%                            |
| CE (circular economy)                  | 0.0%                             | 0.0%                            |
| PPC (pollution prevention and control) | 0.0%                             | 0.0%                            |
| BIO (biodiversity)                     | 0.0%                             | 0.0%                            |

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Image /page/27/Picture/0 description: The image shows a white line drawing of a tree, a factory, a cloud, and some water inside of a circle. The drawing is on a gray background. The tree is on the left side of the circle, and the factory is on the right side. The cloud is above the factory, and the water is below the tree and factory.

Image /page/27/Picture/1 description: The image is a line drawing inside of a circle. The drawing depicts a tree, a factory, a cloud, and some dots in the ground. The tree is on the left side of the factory. The cloud is above the factory. The dots are below the factory.

CORPORATE RESPONSIBILITY REPORT 2023/24 Water, Air, Soil117 & Biodiversity

{28}------------------------------------------------

#### 13.8.6.1 Taxonomy-Eligible/Taxonomy-Compliant Revenue

Pursuant to the EU Taxonomy Regulation, revenue as per IAS 1.82(a) must be used to determine the taxonomy-eligible revenue. The revenue figures equate to the revenue shown in the Consolidated Income Statement of the Annual Report 2023/24 and thus are used as the denominator in the following table to determine taxonomy eligibility. The numerator comprises revenue from contracts with customers for the purposes of IFRS 15 that were generated with economic activities covered by the EU Taxonomy Regulation. The current review for compliance in the 2023/24 business year resulted

#### Substantial Contribution Criteria DNSH criteria

activity

| In millions of euros                                                                                                  |                        |          | Proportion of revenue | Climate Change<br>Mitigation | Climate Change<br>Adaptation | Water | Pollution | Circular Economy | Biodiversity |
|-----------------------------------------------------------------------------------------------------------------------|------------------------|----------|-----------------------|------------------------------|------------------------------|-------|-----------|------------------|--------------|
| Economic activities                                                                                                   | Code                   | Revenue  | 2023/24               |                              |                              |       |           |                  |              |
| A. Taxonomy-eligible activities                                                                                       |                        |          |                       |                              |                              |       |           |                  |              |
| A.1 Environmentally sustainable activities (taxonomy-aligned)                                                         |                        |          |                       |                              |                              |       |           |                  |              |
| Manufacture of iron and steel                                                                                         | CCM 3.9                | 2,688.1  | 16.1%                 | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Freight rail transport                                                                                                | CCM 6.2                | 19.6     | 0.1%                  | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Infrastructure for rail transport                                                                                     | CCM 6.14               | 1,722.0  | 10.4%                 | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Revenue from environmentally sustainable<br>activities (taxonomy-compliant)                                           |                        | 4,429.7  | 26.6%                 | 26.6%                        | 0.0%                         | 0.0%  | 0.0%      | 0.0%             | 0.0%         |
| Of which Enabling                                                                                                     |                        |          |                       | 10.4%                        | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Of which Transitional                                                                                                 |                        |          | 16.1%                 |                              |                              |       |           |                  |              |
| A.2 Taxonomy-eligible but not environmentally sustainable activities<br>(not taxonomy-aligned activities)             |                        |          |                       |                              |                              |       |           |                  |              |
| Manufacture of iron and steel                                                                                         | CCM 3.9/<br>CCA 3.9    | 5,356.7  | 32.1%                 | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Manufacture of automotive and mobility<br>components                                                                  | CCM 3.18               | 1,777.4  | 10.6%                 | EL                           | N/EL                         | N/EL  | N/EL      | N/EL             | N/EL         |
| Freight rail transport                                                                                                | CCM 6.2/<br>CCA 6.2    | 2.2      | 0.0%                  | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Infrastructure for rail transport                                                                                     | CCM 6.14/<br>CCA 6,142 | 273.5    | 1.7%                  | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Revenue from taxonomy-eligible but not<br>environmentally sustainable activities<br>(not taxonomy-aligned activities) |                        | 7,409.8  | 44.4%                 | 44.4%                        | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| A. Revenue of taxonomy-eligible activities (A.1+A.2)                                                                  |                        | 11,839.5 | 71.0%                 | 71.0%                        | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| B. Taxonomy non-eligible activities                                                                                   |                        |          |                       |                              |                              |       |           |                  |              |
| Revenue of taxonomy<br>non-eligible activities                                                                        |                        | 4,844.8  | 29.0%                 |                              |                              |       |           |                  |              |
| Total                                                                                                                 |                        | 16,684.3 | 100.0%                |                              |                              |       |           |                  |              |

{29}------------------------------------------------

in 26.6% taxonomy-compliant revenue, which is mainly attributable to revenue from the "Rail infrastructure" 6.14 segment and the economic activity 3.9 "Manufacture of iron and steel" using electric arc processes. voestalpine's taxonomy-compliant revenue amounted to EUR 4,429.7 million. For the

**B. Taxonomy non-eligible activities**

Revenue of taxonomy

non-eligible activities 4,844.8 29.0% Total 16,684.3 100.0% economic activity 3.18 "Manufacture of automotive and mobility components", taxonomy-eligible revenue of EUR 1,777.4 million was calculated for the first time in the current business year. This leads to the following classification for the voestalpine Group:

| Climate Change<br>Mitigation | Climate Change<br>Adaptation | Water | Pollution | Circular Economy | Biodiversity | Minimum Safeguards | Proportion of<br>taxonomy-aligned (A.1.)<br>or eligible (A.2.)<br>revenue 2022/231 | Category enabling<br>activity | Category transitional<br>activity |
|------------------------------|------------------------------|-------|-----------|------------------|--------------|--------------------|------------------------------------------------------------------------------------|-------------------------------|-----------------------------------|
| J                            | J                            | J     | J         | J                | J            | J                  | 17.8%                                                                              |                               | T                                 |
| J                            | J                            | J     | J         | J                | J            | J                  | 0.1%                                                                               |                               |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 6.5%                                                                               | E                             |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 24.4%                                                                              |                               |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 6.5%                                                                               | E                             |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 17.8%                                                                              |                               | T                                 |
|                              |                              |       |           |                  |              |                    | 34.6%                                                                              |                               |                                   |
|                              |                              |       |           |                  |              |                    | 0.0%                                                                               |                               |                                   |
|                              |                              |       |           |                  |              |                    | 0.2%                                                                               |                               |                                   |
|                              |                              |       |           |                  |              |                    | 34.8%                                                                              |                               |                                   |
|                              |                              |       |           |                  |              |                    | 59.2%                                                                              |                               |                                   |

Image /page/29/Figure/3 description: The image contains the text "TAXONOMY ELIGIBILITY BY ECONOMIC ACTIVITY" in a bold, sans-serif font. The text is centered horizontally.

Image /page/29/Figure/4 description: This image is a donut chart showing the eligibility status of different categories. The largest segment, representing 48.2%, is labeled "3.9. eligible". The next largest segment, representing 29.0%, is labeled "non-eligible". The segment labeled "6.14. eligible" represents 12.1%, while the segment labeled "3.18. eligible" represents 10.6%. The smallest segment, representing 0.1%, is labeled "6.2. eligible".

#### TAXONOMY COMPLIANCE BY ECONOMIC ACTIVITY

Image /page/29/Figure/6 description: The image is a pie chart showing the percentages of different categories. The categories and their corresponding percentages are as follows: 3.9 aligned (16.1%), 6.14 aligned (10.4%), 3.18 not evulated (10.6%), 3.9 non-aligned (32.1%), 6.14 non-aligned (1.7%), 6.2 aligned (0.1%), and non-eligible (29.0%).

**1** Figures from previous years were adjusted retrospectively due to a site-related specification of the economic activity 3.9.

**2** Due to the limited availability of auditors, the verification of the DNSH assessment for Annex B and C in North America could not yet be finalized for

one company as of the reporting date. For this reason, these revenues were not classified as taxonomy-compliant in the current business year.

**3** For the economic activity 3.18, only the taxonomy eligibility had to be reported in the reporting period. Taxonomy compliance will be ascertained in the 2024/25 business year.

{30}------------------------------------------------

#### 13.8.6.2 Taxonomy-Eligible/Compliant Capital Expenditure (CapEx)

Additions to assets—including additions from business combinations to property, plant and equipment; intangible assets; and right-of-use assets under leases—were utilized as the basis for determining the taxonomy-eligible CapEx. Investments via joint ventures, investments in financial instruments as well as additions to goodwill were not considered. Due to the clarification of FAQ 2023/305 point 31, which stipulates that capital expenditure should only be recognized when it is recognized in accordance with the relevant accounting standards, the additions to advance payments made were excluded from the additions to the CapEx KPI. When the underlying property,

#### Substantial Contribution Criteria DNSH criteria

activity

| In millions of euros                                                                                                | Code                   | CapEx   | Proportion of CapEx<br>2023/24 | Climate Change<br>Mitigation | Climate Change<br>Adaptation | Water | Pollution | Circular Economy | Biodiversity |
|---------------------------------------------------------------------------------------------------------------------|------------------------|---------|--------------------------------|------------------------------|------------------------------|-------|-----------|------------------|--------------|
| Economic activities                                                                                                 |                        |         |                                |                              |                              |       |           |                  |              |
| A. Taxonomy-eligible activities                                                                                     |                        |         |                                |                              |                              |       |           |                  |              |
| A.1 Environmentally sustainable activities (taxonomy-aligned)                                                       |                        |         |                                |                              |                              |       |           |                  |              |
| Manufacture of iron and steel                                                                                       | CCM 3.9                | 172.0   | 15.5%                          | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Freight rail transport                                                                                              | CCM 6.2                | 3.7     | 0.3%                           | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Infrastructure for rail transport                                                                                   | CCM 6.14               | 83.1    | 7.5%                           | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| CapEx from environmentally sustainable<br>activities (taxonomy compliant)                                           |                        | 258.8   | 23.3%                          | 23.3%                        | 0.0%                         | 0.0%  | 0.0%      | 0.0%             | 0.0%         |
| Of which Enabling                                                                                                   |                        |         |                                | 7.5%                         | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Of which Transitional                                                                                               |                        |         | 15.5%                          |                              |                              |       |           |                  |              |
| A.2 Taxonomy-eligible but not environmentally sustainable activities<br>(not taxonomy-aligned activities)           |                        |         |                                |                              |                              |       |           |                  |              |
| Manufacture of iron and steel                                                                                       | CCM 3.9/<br>CCA 3.9    | 5,356.7 | 32.1%                          | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Manufacture of automotive and mobility<br>components                                                                | CCM 3.18               | 1,777.4 | 10.6%                          | EL                           | N/EL                         | N/EL  | N/EL      | N/EL             | N/EL         |
| Freight rail transport                                                                                              | CCM 6.2/<br>CCA 6.2    | 2.2     | 0.0%                           | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Infrastructure for rail transport                                                                                   | CCM 6.14/<br>CCA 6,142 | 273.5   | 1.7%                           | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| CapEx from taxonomy eligible but<br>not environmentally sustainable activities<br>(not taxonomy-aligned activities) |                        | 608.4   | 54.6%                          | 54.6%                        | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| A. CapEx of taxonomy-eligible activities (A.1+A.2)                                                                  |                        | 867.2   | 77.9%                          | 77.9%                        | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| B. Taxonomy non-eligible activities                                                                                 |                        |         |                                |                              |                              |       |           |                  |              |
| CapEx of taxonomy<br>non-eligible activities                                                                        |                        | 245.6   | 22.1%                          |                              |                              |       |           |                  |              |
| Total                                                                                                               |                        | 1,112.8 | 100.0%                         |                              |                              |       |           |                  |              |

*The taxonomy-compliant eligible CapEx of EUR 258.8 million is made up of additions to property, plant and equipment and intangible assets of EUR 252.8 million and the change in advance payments of EUR EUR 6.0 million. There are no additions to property, plant and equipment and intangible assets from business combinations. The*  *total CapEx of EUR 1,112.8 million is made up of additions to property, plant and equipment and intangible assets of EUR 1,208.9 million, additions to property, plant and equipment and intangible assets from business combinations of EUR 20.7 million and the change in advance payments of EUR -116.8 million.*

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plant and equipment/intangible assets are capitalized, the advance payments made on the respective asset are reclassified and also allocated to the additions to the CapEx KPI. The change in approach may result in a shift between the business years. The difference between the capital expenditure used here in the denominator and the data published in the "Operating segments" section of the 2023/24 Annual Report relates to goodwill

**B. Taxonomy non-eligible activities**

CapEx of taxonomy

non-eligible activities 245.6 22.1%

additions and the above-mentioned change in advance payments made. The numerator includes capital expenditure generated by economic activities covered by the EU Taxonomy Regulation. In the area of investment expenditure, the taxonomy-compliant share is 23.3% (EUR 258.8 million). This leads to the following classification for the voestalpine Group:

| Climate Change<br>Mitigation | Climate Change<br>Adaptation | Water | Pollution | Circular Economy | Biodiversity | Minimum Safeguards | Proportion of<br>taxonomy-aligned (A.1.)<br>or eligible (A.2.)<br>CapEx 2022/231 | Category enabling<br>activity | Category transitional<br>activity |
|------------------------------|------------------------------|-------|-----------|------------------|--------------|--------------------|----------------------------------------------------------------------------------|-------------------------------|-----------------------------------|
| J                            | J                            | J     | J         | J                | J            | J                  | 16.8%                                                                            |                               | T                                 |
| J                            | J                            | J     | J         | J                | J            | J                  | 0.1%                                                                             |                               |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 7.3%                                                                             | E                             |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 24.2%                                                                            |                               |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 7.3%                                                                             | E                             |                                   |
| J                            | J                            | J     | J         | J                | J            | J                  | 16.8%                                                                            |                               | T                                 |
|                              |                              |       |           |                  |              |                    | 38.8%                                                                            |                               |                                   |
|                              |                              |       |           |                  |              |                    |                                                                                  |                               |                                   |
|                              |                              |       |           |                  |              |                    | 0.0%                                                                             |                               |                                   |
|                              |                              |       |           |                  |              |                    | 0.1%                                                                             |                               |                                   |
|                              |                              |       |           |                  |              |                    | 38.9%                                                                            |                               |                                   |
|                              |                              |       |           |                  |              |                    | 63.1%                                                                            |                               |                                   |

Image /page/31/Figure/4 description: This image is a donut chart showing the eligibility status of different categories. "3.9. eligible" is 61.9%, "non-eligible" is 22.1%, "3.18. eligible" is 7.1%, "6.14. eligible" is 8.6%, and "6.2. eligible" is 0.3%.

#### TAXONOMY ELIGIBILITY BY ECONOMIC ACTIVITY TAXONOMY COMPLIANCE BY ECONOMIC ACTIVITY

Image /page/31/Figure/6 description: This image contains two pie charts. The first pie chart shows the following categories and percentages: 3.9. eligible (61.9%), non-eligible (22.1%), 6.14. eligible (8.6%), 3.18. eligible (7.1%), and 6.2. eligible (0.3%). The second pie chart shows the following categories and percentages: 3.9. aligned (15.5%), 6.14. aligned (7.5%), 3.18. not evulated (7.1%), 3.9. non-aligned (46.4%), non-eligible (22.1%), 6.14. non-aligned (1.1%), and 6.2. aligned (0.3%).

**1** Figures from previous years were adjusted retrospectively due to the clarification of FAQ 2023/305 point 31 and a site-based specification of economic activity 3.9.

**2** Due to the limited availability of auditors, the verification of the DNSH assessment for Annex B and C in North America could not yet be finalized for one company as of the reporting date. For this reason, capital expenditure in the current business year was not classified as taxonomy-compliant.

**3** For the economic activity 3.18, only the taxonomy eligibility had to be reported in the reporting period. Taxonomy compliance will be ascertained in the 2024/25 business year.

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#### 13.8.6.3 Taxonomy-Eligible/Compliant Operating Expenditures (OpEx)

Unlike the revenue and the capital expenditure, the figure for the operating expenditure cannot be taken directly from the Annual Report 2023/24. This is because only a few expense categories are relevant to the determination of the denominator for the operating expenditure. These include building renovation measures, maintenance and repair of property, plant and equipment, research and development expenses, training expenses in the course of tax-compliant business

#### Substantial Contribution Criteria DNSH criteria

activity

| In millions of euros                                                                                               |                        |         | Proportion of OpEx<br>2023/24 | Climate Change<br>Mitigation | Climate Change<br>Adaptation | Water | Pollution | Circular Economy | Biodiversity |
|--------------------------------------------------------------------------------------------------------------------|------------------------|---------|-------------------------------|------------------------------|------------------------------|-------|-----------|------------------|--------------|
| Economic activities                                                                                                | Code                   | OpEx    |                               |                              |                              |       |           |                  |              |
| A. Taxonomy-eligible activities                                                                                    |                        |         |                               |                              |                              |       |           |                  |              |
| A.1 Environmentally sustainable activities (taxonomy-aligned)                                                      |                        |         |                               |                              |                              |       |           |                  |              |
| Manufacture of iron and steel                                                                                      | CCM 3.9                | 202.0   | 19.7%                         | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Freight rail transport                                                                                             | CCM 6.2                | 1.3     | 0.1%                          | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Infrastructure for rail transport                                                                                  | CCM 6.14               | 66.5    | 6.5%                          | J                            | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| OpEx from environmentally sustainable<br>activities (taxonomy-compliant)                                           |                        | 269.8   | 26.3%                         | 26.3%                        | 0.0%                         | 0.0%  | 0.0%      | 0.0%             | 0.0%         |
| Of which Enabling                                                                                                  |                        |         |                               | 6.5%                         | N                            | N/EL  | N/EL      | N/EL             | N/EL         |
| Of which Transitional                                                                                              |                        |         |                               | 15.5%                        |                              |       |           |                  |              |
| A.2 Taxonomy-eligible but not environmentally sustainable activities<br>(not taxonomy-aligned activities)          |                        |         |                               |                              |                              |       |           |                  |              |
| Manufacture of iron and steel                                                                                      | CCM 3.9/<br>CCA 3.9    | 489.2   | 47.6%                         | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Manufacture of automotive and mobility<br>components                                                               | CCM 3.18               | 50.0    | 4.9%                          | EL                           | N/EL                         | N/EL  | N/EL      | N/EL             | N/EL         |
| Freight rail transport                                                                                             | CCM 6.2/<br>CCA 6.2    | 0.1     | 0.0%                          | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| Infrastructure for rail transport                                                                                  | CCM 6.14/<br>CCA 6,142 | 7.6     | 0.7%                          | EL                           | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| OpEx from taxonomy-eligible but<br>not environmentally sustainable activities<br>(not taxonomy-aligned activities) |                        | 546.9   | 53.2%                         | 53.2%                        | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| A. OpEx of taxonomy-eligible activities (A.1+A.2)                                                                  |                        | 816.7   | 79.5%                         | 79.5%                        | EL                           | N/EL  | N/EL      | N/EL             | N/EL         |
| B. Taxonomy non-eligible activities                                                                                |                        |         |                               |                              |                              |       |           |                  |              |
| OpEx of taxonomy<br>non-eligible activities                                                                        |                        | 211.1   | 20.5%                         |                              |                              |       |           |                  |              |
| Total                                                                                                              |                        | 1,027.8 | 100.0%                        |                              |                              |       |           |                  |              |

*The taxonomy-compliant eligible OpEx of EUR 269.8 million is made up of expenses for research and development of EUR 39.8 million, building renovation measures of EUR 13.1 million, current leasing of EUR 3.1 million, maintenance and repair of property, plant and equipment of EUR 202.9 million and staff training of EUR 10.9 million. The total OpEx of EUR 1,027.8 million is made up*  *of expenses for research and development amounting to EUR 213.9 million, building renovation measures amounting to EUR 45.2 million, current leasing amounting to EUR 8.0 million, maintenance and repair of property, plant and equipment amounting to EUR 723.8 million and staff training amounting to EUR 36.9 million.*

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activities for employees and current leasing expenses. The numerator includes operating expenses generated by economic activities covered by the EU Taxonomy Regulation. Operating expenses from taxonomy-compliant economic activities

**B. Taxonomy non-eligible activities**

OpEx of taxonomy

non-eligible activities 211.1 20.5% Total 1,027.8 100.0% amount to EUR 269.8 million. This corresponds to 26.3% of operating expenses according to the Taxonomy Regulation. This leads to the following classification for the voestalpine Group:

|                              | DNSH criteria                |       |           |                  |              |                    |                                                                                 |                               |                                   |  |
|------------------------------|------------------------------|-------|-----------|------------------|--------------|--------------------|---------------------------------------------------------------------------------|-------------------------------|-----------------------------------|--|
| Climate Change<br>Mitigation | Climate Change<br>Adaptation | Water | Pollution | Circular Economy | Biodiversity | Minimum Safeguards | Proportion of<br>taxonomy-aligned (A.1.)<br>or eligible (A.2.)<br>OpEx 2022/231 | Category enabling<br>activity | Category transitional<br>activity |  |
| J                            | J                            | J     | J         | J                | J            | J                  | 22.3%                                                                           |                               | T                                 |  |
| J                            | J                            | J     | J         | J                | J            | J                  | 0.2%                                                                            |                               |                                   |  |
| J                            | J                            | J     | J         | J                | J            | J                  | 4.5%                                                                            | E                             |                                   |  |
| J                            | J                            | J     | J         | J                | J            | J                  | <b>27.0%</b>                                                                    |                               |                                   |  |
| J                            | J                            | J     | J         | J                | J            | J                  | 4.5%                                                                            | E                             |                                   |  |
| J                            | J                            | J     | J         | J                | J            | J                  | 22.3%                                                                           |                               | T                                 |  |
|                              |                              |       |           |                  |              |                    | 46.5%                                                                           |                               |                                   |  |
|                              |                              |       |           |                  |              |                    | 0.0%                                                                            |                               |                                   |  |
|                              |                              |       |           |                  |              |                    | 0.0%                                                                            |                               |                                   |  |
|                              |                              |       |           |                  |              |                    | 46.5%                                                                           |                               |                                   |  |

Image /page/33/Figure/4 description: The image is a donut chart showing the eligibility of different categories. 67.3% are 3.9. eligible, 20.5% are non-eligible, 4.9% are 3.18. eligible, 7.2% are 6.14. eligible, and 0.1% are 6.2. eligible.

#### TAXONOMY ELIGIBILITY BY ECONOMIC ACTIVITY TAXONOMY COMPLIANCE BY ECONOMIC ACTIVITY

Image /page/33/Figure/6 description: This image is a pie chart with the following data: non-eligible 20.5%, 6.2. aligned 0.1%, 6.14. non-aligned 0.7%, 3.9. non-aligned 47.6%, 3.18. not evulated3 4.9%, 6.14. aligned 6.5%, 3.9. aligned 19.7%.

- **1** Figures from previous years were adjusted retrospectively due to a site-related specification of the economic activity 3.9.
- **2** Due to the limited availability of auditors, the verification of the DNSH assessment for Annex B and C in North America could not yet be finalized for one company as of the reporting date. For this reason, these operating expenditures were not classified as taxonomy-compliant in the current business year.
- **3** For the economic activity 3.18, only the taxonomy eligibility had to be reported in the reporting period. Taxonomy compliance will be ascertained in the 2024/25 business year.

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#### FURTHER INFORMATION IN THE CONTEXT OF TAXONOMY REPORTING

*The voestalpine Group has been involved in the international "Science Based Target Initiative" since 2022. Associated activities have led the Group to define internal greenhouse gas (GHG) emissions reduction targets that conform to the Paris Agreement on Climate Change.* 

*voestalpine's greentec steel serves to pursue an ambitious step-by-step plan for the decarbonization of steelmaking in the long term. This will involve a reduction in CO2 emissions by 30% in a first step by 2029. To this end, both the Steel Division and the Metal Engineering Division are replacing the existing blast furnace route in part with hybrid electric arc technology. The latter will make it possible to produce high-quality, CO2-neutral steel products in future. The voestalpine Group is also conducting inten-* *sive research into breakthrough technologies at the same time. One example of this is the H2FUTURE® pilot plant, which is being used to research the industrial production of green hydrogen in order to gradually increase the use of this promising energy source in steel production. Other research projects are dedicated to the storage and reuse of unavoidable residual emissions. For more information thereon, see the "Product Sustainability" chapter.*

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Image /page/35/Picture/0 description: The image shows a 3D rendering of a silver-colored abstract design against a gray background. The design features curved and circular shapes that intertwine and overlap, creating a sense of depth and complexity. The lighting is soft and diffused, highlighting the smooth surfaces and rounded edges of the design. The overall impression is modern and minimalist.

Image /page/35/Picture/1 description: The image shows a circular arrow with a leaf on the right side. The arrow is in the shape of an infinity symbol, and it is pointing in a clockwise direction. The leaf is green, and it is located on the upper right side of the circle. The background is gray.

CORPORATE RESPONSIBILITY REPORT 2023/24 Circularity &125 Resources