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Our Business

How and where we run our steel and mining business.

Our progress

This year saw important progress across our business, where we continued to meet the needs of all our stakeholders.

Action 2020

Action 2020 is ArcelorMittal's commitment to structurally improving profitability and cash flow generation.

Governance

Good corporate governance is about compliance, continuous stakeholder dialogue and being a good corporate citizen.

Fact book

Details of our steel and mining operations, financials, production facilities and shareholder information.

The future lifestyle of over 9 billion people depends on limited resources, therefore the impact of our products on sustainability is critical. In automotive, we’re offering phenomenal weight reduction potential with our unique steel solutions. That directly translates into fuel economy, reducing the amount of CO₂ that is generated.

Greg Ludkovsky Sponsor for this outcome and vice-president, global R&D

Hear more from Greg about driving sustainable innovation at ArcelorMittal

Endlessly recyclable, steel can be used in a wide range of products that consumers rely on every day, from cars to food tins and from washing machines to cutlery.

Our challenge – one we share with the manufacturers and designers who work with our steel – is to ensure that the products we create and develop are making a positive, sustainable contribution to consumers' lifestyles. Our success in this will support us in meeting two of the core aims of our Action 2020 business strategy: to increase the volumes that we sell and to further improve our product mix. In 2016, we made significant strides towards achieving just that.

Innovation with sustainability at its heart

new products launched that accelerate sustainable lifestyles.

We want our innovation to explore steel's possibilities with sustainable development in mind. Our new Sustainable Innovation (SI) programme, developed in 2016, will train our researchers to analyse new products in our pipeline for their contribution to sustainable development using our new SI tool. The goal is to create a pipeline of products with proven sustainability benefits.

It's an approach that will help us both to improve what we do now, and to anticipate, develop, and respond to disruptive technologies as they emerge. And it is one that we believe will bring us closer to our customers, who increasingly seek benefits such as energy efficiency, resource efficiency, materials re-use and recyclability.

Sustainability: the driver of our innovation

Our new Sustainability Innovation tool aims to ensure all new research projects are designed with sustainable development in mind.

Greg Ludkovsky Vice-president, global R&D

Putting our expertise to work for customers

Our membership of SOVAMAT helps us share knowledge with leading thinkers in lifecycle analysis.

The sustainability of a product is of course best measured over its whole lifespan. We've been building our in-house expertise in lifecycle assessment (LCA) since 2005, and that knowledge plays a vital role in our innovation process.

To date we've carried out 67 LCA studies across a wide range of industries, and we put this expertise to work for our customers in a number of ways. Using methodology that is integral to ISO14040-44, our LCA studies help manufacturers understand the sustainability opportunities steel offers their business, which they can then communicate to consumers. LCA can also help them achieve sustainability targets they set themselves, or that are set for them by regulators. And we can share the latest developments in LCA with manufacturers, because our work on LCA brings us together with some of the best thinkers in this field through the Worldsteel LCA expert group and the SOVAMAT initiative (SOcial VAlue of MATerials), an international network of experts on the social and environmental impacts of materials.

Pushing the boundaries in automotive

Making stronger steels is one of the key ways we're helping customers achieve sustainability benefits in the automotive industry, since less steel is needed for the same job, enabling the vehicle to be lighter weight and so use less fuel.

30%

of our R&D budget focused on the automotive industry.

We've pushed the boundaries with three successively stronger generations of Advanced High Strength Steels (AHSS). These steel solutions enable carmakers to build lighter, lower emitting vehicles without compromising performance and safety. Since the 1980s our AHSS solutions have reduced the weight of the basic structure of a vehicle by 25%, while new third-generation steels such as Fortiform® will enable our customers to go even further, saving up to 20% of the weight of components such as bumpers. In 2016 we launched press-hardenable high-strength steels Ductibor® 1000 and Usibor® 2000 and new durable, corrosion-resistant steels MartINsite® M1700 and M2000, which make strong bumpers and door beams.

New S-in motion^® solutions for mid-size sedan and SUVs

In 2016, we launched the latest addition to our S-in motion® range, S-in motion® for mid-size sedan and SUV solutions. These solutions help carmakers achieve a 20% to 22% weight reduction in the body structure of the vehicle compared to typical 2015 model SUVs and sedans, thanks to new processes as well as advanced steels. The impact of these innovative solutions could be significant. For example, if all the SUVs and mid-size sedans sold in North America in one year were to adopt our S-in-motion® solutions, they could save some 2.6 million tonnes CO₂ⁱ over their lifetime on the road. These latest S-in motion® solutions won the annual ‘Best Innovation – Product’ award from American Metal Market, a leading publication for the metals industry, in June 2016.

ⁱ Calculation based on 475,000 mid -sedans sold each year in North America, each benefiting from an 84kg weight saving over a lifetime mileage of 200,000 km, leading to a potential total lifetime fleet savings of 746,247 tonnes CO₂eq. For SUV, with estimated sales in North America of one million, leading to a total lifetime fleet savings of 1,899,162 tonnes CO₂eq.

Innovative steels for US

at our AM/NS Calvert plant in the US

Light-weighting in Europe

in step with customer demand

Creating sustainable, recyclable packaging

An endlessly recyclable material has obvious value for packaging – and steel's resilience and strength are widely sought after, including by foodmakers looking to preserve their produce without the need for refrigeration.

We've worked with the packaging industry for many years, and see it as an area in which we can continue to innovate – by light-weighting, for example, which reduces the resources used to make and transport packaging and deliver the packaged goods themselves.

Performance at a glance

Metric	Unit	2016	2015
Products launched that contribute to outcome 2	Number	37	17
Research programmes in development that contribute to outcome 2	Number	19	16
New LCA studies completed	Number	6	1

2: Products that accelerate more sustainable lifestyles