mt-20201231


Item	Form 20-F Caption	Reference in current report	Page

P resentation of financial and certain other information		Glossary - definitions, terminology and principal subsidiaries	156
Cautionary statement regarding forward-looking statements		Cautionary statement regarding forward-looking statements	12
Part I







Item 4.	Information on the Company
A.	History and development of the Company	History and development of the Company, Key transactions and events in 2020	5
B.	Business overview	Business strategy, Competitive strengths, Sustainable development, Products, Sales and marketing, Insurance, Intellectual property, Government regulations and Market information	17, 6, 21, 36, 40, 41, 41 and 41
C.	Organizational structure	Organizational structure	49
D.	Property, plant and equipment	Property, plant and equipment, Capital expenditures, Reserves (iron ore and coal)	51, 73 and 75

Item 5.	O perating and financial review and prospects
A.	Operating results	Economic conditions, Operating results	79 and 100
B.	Liquidity and capital resources	Liquidity and capital resources and Contractual obligations	111, 116
C.	Research and development, patents and licenses	Competitive strengths, Research and development	6, 18
D.	Trend information	Outlook	117
E.	Off-balance sheet arrangements	Contractual obligations	116
F.	Tabular disclosure of contractual obligations	Contractual obligations	116
G.	Safe harbor	Forward-looking statements	12
Item 6.	D irectors , S enior management and employees
A.	Directors and senior management	Directors and senior management	118
B.	Compensation	Compensation	125
C.	Board practices/corporate governance	Corporate governance	141
D.	Employees	Employees	150
E.	Share ownership	Management share ownership	154












































Item 18.	Financial statements	Consolidated financial statements	160

Table of contents


			Page

Management report

Introduction
Company overview			5
History and development of the Company			5
Cautionary Statement regarding forward-looking statements			12
Key transactions and events in 2020			13


Business overview
Business strategy			17
Research and development			18
Sustainable development			21
Products			36
Sales and marketing			40
Insurance			41
Intellectual property			41
Government regulations			41
Organizational structure			49

Properties and capital expenditures
Property, plant and equipment			51
Capital expenditures			73
Reserves (iron ore and coal)			75

Operating and financial review
Economic conditions			79
Operating results			100
Liquidity and capital resources			111

Contractual obligations			116
Outlook			117

Management and employees
Directors and senior management			118
Compensation			125
Corporate governance			141
Employees			150




Management share ownership			154



			Page














Glossary - definitions, terminology and principal subsidiaries			156

Exhibits			158
Signatures			159

Report of Independent Registered Public Accounting Firm			161

Consolidated financial statements			160
Consolidated statements of operations			164
Consolidated statements of other comprehensive income			165
Consolidated statements of financial position			166
Consolidated statements of changes in equity			167
Consolidated statements of cash flows			168
Notes to the consolidated financial statements			170

ArcelorMittal is one of the world’s leading integrated steel and mining companies. ArcelorMittal is the largest steel producer in the Americas and Europe, second largest in Africa and the sixth largest steel producer in the CIS region and has a smaller but growing presence in Asia.

The Company's key metrics above include the U.S. operations prior to its sale (see "—Key transactions and events in 2020"):


U.S. operations (in million tonnes)	Crude steel	Iron ore	Coal
Production	9.93	5.83	1.39
Shipments	9.14	5.53	1.47

ArcelorMittal has steel-making operations in 17 countries on four continents, including 38 integrated and mini-mill steel-making facilities following the sale of ArcelorMittal USA. As of December 31, 2020, ArcelorMittal had approximately 168,000 employees.

ArcelorMittal produces a broad range of high-quality finished and semi-finished steel products ("semis"). Specifically, ArcelorMittal produces flat products, including sheet and plate, and long products, including bars, rods and structural shapes. It also produces pipes and tubes for various applications. ArcelorMittal sells its products primarily in local markets and to a diverse range of customers in approximately 160 countries, including the automotive, appliance, engineering, construction and machinery industries. ArcelorMittal’s mining operations produce various types of mining products including iron ore lump, fines, concentrate and sinter feed, as well as coking, PCI and thermal coal for consumption at its steel-making facilities

some of which are also for sale commercially outside of the Group.

As a global steel producer, the Company is able to meet the needs of different markets. Steel consumption and product requirements clearly differ between developed markets and developing markets. Steel consumption in developed economies is weighted towards flat products and a higher value-added mix, while developing markets utilize a higher proportion of long products and commodity grades. To meet these diverse needs, the Company maintains a high degree of product diversification and seeks opportunities to increase the proportion of higher value-added products in its product mix.

History and development of the Company

ArcelorMittal results from the merger in 2007 of its predecessor companies Mittal Steel Company N.V. and Arcelor, each of which had grown through acquisitions over many years. Since its creation ArcelorMittal has experienced periods of external growth as well consolidation and deleveraging (including through divestment).

ArcelorMittal's success is built on its core values of sustainability, quality and leadership and the entrepreneurial boldness that has empowered its emergence as the first truly global steel and mining company. Acknowledging that a combination of structural issues and macroeconomic conditions will continue to challenge returns in its sector, the Company has adapted its footprint to the new demand realities, redoubled its efforts to control costs and repositioned its operations with a view toward outperforming its competitors. ArcelorMittal’s research and development capability is strong and includes several major research centers as well as strong academic partnerships with universities and other scientific bodies.

Against this backdrop, ArcelorMittal's strategy is to leverage four distinctive attributes that will enable it to capture leading positions in the most attractive areas of the steel industry’s value chain, from mining at one end to distribution and first-stage processing at the other: global scale and scope; superior technical capabilities; a diverse portfolio of steel and related businesses, one of which is mining; and financial capabilities. The Company’s strategy is further detailed under “Business overview—Business strategy”.

ArcelorMittal’s steel-making operations have a high degree of geographic diversification. Approximately 38% of its crude steel was produced in the Americas, approximately 47% was produced in Europe and approximately 15% was produced in other countries, such as Kazakhstan, South Africa and Ukraine

in 2020. In addition, ArcelorMittal’s sales of steel products are spread over both developed and developing markets, which have different consumption characteristics. ArcelorMittal’s mining operations, present in South America, Africa, Europe and the CIS region, are integrated with its global steel-making facilities and are important producers of iron ore and coal in their own right.

Competitive strengths

As shown by the following graph, ArcelorMittal has a diversified portfolio of steel and mining products to meet a wide range of customer needs across many steel-consuming sectors, including automotive, appliance, engineering, construction, energy and machinery and via distributors.

* Other steel sales mainly represent metal processing, machinery, electrical equipment and domestic appliances

**Other sales mainly represent mining, chemicals & water, slag, waste, sale of energy and shipping

The Company believes that the following factors contribute to ArcelorMittal’s success in the global steel and mining industry:

Market leader in steel. ArcelorMittal had annual achievable production capacity of approximately 108 million tonnes of crude steel (92 million tonnes of crude steel after the sale of ArcelorMittal USA as described in Key transactions and events in 2020) for the year ended December 31, 2020. Steel shipments for the year ended December 31, 2020 totaled 69.1 million tonnes. ArcelorMittal has significant operations in many countries which are described in "Properties and capital expenditures". In addition, many of ArcelorMittal’s operating units have access to developing markets that are expected to experience, over time, above-average growth in steel consumption (such as Central and Eastern Europe, South America, India, Africa, CIS and Southeast Asia).

The Company sells its products in local markets and through a centralized marketing organization to customers in approximately 160 countries. ArcelorMittal’s diversified product offering, together with its distribution network and research and development (“R&D”) programs, enable it to build strong relationships with customers, which include many of the world’s major automobile and appliance manufacturers. The Company is a strategic partner to several of the major original equipment manufacturers (“OEMs”) and has the capability to build long-term contractual relationships with them based on early vendor involvement, contributions to global OEM platforms and common value-creation programs.

The Company has iron ore mining activities in Brazil, Bosnia, Canada, Kazakhstan, Liberia, Mexico, Ukraine, the United States (until the divestment of ArcelorMittal USA see "—Key transactions and events in 2020") and through its joint venture in India. It has coal mining activities in Kazakhstan and the United States (until the divestment of ArcelorMittal Princeton see "—Key transactions and events in 2020"). ArcelorMittal’s main mining products include iron ore lump, fines, concentrate, pellets, sinter feed, metallurgical coals including hard, weak and PCI suitable coals. In addition, ArcelorMittal produces substantial amounts of direct reduced iron, or DRI, which is a scrap substitute used in its mini-mill facilities to supplement external metallic purchases. As of December 31, 2020, ArcelorMittal’s iron ore reserves (including 100% of reserves at mines where ArcelorMittal owns less than 100%, and reserves for which use is restricted) were estimated at 4,089 million tonnes run of mine and its total coking coal reserves were estimated at 101 million tonnes run of mine or 58 million wet recoverable tonnes. See “Property and capital expenditures—Reserves (iron ore and coal)” for a detailed list of the entities with reserves and ownership structure. The Company’s long-life iron ore and coal reserves provide a measure of security of supply and an important natural hedge against raw material volatility and global supply constraints. Those mines that sell primarily to external customers are managed as a separate segment while the mines which primarily supply the Company's steel operations are managed by the respective segments they supply.

ArcelorMittal’s facilities have good access to shipping facilities, including through ArcelorMittal’s own, or partially owned, 15 deep-water port facilities and linked railway sidings.

Market-leading automotive steel business. ArcelorMittal has a leading market share with approximately 17% of the worldwide market share in the automotive steel business as of December

31, 2020, and is a leader in the fast-growing advanced high strength steels ("AHSS") segment, specifically for flat products. Following the sale of ArcelorMittal USA at the end of 2020, the Company's automotive market share is expected to decrease in the U.S.. ArcelorMittal is the first steel company in the world to embed its own engineers within an automotive customer to provide engineering support. The Company begins working with OEMs as early as five years before a vehicle reaches the showroom, to provide generic steel solutions, co-engineering and help with the industrialization of the project. These relationships are founded on the Company’s continuing investment in R&D and its ability to provide well-engineered solutions that help make vehicles lighter, safer and more fuel-efficient.

In 2010, ArcelorMittal initiated a development effort of dedicated S-in motion® engineering projects. Its S-in motion® line (B,C&D car segments, SUV, pick-up trucks, light commercial vehicles, truck cabs, hybrid vehicles, battery electric vehicles ("BEVs")) is a unique offering for the automotive market that respond to OEMs’ requirements for safety, fuel economy and reduced CO2 emissions. By utilizing AHSS in the S-in motion® projects, OEMs can achieve significant weight reduction using the Company's emerging grades solutions such as Fortiform®, the Company's third generation AHSS for cold forming, or Usibor® 2000 and Ductibor® 1000, the Company's latest AHSS grades for hot stamping.

In November 2016, ArcelorMittal introduced a new generation of AHSS, including new press hardenable steels and martensitic steels. Together, these new steel grades aim to help automakers further reduce body-in-white weight to improve fuel economy without compromising vehicle safety or performance. In November 2017, ArcelorMittal launched the second generation of its iCARe® electrical steels which play a central role in the

construction of electric motors which are used in BEVs, hybrid vehicles ("HV"), plug in hybrid vehicles ("PHEV") and mild hybrid vehicles ("MHV"). This new iCARe® generation features optimized mechanical, magnetic and thermal properties of the steel as compared to the first generation of iCARe® electrical steels. Further, S-in motion® projects for electrical cars in the C segment as well as for the plug-in hybrid C-segment were completed in 2019. There are multiple specificities for BEVs: shorter front module, necessity to protect batteries against crash, lowering of the center of gravity, huge additional weight due to batteries, etc. These specificities require rethinking crash management. S-in Motion® BEV for SUV is a catalog of steel solutions adapted to this new type of vehicles. Advanced and especially ultra-high strength steels, innovative press hardened steels, laser welded blanks are especially highlighted as key solutions for an optimal performance (safety/weight) and battery safety. The growth of various types of electric vehicles will impact design and manufacturing. For instance, new large mass batteries change the mass distribution of a vehicle and impact the design and manufacturing of the chassis and wheels. Battery protection provides another example: both the battery box and body structure have to protect the battery in the event of a crash. AHSS products are among the most affordable solutions on the market for these specific applications. In a context where the supply of electric vehicles, and especially BEVs are expected to grow quickly, new projects have been launched to address these new trends.

In the automotive industry, ArcelorMittal mainly supplies the geographic markets where its production facilities are located in Europe, North and South America, South Africa and China through Valin ArcelorMittal Automotive Steel Co., Ltd (“VAMA”), its joint venture with Hunan Valin. VAMA’s product mix is oriented toward higher value products and mainly toward the OEMs to which the Company sells tailored solutions based on its products. With sales and service offices worldwide, production facilities in North and South America, South Africa, Europe and China, ArcelorMittal believes it is uniquely positioned to supply global automotive customers with the same products worldwide. The Company has multiple joint ventures and has also developed a global downstream network of partners through its distribution solutions activities. This provides the Company with a proximity advantage in virtually all regions where its global customers are present.

In 2020, ArcelorMittal was OEM qualified for galvanized Fortiform® 980 material, and sourced for the first time ever on all new vehicle platforms launching throughout 2021. Fortiform® 980 is an advanced grade of steel designed specifically for the auto industry, it offers leading-edge formability and strength with superior weldability. It is produced at the Company's joint venture facility in Calvert, Alabama, USA.

For further details on the new products under development, see "Business overview—Research and development”.

Diversified and efficient producer. As a global steel manufacturer with a leading position in many markets, ArcelorMittal benefits from scale and production cost efficiencies in various markets and a measure of protection against the cyclicality of the steel industry and raw materials prices.

•Diversified production process. In 2020, approximately 57.1 million tonnes of crude steel were produced through the basic oxygen furnace process (9.55 million tonnes of which were produced by ArcelorMittal USA), approximately 14.2 million tonnes through the electric arc furnace process (0.38 million tonnes of which were produced by ArcelorMittal USA) and approximately 0.2 million tonnes of crude steel through the open hearth furnace process. This provides ArcelorMittal with greater flexibility in its raw material and energy use, and increased ability to meet varying customer requirements in the markets it serves.

•Product and geographic diversification. By operating a portfolio of assets diversified across product segments and geographic areas, ArcelorMittal benefits from a number of natural hedges. As a global steel producer with a broad range of high-quality finished and semi-finished steel products, ArcelorMittal is able to meet the needs of diverse markets. Steel consumption and product requirements vary between mature economy markets and developing economy markets. Steel consumption in mature economies is largely from flat products and a higher value-added mix, while developing markets utilize a higher proportion of long products and commodity grades. As developing economies mature and as market needs evolve, local customers will require increasingly advanced steel products. To meet these diverse needs, ArcelorMittal maintains a high degree of product diversification and seeks opportunities to increase the proportion of its product mix consisting of higher value-added products.

•Upstream integration. ArcelorMittal believes that its own raw material production provides it with a competitive advantage over time. Additionally, ArcelorMittal benefits from the ability to optimize its steel-making facilities’ efficient use of raw materials, its global procurement strategy and the implementation of company-wide knowledge management practices with respect to raw materials. Certain of the Company’s operating units also have access to infrastructure, such as deep-water port facilities, railway sidings and engineering workshops that lower transportation and logistics costs.

•Downstream integration. ArcelorMittal’s downstream integration, primarily through its Europe segment for distribution solutions, enables it to provide customized steel solutions to its customers more effectively. The Company’s downstream assets have cut-to-length, slitting and other processing facilities, which provide value additions and help it to maximize operational efficiencies.

Dynamic responses to market challenges and opportunities. ArcelorMittal’s management team has a strong track record and extensive experience in the steel and mining industries. In line with its deleveraging focus at the time, it announced in August 2019 that it had identified opportunities to unlock up to $2 billion in value from its asset portfolio over the next two years. In 2019, the Company made progress toward this goal with the sale of a 50% stake in Global Chartering Limited, its wholly owned shipping business which decreased ArcelorMittal's debt by $0.5 billion, and therefore net debt. In 2020, the Company completed its goal of unlocking $2 billion in value from its asset portfolio with the sale of ArcelorMittal USA to Cleveland-Cliffs (see transaction details in " —Key transactions and events in 2020").

In 2020, the Company successfully reduced fixed costs, including through temporary measures, in line with lower production resulting from the impacts of the COVID-19 pandemic. This reduction was achieved through significant savings in labor cost (including temporary salary reductions, utilizing the available economic unemployment schemes to match workforce to operating rates, temporary layoffs, reduction/elimination of contractors, reduced overtime, etc.), reduction in repairs and maintenance expenses (given lower operating rates) and savings in selling, general and administrative expenses. The comprehensive measures taken to “variabilize” fixed costs were critical to protecting profitability and cash flows. As economic activity recovered during the year, the Company responded by restarting or increasing production, leading to the reversal of some of these temporary savings. At the same time, the Company remained focused on structural cost improvements to appropriately position its fixed cost base for the post-COVID-19 operating environment. These savings are expected to limit the increase in fixed costs as activity and production levels recover, thus leading to lower fixed costs per tonne. In total, $1.0 billion of structural cost improvements are identified within this fixed cost reduction program which is expected to be fully realized in 2022 relative to the 2019 scale of operation and capacity utilization (adjusted for entities sold or deconsolidated). Fixed costs related to the functional area of production and logistics are expected to provide approximately 40% of the retained savings through continuous improvement programs, improvements in productivity and maintenance efficiency and the rationalization of support functions. Fixed

costs related to repairs and maintenance will contribute approximately 35% of the savings through insourcing and reduction of subcontracting and reallocation of internal resources. Savings in selling, general and administrative expenses will contribute the remaining 25% of savings, including a 20% reduction in corporate office headcount. These improvements will augment those achieved under the Action 2020 program, which was superseded at the onset of the COVID-19 pandemic. These savings also include those realized from rationalization of the Company's operating footprint, including the permanent closure of the blast furnace and steel plant at Krakow (Poland), the permanent closure of the Florange coke oven battery and the closure of the Saldana facility in South Africa (see "Properties and capital expenditures—Property, plant and equipment—Europe" for further details).

Proven expertise in acquisitions and turnarounds. ArcelorMittal’s management team has proven expertise in successfully acquiring and subsequently integrating operations, as well as turning around underperforming assets within tight timeframes. The Company takes a disciplined approach to investing and uses teams with diverse areas of expertise from different business units across the Company to evaluate new assets, conduct due diligence and monitor integration and post-acquisition performance. The Company has grown through a series of acquisitions and by improving the operating performance and financial management at acquired facilities. In particular, ArcelorMittal seeks to improve acquired businesses by eliminating operational bottlenecks, addressing any historical under-investments and increasing the capability of acquired facilities to produce higher quality steel. The Company introduces focused capital expenditure programs, implements company-wide best practices, balances working capital, ensures adequate management resources and introduces safety and environmental improvements at acquired facilities. ArcelorMittal believes that these operating and financial measures have improved the operating performance and the quality of steel produced at such facilities.

In recent years, the Company has focused on improving its costs through its Action 2020 program and non-core asset disposals as well as through some strategic M&A activity. In 2018, the Company completed the acquisition of AMSF in Brazil and the acquisition of ArcelorMittal Italia in Italy and in 2019 the Company completed the acquisition of AMNS India through a joint venture with NSC. In 2020, the Company sold ArcelorMittal USA and entered into an agreement to create a joint venture with the Italian government for ArcelorMittal Italia. See "Introduction—Key transactions and events in 2020" for further information.

Other information

ArcelorMittal is a public limited liability company (société anonyme) that was incorporated for an unlimited period under

the laws of the Grand Duchy of Luxembourg on June 8, 2001. ArcelorMittal is registered at the R.C.S. Luxembourg under number B 82.454.

The mailing address and telephone number of ArcelorMittal’s registered office are:


ArcelorMittal
24-26, Boulevard d’Avranches
L-1160 Luxembourg
Grand Duchy of Luxembourg
Telephone: +352 4792-1

ArcelorMittal’s agent for U.S. federal securities law purposes is:


ArcelorMittal Sales & Administration LLC
1 South Dearborn Street, 13th Floor
Chicago, Illinois, 60603
Telephone: +1 312 899 3866

Internet site

ArcelorMittal maintains an Internet site at www.arcelormittal.com. Information contained on or otherwise accessible through this Internet site is not a part of this annual report. All references in this annual report to this Internet site are inactive textual references to this URL and are for information only.

The SEC maintains an internet site that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC at www.sec.gov.

ArcelorMittal produces a range of publications to inform its shareholders. These documents are available in various formats: they can be viewed online, downloaded or obtained, on request, in paper format. Please refer to www.arcelormittal.com, where they can be located within the Investors menu, under Financial Reports, or within the Corporate Library.

Any request for documents may be sent to: company.secretary@arcelormittal.com or at ArcelorMittal’s registered office.

Sustainable development

ArcelorMittal’s sustainable development information is detailed in the Integrated Annual Review that will be published during the

second quarter of 2021 and will be available within the Corporate Library on www.arcelormittal.com.

ArcelorMittal as parent company of the ArcelorMittal group

ArcelorMittal, incorporated under the laws of Luxembourg, is the parent company of the ArcelorMittal group and is expected to continue this role during the coming years. The Company has no branch offices.

Listings

ArcelorMittal’s shares (also referred to as "ordinary shares" or "common shares" throughout this report) are traded on several exchanges: New York (MT), Amsterdam (MT), Paris (MT), Luxembourg (MT) and on the Spanish stock exchanges of Barcelona, Bilbao, Madrid and Valencia (MTS). Its primary stock exchange regulator is the Luxembourg CSSF (Commission de Surveillance du Secteur Financier). ArcelorMittal’s CSSF issuer number is E-0001.

ArcelorMittal’s 5.50% Mandatorily Convertible Subordinated Notes Due 2023 issued in May 2020 are listed on the New York Stock Exchange.

Indexes

ArcelorMittal is a member of more than 145 indices including: STOXX Europe 600, S&P Europe 350, CAC40, MSCI Pan-Euro, Bloomberg World Index, IBEX 35, Euronext Paris CAC Basic Materials Index, DAXglobal Steel EUR Price and Euronext Amsterdam AEX Basic Materials Index . Recognized for its commitments to sustainable development, ArcelorMittal is also included in the FTSE4Good Index, Euronext Vigeo Europe 120 and the STOXX® Global ESG Leaders Index. Further, ArcelorMittal has been participating in CDP since 2005 (currently a ‘A-’ grade) and the United National Global Compact since 2003.

Share price performance

During 2020, the price of ArcelorMittal shares increased by 32% in dollar terms compared to 2019 year on year; the chart below shows a comparison between the performance of ArcelorMittal’s shares and the Eurostoxx600 Basic Resource (SXPP).

On June 13, 2020, at the annual general meeting of shareholders, as proposed by the Board of Directors, in response to the COVID-19 pandemic, the dividend payment was suspended until the operating environment normalizes.

Following the achievement of the Group’s net debt target, and in line with its previous statements, the Board of Directors will propose a new capital return policy at the next annual general meeting of shareholders. Going forward, the Company expects to pay a base annual dividend (to be progressively increased over time). In addition, 50% of the amount of free cash flow (calculated as net cash provided by operating activities less purchases of property, plant and equipment and intangibles ("capital expenditures") less dividends paid to non-controlling shareholders) remaining after paying the base annual dividend will be allocated to a share buyback program to be completed over the subsequent 12 month period. Should the ratio of net debt to operating income (loss) less depreciation, impairment and special items be greater than 1.5x then the share buyback will not be made. According to this policy, the Board will recommend a $0.30 per share base dividend be paid in June 2021. It has also approved a $570 million share buyback program to be completed within 2021. This buyback is in addition to the $650 million share buyback announced on February 15, 2021 to return the proceeds of the partial sell-down of the Company’s equity stake in Cleveland-Cliffs announced on February 9, 2021.

Investor relations

ArcelorMittal has a dedicated investor relations team at the disposal of analysts and investors. By implementing high standards of financial information disclosure and providing clear, regular, transparent and even-handed information to all its shareholders, ArcelorMittal aims to be the first choice for investors in the sector.

To meet this objective and provide information to fit the needs of all parties, ArcelorMittal implements an active and broad investor communications policy: conference calls, road shows with the financial community, regular participation at investor conferences, plant visits and meetings with individual investors.

ArcelorMittal’s senior management plans to meet investors and shareholder associations in road shows throughout 2021.

Depending on their geographical location, investors may use the following e-mails or contact numbers to reach the investor relations team:


investor.relations@arcelormittal.com			'+44 203 214 2893
privateinvestors@arcelormittal.com			'+44 203 214 2893
creditfixedincome@arcelormittal.com			+33 1 7192 1026

Sustainable responsible investors

The Investor Relations team is also a source of information for the growing sustainable responsible investment community. The team organizes special events on ArcelorMittal’s corporate responsibility strategy and answers all requests for information sent to the Group crteam@arcelormittal.com or may be contacted at +44 207 543 1132.

Financial calendar

The schedule is available on ArcelorMittal’s website www.arcelormittal.com under Investors>Financial calendar.


Financial results*:
Results for the 1st quarter 2021			May 6, 2021
Results for the 2nd quarter 2021 and 6 months 2021			July 29, 2021
Results for the 3rd quarter 2021.			November 11, 2021
Meeting of shareholders:
Annual general meeting of shareholders			May 4, 2021

* Earnings results are issued before the opening of the stock exchanges on which ArcelorMittal is listed.

Contact the investor relations team on the information detailed above or please visit www.arcelormittal.com/corp/investors/contact.

Cautionary Statement Regarding Forward-Looking Statements

This annual report and the documents incorporated by reference in this annual report contain forward-looking statements based on estimates and assumptions. This annual report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among other things, statements concerning the business, future financial condition, results of operations and prospects of ArcelorMittal, including its subsidiaries. These statements usually contain the words “believes”, “plans”, “expects”, “anticipates”, “intends”, “estimates” or other similar expressions. For each of these statements, you should be aware that forward-looking statements involve known and unknown risks and uncertainties. Although it is believed that the expectations reflected in these forward-looking statements are reasonable, there is no assurance that the actual results or developments anticipated will be realized or, even if realized, that they will have the expected effects on the business, financial condition, results of operations or prospects of ArcelorMittal.

These forward-looking statements speak only as of the date on which the statements were made, and no obligation has been undertaken to publicly update or revise any forward-looking statements made in this annual report or elsewhere as a result of new information, future events or otherwise, except as required by applicable laws and regulations. A detailed discussion of principal risks and uncertainties which may cause actual results and events to differ materially from such forward-looking statements is included in the section titled “Risk factors”.

The Company undertakes no obligation to update or revise publicly any forward-looking statements whether because of new information, future events, or otherwise, except as required by securities and other applicable laws.

All information that is not historical in nature and disclosed under “Operating and financial review ” is deemed to be a forward-looking statement.

Market information

This annual report includes industry data and projections about the Company’s markets obtained from industry surveys, market research, publicly available information and industry publications. Statements on ArcelorMittal’s competitive position contained in this annual report are based primarily on public sources including, but not limited to, published information from the Company's competitors. Industry publications generally state that the information they contain has been obtained from sources believed to be reliable but that the accuracy and completeness of such information is not guaranteed and that the projections they contain are based on a number of significant assumptions. The Company has not independently verified this data or determined the reasonableness of such assumptions. In addition, in many cases the Company has made statements in this annual report regarding its industry and its position in the industry based on internal surveys, industry forecasts and market research, as well as the Company’s experience. While these statements are believed to be reliable, they have not been independently verified.

Financial information

This annual report contains the audited consolidated financial statements of ArcelorMittal and its consolidated subsidiaries, including the consolidated statements of financial position as of December 31, 2020 and 2019, and the consolidated statements of operations, other comprehensive income, changes in equity and cash flows for each of the years ended December 31, 2020, 2019 and 2018. ArcelorMittal’s consolidated financial statements were prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

The financial information and certain other information presented in a number of tables in this annual report have been rounded to the nearest whole number or the nearest decimal. Therefore, the sum of the numbers in a column may not conform exactly to the total figure given for that column. In addition, certain percentages presented in the tables in this annual report reflect calculations based upon the underlying information prior to rounding and, accordingly, may not conform exactly to the percentages that would be derived if the relevant calculations were based on the rounded numbers. This annual report

includes net debt, operating working capital and free cash flow, which are non-GAAP financial measures. ArcelorMittal believes net debt, operating working capital and free cash flow to be relevant to enhance the understanding of its financial position and provides additional information to investors and management with respect to the Company’s operating cash flows, capital structure and credit assessment. In addition, it refers to “special” items in its capital return policy which will be used to determine if the base dividend will be paid. “Special” items relate to events or charges that the Company does not consider to be part of the normal income generating potential of the business. Items may qualify as “special” although they may have occurred in prior years or are likely to recur in following years. Non-GAAP financial measures should be read in conjunction with and not as an alternative for, ArcelorMittal’s financial information prepared in accordance with IFRS. Such non-GAAP measures may not be comparable to similarly titled measures applied by other companies.

Key transactions and events in 2020

ArcelorMittal Italia

On March 4, 2020, ArcelorMittal executed an amendment (the “Amendment Agreement”) to the original lease agreement with the Ilva Commissioners with a conditional obligation to purchase certain business units of Ilva in an extraordinary administration insolvency procedure (the “Ilva Agreement”). The Amendment Agreement outlined the terms for a significant equity investment by Italian state-sponsored entities, thereby forming the basis for an important new partnership between ArcelorMittal and the Italian government, with the investment agreement to be executed by November 30, 2020. The Amendment Agreement provided that the equity investment would be for a percentage of the equity of ArcelorMittal Italia in an amount at least equal to ArcelorMittal Italia’s remaining liabilities against the original purchase price under the amended Ilva Agreement. The Amendment Agreement also provided for a 50% reduction in the quarterly rental payments payable by ArcelorMittal under the Ilva Agreement, with the balance being due upon closing of the purchase obligation of the former Ilva business.

The Amendment Agreement had also provided that in the event that the investment agreement were not executed by November 30, 2020, ArcelorMittal had a right to withdraw, subject to the payment of €500 million (€350 million was payable by December 31, 2020 as a condition for the withdrawal to become effective and the remainder payable upon restitution of the business units, potentially subject to certain settlement, or offsetting mechanisms).

On March 4, 2020, simultaneously with the execution of the Amendment Agreement, ArcelorMittal and the Ilva Commissioners also entered into a separate settlement agreement whereby ArcelorMittal agreed to revoke its notice to

withdraw from the original Ilva Agreement and the Ilva Commissioners agreed to withdraw their request to enjoin such withdrawal, which was scheduled to be heard in the Civil Court of Milan on March 6, 2020.

On December 10, 2020, ArcelorMittal signed a binding agreement (the “Investment Agreement”) with Invitalia, the party designated by the Italian government to be the government-sponsored investor as contemplated in the March amendment, in order to create a partnership between Invitalia and the Company to support the completion of the purchase obligation. Among other things, the Investment Agreement provides for Invitalia to invest up to €1.105 billion in ArcelorMittal Italia in two tranches:

•The first investment of €400 million, which was contractually expected to be completed by the end of February following EU antitrust authorization on January 28, 2021, is currently expected to be made in the first quarter of 2021; in return, Invitalia will receive shares in ArcelorMittal Italia with 50% of the voting rights that, along with governance rights, will provide it with joint control over ArcelorMittal Italia;

•The second tranche (consisting of up to €680 million in equity and a shareholder loan of up to €25 million) is payable on closing of the purchase obligation under the Ilva Agreement, which itself is subject to the satisfaction of various conditions precedent by May 2022. This second investment is expected to bring Invitalia’s shareholding in ArcelorMittal Italia to 60%. ArcelorMittal may need to invest up to €70 million to retain a 40% shareholding and equivalent voting rights. The conditions precedent to closing under the Ilva Agreement include: the amendment of the existing environmental plan for the Taranto plant to account for changes in the new industrial plan (as described below); the lifting of all criminal seizures on the Taranto plant; the absence of restrictive measures – in the context of criminal proceedings where Ilva is a defendant – being imposed against ArcelorMittal Italia; and a new agreement with trade unions. If these conditions precedent are not fulfilled by May 2022, the joint venture will not be required to purchase the business units and instead will be required to return them to Ilva, which in turn will be required to pay an end-of-lease adjustment determined on the basis of the equity capital injected by its shareholders and its net financial position. In turn, if the conditions precedent are not fulfilled, Invitalia will also not be required to make the second tranche of its investment and the joint venture would be liquidated.

The updated industrial plan agreed between ArcelorMittal and Invitalia as part of the Investment Agreement involves investment in lower-carbon steelmaking technologies, including the construction of a 2.5 million tonne electric arc furnace, which is expected to open in mid-2024, and the relining of blast furnace #5, which is expected to begin production in 2024. This industrial plan, which targets reaching 8 million tonnes of production in 2025 (crude steel production is limited to 6 million tonnes until the environmental plan is completed), will become effective upon the closing of the first investment. It integrates a series of public support measures including ongoing government funded employment support and includes, for the period between 2021 and 2025, environmental capital expenditures of €345 million and industrial capital expenditures of €1,051 million as well as capital expenditures of €226 million for the revamp of blast furnace #5 and €260 million for the construction of the electric arc furnace. Going forward, the joint venture will be responsible for funding the future capital expenditure payments and lease rentals (to May 2022).

ArcelorMittal Italia’s governance will be based on the principle of joint control starting from Invitalia’s first investment; accordingly upon closing of the first investment, ArcelorMittal Italia will no longer be included in ArcelorMittal’s scope of consolidation and the carrying amount of its assets and liabilities were classified as held for sale as of December 31, 2020. See note 2.3.2 to the consolidated financial statements.

ArcelorMittal USA disposal

On December 9, 2020, pursuant to the terms of the transaction agreement, dated as of September 28, 2020, the Company sold substantially all of its U.S. operations (notably other than its interest in the Calvert joint venture, as noted below) to Cleveland-Cliffs Inc. (“Cleveland-Cliffs”), including all of the outstanding equity interests of ArcelorMittal USA, ArcelorMittal Monessen and ArcelorMittal Princeton, their subsidiaries, certain other subsidiaries and the joint operations of Hibbing Taconite Mines, Double G Coatings and I/N Tek and the joint venture I/N Kote (ArcelorMittal retained certain intellectual property assets and office space), for an aggregate total consideration of $2.2 billion (the "ArcelorMittal USA Transaction"). The total consideration included $509 million in cash (subject to a working capital adjustment), 78 million common shares of Cleveland-Cliffs (representing a 16% stake and valued at approximately $1,020 million, as of December 9, 2020, see also "—Recent developments") and 583,273 non-voting preferred shares (valued at approximately $761 million, as of December 9, 2020), redeemable at Cleveland-Cliffs’ option at any time from 180 days from the issue date at a redemption price per share (payable in cash or, subject to certain conditions, in Cleveland-Cliffs’ common shares) equal to an initial multiple (subject to anti-dilution provisions) of 100 times the volume-weighted average price of the Cleveland-Cliffs’ common shares for the 20

consecutive trading days ending on the trading day immediately preceding the date fixed for redemption, plus accumulated and unpaid dividends to, but not including, the redemption date (subject to mandatory redemption upon a change of control of Cleveland-Cliffs). In addition, from and after the 24-month anniversary of the issue date, a holder of the preferred stock will be entitled to receive additional cash dividends accruing and compounding on a daily basis at the initial rate of 10% per year on the sum of (i) the redemption price as of the 24-month anniversary and (ii) the amount of accumulated and unpaid dividends on the preferred stock, if any, which rate will increase by 2% per annum at the end of each six-month period following the 24-month anniversary. ArcelorMittal's voting power with respect to Cleveland-Cliffs’ common shares and ability to transfer such shares are subject to certain limitations (summarized below). In addition, Cleveland-Cliffs assumed certain liabilities of ArcelorMittal USA, including pensions and other post-employment benefit liabilities net of plan assets which had a carrying value as of the disposal date of $3.2 billion. The assets of the disposal group were re-measured prior to classification as held for sale at September 30, 2020 and as a result the Company reversed $660 million of prior asset impairments. For further information, see note 2.3.1 to the consolidated financial statements and, for further details about the assets impacted, "Properties and capital expenditures—Property, plant and equipment—NAFTA" .

In addition, NSC, the co-shareholder of I/N Tek and I/N Kote simultaneously exited from such entities, which were therefore transferred in full to Cleveland-Cliffs. ArcelorMittal continues to hold its investment in Calvert, a joint venture with Nippon Steel Corporation in Calvert, Alabama. See note 2.4 to the consolidated financial statements and "Properties and capital expenditures—Property, plant and equipment—Investments in joint ventures" for further information.

In connection with the ArcelorMittal USA Transaction, ArcelorMittal and Cleveland-Cliffs entered into certain other agreements, including a license agreement, mutual transition services agreement for a twelve-month period, and a slab supply agreement with Calvert as customer for an initial term of five years, subject to an automatic renewal for three years (unless either party provides notice of intent to terminate at least twelve-months prior to the end of the initial term). ArcelorMittal agreed to purchase 1.5 million tons of slabs each year for the initial five year term and 0.6 million tons of slabs each year under the renewal. The commitment for both these terms can be canceled or reduced with a six month notice for each of these terms.

ArcelorMittal is subject to certain restrictions on transfer of its Cleveland-Cliffs’ common shares to persons whose beneficial ownership of Cleveland-Cliffs’ common shares following any such transfer would exceed 5% or, in the case of a passive

holder, 10%, of the then-outstanding common shares of Cleveland-Cliffs. ArcelorMittal is also subject, for a five-year period, to certain standstill restrictions, including not to acquire beneficial ownership of 20% or more of the then-outstanding common shares of Cleveland-Cliffs or act to control or influence the board of directors or management of Cleveland-Cliffs, and certain voting restrictions on its common shares that limit its voting discretion and in particular align it with Board recommendations and/or other shareholder votes. ArcelorMittal has customary “demand” SEC registration rights for 50% of its Cleveland-Cliffs' common shares starting March 9, 2021 and for all of such shares starting June 9, 2021, as well as "piggy back" registration rights (i.e., to sell shares in an SEC-registered offering of shares by Cleveland-Cliffs, as occurred in February 2021).

Other events in 2020

•During 2020, ArcelorMittal completed several debt transactions see "Operating and financial review—Liquidity and capital resources" and note 6.1.2 to the consolidated financial statements.

•On May 14, 2020 and May 18, 2020, respectively, the Company completed an offering of common shares, without nominal value, and mandatorily convertible subordinated notes ("MCNs"). The aggregate gross proceeds from the offerings were $2.0 billion (before deduction of commissions). The share offering was for an aggregate amount of $750 million, representing 80.9 million common shares at an offering price of $9.27 (€8.57 at a EUR/USD conversion rate of 1.0816) per share. The MCNs offering was for an aggregate principal amount of $1.25 billion, issued at 100% of the principal amount and have a maturity of 3 years. The MCNs are mandatorily converted into common shares of the Company upon maturity (unless earlier converted at the option of the holders or ArcelorMittal or upon certain specified events). The MCNs will pay a coupon of 5.50% per annum, payable quarterly in arrears. The minimum conversion price of the MCNs is equal to $9.27, corresponding to the offering price of the shares, and the maximum conversion price is 117.5% of the minimum conversion price (corresponding to $10.89), subject to certain defined adjustments. See note 11.2 to the consolidated financial statements for further information. A Mittal family trust participated in the offerings by purchasing $100 million of MCNs and $100 million of shares.

•On October 30, 2020, the Company completed a share buyback program in connection with the announced sale of 100% of the shares of ArcelorMittal USA. ArcelorMittal repurchased 35,636,253 shares at an average price per share of €11.92 (equivalent to $14.03) for a total value of €425 million ($500 million).

•On December 15, 2020, ArcelorMittal signed separate, privately negotiated exchange agreements with a limited number of holders of the MCNs to exchange $247 million in aggregate principal amount of MCNs for an aggregate of 22,653,933 shares at the minimum conversion ratio plus $25 million (including accrued interest on the exchanged MCNs up to, but excluding, the settlement date). See note 11.2 to the consolidated financial statements.

•On December 22, 2020, ArcelorMittal announced the extension of the conversion date for the $1 billion privately placed mandatory convertible bond ("MCB") issued on December 28, 2009 until January 31, 2024. The other main features of the MCB remain unchanged. See note 11.2 to the consolidated financial statements.

Recent developments

On February 9, 2021, ArcelorMittal announced an agreement to sell 40 million Cleveland-Cliffs' common shares for total gross proceeds of $652 million (net proceeds of $16.12 per share) as part of a combined primary and secondary public offering of Cleveland-Cliffs' shares. Following the sale, ArcelorMittal continues to hold 38 million common shares in addition to the preferred shares described above. The proceeds from the sale of Cleveland-Cliffs' common shares will be used for a new share buyback program of ArcelorMittal common shares. The accumulated gain of $123 million recognized in other comprehensive income was transferred to retained earnings in February 2021.

On February 11, 2021, the Board of Directors of ArcelorMittal announced, effective immediately, that Aditya Mittal, currently President, CFO and CEO ArcelorMittal Europe, will become Chief Executive Officer of the Company. Mr. Mittal, who founded the Company in 1976 and is currently Chairman and CEO will become Executive Chairman. In this position, he will continue to lead the Board of Directors and work together with the CEO and management team. The CEO Office will be renamed Executive Office, consisting of the Executive Chairman and the CEO. As a result of these developments, Genuino Christino, who joined the Company in 2003 and has held the position of Head of Finance since 2016, will become Chief Financial Officer.

On February 15, 2021, ArcelorMittal announced a share buyback program under the authorization given by the annual general meeting of shareholders held on June 13, 2020. ArcelorMittal intends to repurchase shares for an aggregate maximum amount of $650 million under the program. On completion of the program, ArcelorMittal will commence a further share buyback program for an aggregate amount of $570 million, in-line with the Company’s new capital returns policy announced on February 11, 2021. Both share buyback programs will be completed by December 31, 2021. To maintain its current level of voting rights, on February 12, 2021, the

Business overview

Business strategy

ArcelorMittal’s success is built on its core values of sustainability, quality and leadership and the entrepreneurial boldness that has empowered its emergence as the first truly global steel and mining company. Acknowledging that a combination of structural issues and macroeconomic conditions will continue to challenge returns in its sector, the Company has adapted its footprint to the new demand realities, intensified its efforts to control costs and repositioned its operations to outperform its competitors.

•Global scale and scope

•Unmatched technical capabilities

•Diverse portfolio of steel and related businesses, particularly mining

•Financial capability.

Three themes

Steel. ArcelorMittal looks to expand its leadership role in attractive markets and segments by leveraging the Company’s technical capabilities and its global scale and scope. These are critical differentiators for sophisticated customers that value the distinctive technical and service capabilities the Company offers. Such customers are typically found in the automotive, energy, infrastructure and a number of smaller markets where ArcelorMittal is a market leader. In addition, the Company is present in, and will further develop, attractive steel businesses that benefit from favorable market structures or geographies. In developing attractive steel businesses, ArcelorMittal’s goal is to be the supplier of choice by anticipating customers’ requirements and exceeding their expectations. It will invest to develop and grow these businesses and enhance its ability to serve its customers. Given the current environment, that investment will be highly disciplined, balancing financial and sustaining considerations with targeted strategic opportunities. Commodity steel markets will inevitably remain an important part of ArcelorMittal’s steel portfolio. Here, a lean cost structure should limit the downside in weak markets while allowing the Company to capture the upside in strong markets.

Mining. ArcelorMittal is working to continue to create value from its world-class mining business. Mining forms part of the steel value chain but typically enjoys a number of structural advantages, such as a steeper cost curve. The Company's strategy is to create value from its most significant assets, through selective expansion/de-bottlenecking, by controlling cost and capital expenditure, and by supplying products that are highly valued by steel producers. ArcelorMittal's financial capability allowed it to continue to invest in key mining assets (notably ArcelorMittal Mines and Infrastructure Canada), while the diversity of its steel and mining portfolio facilitates the ability of the mining business to optimize the value of its products in the steelmaking process. The Company's mining business aspires to be the supplier of choice for a balanced mix of both internal and external customers, while at the same time providing a natural hedge against market volatility for its steel operations.

All operations. ArcelorMittal strives to achieve best-in-class competitiveness. Operational excellence, including health and safety, the number one priority, is at the core of the Company's strategy in both steel and mining. The Company steadily optimizes its asset base to ensure it is achieving high operating rates at its best assets. Its technical capabilities and the diversity of its portfolio of businesses underpin a strong commitment to institutional learning and continuous improvement through measures such as benchmarking and best-practice sharing. Innovation in products and processes also plays an important role while supporting overall competitiveness.

Five key strategic enablers

Critical to implementing this strategy are five key enablers:

A clear license to operate. Many of ArcelorMittal's businesses are located in regions that are in the early stages of economic development. Practically all are resource-intensive. The Company recognizes that it has an obligation to act responsibly towards all stakeholders. ArcelorMittal's commitment to sustainability is outlined below. See "Business overview—Sustainable development". Sustainability is a core value that underlies ArcelorMittal's efforts to be both the world’s safest steel and mining company and a responsible environmental steward.

A strong balance sheet. The Company has made good progress in recent years in strengthening its balance sheet. The progress achieved to date means that the Company is now in a position to have more balance and flexibility in its capital allocation and the Company can, on a selective basis, pursue organic or acquisitive growth opportunities.

A decentralized organizational structure. ArcelorMittal's scale and scope are defining characteristics that give it a competitive advantage. They also introduce complexity and the risks of inefficiency, bureaucracy and diffuse accountability. To manage these risks, the Company favors a structure in which the responsibility for profit and loss is focused on business units aligned with markets.

Active portfolio management. Throughout the Company's history, it has sought to grow and strengthen the business through acquisitions. That remains the case. The acquisition of existing assets and businesses is typically seen as a more attractive growth path than greenfield investment. The Company is, however, also willing to dispose of businesses that cannot meet its performance standards or that have more value to others.

The best talent. ArcelorMittal's success will depend on the quality of its people, and its ability to engage, motivate and reward them. As detailed below, the Company is committed to investing in its people and ensuring a strong leadership pipeline. See "Management and Employees—Employees—Employee development". It will continue to improve its processes to attract, develop and retain the best talent.

Research and development

The Company’s Global Research and Development ("R&D") division provides the technical foundation for the sustainability and commercial success of the Company by stimulating innovative thinking and the continuous improvement of products and processes.

ArcelorMittal believes it possesses leading R&D capabilities among steel producers and is committed to maintaining and extending this advantage by anticipating and responding to major technological, sustainability and social trends, while also making a significant contribution towards achieving the Company’s 10 Sustainable Development Outcomes (see “—Sustainable development” below).

To support this commitment, the Company operates 12 research sites around the world, and in 2020, ArcelorMittal’s R&D expense was $245 million (compared to $301 million and $290 million in 2019 and 2018, respectively).

Among its R&D initiatives, ArcelorMittal has developed a 15 year expertise in Lifecycle Analysis ("LCA"), which analyzes the environmental impact of products during their production, use and disposal. In 2020, the Company undertook a total of 28 LCA studies related to steel products and the processes used to produce them, all guided by the relevant standard (ISO 14040-44).

The Company’s expertise in LCA is an important asset in all of its global markets. For example, LCA is a requirement of Environmental Product Declarations ("EPD") for construction products in Europe, and contributes to increasing the Company’s competitiveness in the construction sector. The Company’s EPDs are reviewed by third parties and validated by the "Institut Bauen und Umwelt", the Institute of Construction and Environment, and are made available via ArcelorMittal Europe’s Constructalia website. The Company is also leading the development of a methodological framework for EPDs in Brazil, where it published its first EPD in 2019.

ArcelorMittal is a member of the CIRAIG International Lifecycle Chair, an international reference center for the lifecycle of products, processes and services, and the world largest research center on the topic. ArcelorMittal is active in particular in their circular economy working group and is also a member of the Roundtable for Product Social Metrics.

ArcelorMittal’s R&D strategy focuses on six main pillars:

Maintaining the competitiveness of the Company’s steel among its unique automotive customer base.

R&D continually drives innovation that enables the Company’s strategic focus on higher-added-value products. A key focus is products designed to meet the complex and changing needs of the automotive industry.

ArcelorMittal developed its S-in motion® range of solutions, which showcased the benefits of Advanced High Strength Steel ("AHSS") grades and manufacturing processes that continue to help automotive customers meet demanding targets for fuel economy, and thereby drive improvements in CO2 emissions.

In 2020, ArcelorMittal celebrated the 10th anniversary of S-in Motion®. This concept has proven to adapt to the evolving needs of the automotive market, with its most recent developments in 2019 including a catalog of solutions for the booming electrified vehicles market. The Company's S-in Motion® projects for Hybrid vehicles, BEVs and battery packs are being rolled out. A specific S-in motion® project dedicated to chassis of electric vehicles has also been developed. It demonstrates that the best steel solutions might be as light as aluminum while reducing CO2 equivalent emissions up to 58%.

The results of the ArcelorMittal S-in motion® BEV study on a Sports Utility Vehicle demonstrated why steel is expected to remain the dominant auto body metal for the growing electrified vehicle market. Steel will allow original equipment manufacturers to achieve the goals of creating more light weight vehicles with increased driving ranges in a more cost-effective manner. More than ever, steel is the material of choice for automotive customers as it combines the ability to meet

stringent expectations for passenger safety with the best price on the market.

With total life cycle emissions of BEVs expected to decrease compared to internal combustion engine vehicles, BEVs’ embedded carbon from metal production and its end-of-life impacts will become increasingly relevant. A comprehensive LCA study encompassing the vehicle’s production and end-of-life phases has been made on the Company's S-in motion® BEV. It concluded that while light-weighting still improves BEVs’ lifecycle performance, gains in powertrain efficiency will have much greater benefits. The most sensitive aspects of BEVs’ lifecycle are the environmental footprint of battery production and that of the electricity grid. Current battery production impacts are greater than those of steel body production. For BEVs to reach legislated CO2 targets, the electricity grid needs to be decarbonized much more quickly. Between 2000 and 2015, the grid decarbonized at a rate of 2%. For large cars to meet CO2 targets, progress will need to triple by 2035.

Creating a robust and diverse portfolio of niche non-automotive steel products to serve customers across multiple sectors.

Customers in many sectors share the automotive industry’s demand for innovative products and processes. The Company aims to deliver similar breakthrough advances in these sectors by creating differentiated products and unique engineering solutions, all designed to ensure that steel is the customer's material of choice.

ArcelorMittal is fully involved in the development of solutions dedicated to the Global Energy Transition. The Company's patented anti-corrosion steel coating Magnelis® which is used extensively in framing solutions for the photovoltaic module is an emblematic solution for renewable energy. Additionally, the Company is also working on the development of solutions for Hydrogen and liquified natural gas ("LNG"), for wind applications, electricity grids, carbon capture and bioenergy.

Packaging is, in the Company’s view, another important opportunity. ArcelorMittal continues to respond to the need to meet evolving health and safety regulations, to achieve lightweight, cost-saving design, and to develop new functionalities. A major opportunity is also presented by the increasing pressure to reduce packaging made of plastics, as society becomes less and less accepting of packaging that is not in line with sustainable development objectives. With its ability to be recycled and to eliminate hazardous elements, steel is well-positioned to extend its applications in packaging and replace an increasing volume of plastic packaging.

In 2020, R&D launched 29 new products and solutions to accelerate sustainable lifestyles, while also progressing further on 16 such product development programs.

The R&D division also launched 27 products and solutions this year to support sustainable construction, infrastructure and energy generation, while also progressing further on 17 such product development programs.

Fully capitalizing on the capacity of Steligence® - a holistic platform for environmentally-friendly, cost-effective construction - to create higher-added-value products and solutions for the construction market is being deployed in a variety of markets.

Construction is one of the key sectors for ArcelorMittal. The Company’s R&D effort is focused on providing higher-added-value products that meet customer needs, including their sustainable development objectives.

Steligence® highlights the innovations the Company’s steel has to offer in the design and performance of a building, and to support its customers in their use of its products. Steligence® adds value through its holistic approach of helping specialists in the architectural and engineering disciplines to meet the increasing demand for sustainability, flexibility, creativity and cost in high-performance building design by harnessing the credentials of steel through its potential for recyclability and the reduction of materials used.

A key concept within Steligence® is to make buildings easier to assemble and dismantle. As a result, buildings become quicker to construct, leading to significant efficiencies and cost savings while also creating the potential for re-use. This reflects ArcelorMittal’s wider interest in modularization and the potential re-use of steel components - a field it is discussing with customers and in its LCA assessments. The approach is demonstrated in the Company’s planned new Luxembourg headquarters, which has been designed so that nearly all the steel components can be dismantled and re-used in a new building without the need for recycling.

The use of ArcelorMittal’s innovative Grade 80 steels is an integral element of the Company’s industry-leading, independently peer-reviewed Steligence® concept. It is being used for the first time in the USA in the 51 story Canal office building in Chicago. The superior 80ksi strength of this steel used in the columns of the upper section of the building enabled the design team to reduce the overall amount of structural steel used by almost 20%, and its slimmer profile allowed the developer-owner to offer more open space on upper floors to tenants.

Developing breakthrough process innovations to deliver cost reduction, sustainability benefits to meet current and

emerging environmental challenges, and new product development.

The creation of unique processes creates value for the Company and its stakeholders by: enhancing the performance of operations through cost efficiency and improved product quality; promoting process-driven product development; and enabling environmental improvements, including carbon reductions and improvements in air, land and water. Process improvements contribute decisively to the future of the Company, both helping to preserve its license to operate and ensuring its financial sustainability through important management gains.

By-products and circular economy. Work in this area includes the re-use of slag as a valuable product for many applications, which reduces waste while avoiding the ecosystem disruption that can result from the extraction of other materials such as natural stone or sand. For example, the Company is making innovative re-use of slag in the following applications: ballast in offshore wind turbine foundations to replace natural ballast; a construction material for building protection walls to reduce noise and dust; a fertilizer source for agriculture; and the potential re-use of slag from furnaces in water filtration and greenhouse gas capture. Other circular economy initiatives include: working on the use of mining tailings as a secondary raw material, either by finding marketable solutions or generating valuable products to be used in-house; and improving the quality of the scrap the Company uses, as well as exploring automated sorting processes for treating scrap.

Improvement in air, land, water. Work in this area includes research in technology for cleaning fumes from stacks, reducing dust diffusive emissions, cleaning water discharges, and solving water scarcity issues. In 2020, the Company developed new slag applications for road construction and made progress in Circular Carbon Economy in the use of waste as an alternative solid fuel to reduce CO2 emissions.

Progress against air pollution. In 2020, ArcelorMittal's global R&D division has performed intensive work to identify the sources of all kinds of dust emissions and define the best methods to quantify them in order to assess the actual impact of ArcelorMittal's plants on the surroundings. In parallel, the Company has continued to research technologies to control de-dusting in yards and open areas and continued with the industrialization of advanced filtration technologies to reduce emissions at stacks.

Reduction of carbon emissions and energy use. ArcelorMittal’s global R&D division also continues to research processes to support carbon neutrality and energy efficiency. In 2020, significant progress was made in ArcelorMittal's key projects aimed at reaching CO2 neutrality in 2050. For the Hamburg Hydrogen project, the main operating parameters of the H2

MIDREX direct reduction process were defined in order to mitigate the risk of spontaneous ignition of the C-free DRI pellets. The pilot for cold electrolysis of iron, the "SIDERWIN" project, has been fully designed and is under construction. Its commissioning is scheduled in 2021. For the conventional integrated steel production route, significant progress was made in the development of the VeLoSint (very low sintering) sintering technology to replace up to 50% of fossil C fuel with hot bio-fumes while maintaining the metallurgical properties. The IGAR blast furnace technology lay-out including gas separation technology was fully defined based on R&D simulation and active benchmarking to identify some promising technologies. Concerning the steelmaking, the feasibility of implementing a pre-melter to reduce hot metal ratio at BOF both in Eisenhüttenstadt and Bremen was completed and the analysis of OEMs proposals are ongoing.

Confirmation of success of our product driven process research. The volumes of Magnelis® delivered have continued to increase even during the pandemic. While it is in high demand, it is hard to manufacture. In addition, despite the disruptions caused by the COVID-19 pandemic, the Company has continued to develop its breakthrough casting technology in 2020.

Mining process improvements. Global R&D has developed the capabilities to upgrade and digitalize its systems using satellites, drones, wireless sensors and robots to feed a geographic information system for detailed monitoring of tailings dams, which forms part of the Company’s mining circular economy initiative. In the future, this will be extended to both plants and wildlife, thus helping the Company respond to increasing expectations from stakeholders looking for reassurance that biodiversity hotspots are not negatively impacted by the Company’s mining operations.

For more details on environmental impact, delivering energy saving programs and lowering emissions of solids, water and gases, see “Sustainable development—Management Theme #2: Climate change and Management Theme #4: Environment”.

Fully capitalizing on opportunities from the digital economy.

ArcelorMittal envisages itself as a fully digital enterprise where everything is connected. ArcelorMittal invested early and significantly in automation systems, and for decades the Company has been a pioneer in the introduction and use of artificial neural networks. ArcelorMittal is currently fully committed to a total digital transformation, including significant advances in a number of fields and relies on the secure and reliable performance of its digital technology platforms, information technology systems, continuously updating its security measures to avoid data breaches or data theft (see also “Introduction—Risk factors”). The Company is focusing its efforts on:

•Global platforms (Big Data, Internet of Things ("IoT"), Collaborative Digital Product Development);

•Manufacturing digitalization (Production, Quality and Maintenance); and

•Business digitalization (Procurement, Commercial, Supply Chain, Strategy, Finance).

The Company's global standard platform for Big Data storage and analytics (ARTHUR) and IoT (DASHIELL) avoids the use of a mosaic of technologies and facilitates the global sharing and rapid implementation of Artificial Intelligence ("AI") models with proven results among all units. This approach makes the Company’s size a key advantage.

In its digital strategy, the Company makes use of solutions that are directly acquired in the market, solutions that are co-developed with technology suppliers, and solutions that are fully developed internally to take advantage of the rich knowledge interfaces the Company has (process, product, AI, math optimization). This combination leads to performance superiority.

The main driver for digitalization at ArcelorMittal is a competitive advantage, with new technologies and especially cutting-edge AI and mathematical optimization tools contributing to ensure:

•The best product quality, through better prediction using advanced analytics made possible through Big Data and distributed computing. This means production issues can be detected before they happen, enabling adjustments to be made to production parameters to avoid them.

•Maximizing equipment operational time and avoiding unplanned stoppages via predictive maintenance. The Company is already seeing positive results in several production units and is further deploying these solutions across the Company.

•Cost efficiency in production and logistics. For example, the R&D division has developed a unique, breakthrough technology for line scheduling - inspired by studying and mimicking the movements in ant colonies - that has significantly improved productivity. In addition, the deployment of automated stockyards, linked to line scheduling and transport devices such as autonomous cranes, means less stock is needed and lead times are cut, yielding two major supply chain benefits.

•Enlarge the offer to ArcelorMittal's customers via new web sales platforms. Together with ArcelorMittal’s commercial workforce, the R&D division has developed

specific algorithms and recommendation systems that are implemented in new IT commercial platforms adding value to its customers, who are also increasing the digital nature of their activities and ways of doing business.

While the implementation of large-scale digital and industry 4.0 projects is challenging in a company of ArcelorMittal’s size, once implemented these projects bring major benefits and value because of the Company’s scale and complexity. The global standard platforms strategy has contributed significantly to this initiative.

ArcelorMittal’s approach is to work with a broad range of entities, thus maximizing the knowledge transference into its teams, avoiding black-boxes, and increasing its development capabilities. This has led to the development of new algorithms using Big Data technologies that can solve problems in ways that were not possible before, mainly due to limitations in the manipulation of large volumes of data.

Seizing the potential of additive manufacturing. ArcelorMittal sees significant potential in additive manufacturing and 3D printing. For example, within the Company’s operations, it will be possible to ‘print’ spare parts when predictive analytics show that equipment needs replacing, thus reducing disruptions. As 3D technology matures, it will have an increasing impact on the way the Company and its customers do business. ArcelorMittal’s R&D teams are exploring opportunities and partnering in this field. In response to the COVID-19 pandemic, the Company was able to collaborate to address the severe lack of required safety and medical equipment for the public health effort by 3D printing face shields and ventilators in Europe and Brazil.

Sustainable development

ArcelorMittal recognizes the important contribution its products and processes make to Sustainable Development (“SD”) and aims to ensure that its steels are the material of choice in the transition towards a circular and low-carbon economy. This means preparing for and responding to the most significant long-term environmental and social trends that are transforming the context in which the Company operates. These include sector-focused decarbonization ambitions aligned with the Paris Agreement, the transformation of society towards a circular economy and the growing demand from customers for adherence to sustainability standards from their entire supply chains, from mine sites to delivery of products.

The Company’s SD framework, launched in 2015, sets out the 10 SD outcomes it needs to achieve in order to protect and grow long-term value for its stakeholders. These outcomes are aligned with, and aim to contribute to, many of the United Nation’s Sustainable Development Goals (“SDGs"). Details of the relationship between the 10 SD outcomes and the SDGs are

included in the reporting index to ArcelorMittal's Integrated Annual Review 2019, which is available on the Company's website. The outcomes provide the basis for engaging the Company’s workforce on SD issues, and support the development, management and reporting of sustainability across its operations.


ArcelorMittal's 10 SD Outcomes:
1			Safe, healthy, quality working lives for ArcelorMittal’s people
2			Products that accelerate more sustainable lifestyles
3			Products that create sustainable infrastructure
4			Efficient use of resources and high recycling rates
5			Trusted user of air, land and water
6			Responsible energy user that helps create a lower-carbon future
7			Supply chains that ArcelorMittal’s customers trust
8			Active and welcomed member of the community
9			A pipeline of talented scientists and engineers for tomorrow
10			ArcelorMittal’s contribution to society measured, shared and valued

To drive its goal of inventing smarter steels for a better world, the Company recognizes the value in creating an integrated marketing offer that combines many aspects of these 10 SD outcomes. These include being the supplier of choice for innovative products while maintaining steel and mine sites that operate to standards that meet and exceed the sustainability expectations of customers and investors. This is at the heart of the Company’s approach to SD.

ArcelorMittal listens carefully to stakeholders, both locally and globally, and recognizes a trend of rising expectations among stakeholders regarding local community issues as well as the global transition toward a circular economy and the steel industry’s critical role within it. The Company assesses stakeholder trust to be a key value driver, and accordingly adopts a Board-led strategic approach to deepening trust through stakeholder engagement.

Integration of SD into the business is therefore essential for ArcelorMittal to achieve long-term value for its shareholders and other stakeholders while maintaining a profitable market share. Over the last five years, the Company has been integrating the SD outcomes into the business, beginning at the site level by explaining the need for integrating SD into planning and reporting of results. In 2018, the Company’s Board of Directors established the Appointments, Remuneration & Corporate Governance and Sustainability Committee of the Board (the "ARCGS"), an expansion of the previous Appointments, Remuneration & Corporate Governance Committee, which monitors the performance of corporate functions and business segments against the 10 SD outcomes pursuant to the five management themes discussed below. This integration of SD

was fully embedded in 2019 with the implementation of theme dashboards and quarterly reporting from local sites to the ARCGS.

The ARCGS organizes its governance of SD through five management themes, which helps deepen the Company’s strategic approach towards each one.

The themes (and the relevant SD outcomes to which they relate) are:


Management Theme		Relevant SD Outcome
1	Safety	1
2	Climate change	6
3	Customer reassurance	7
4	Environment	4, 5
5	Social	1, 8, 9, 10

The ARCGS's oversight underpins the Company’s strategy to ensure that both corporate functions and business segments contribute to achieving the 10 SD outcomes with the following elements:

•Each business segment, acting on its understanding of SD trends and through its engagement with stakeholders, develops a plan in pursuit of the 10 SD outcomes as a priority, with a set of key performance indicators (“KPIs") established against which they must report quarterly to the ARCGS committee;

•Corporate functions lead on key areas including: progress towards low-carbon steelmaking, innovating steel solutions and steelmaking technologies with a positive SD impact, and developing a ‘mine to metal’ chain of assurance against multi-stakeholder environmental and social standards; and

•A robust articulation of the Company's approach and progress through clear narrative and transparent, third-party assured reporting.

The Company is committed to transparency as evidenced by the comprehensive SD disclosures made in the Integrated Annual Review and Factbook each year, and by the publication of its first Group Climate Action Report in May 2019, and subsequent Climate Action in Europe report in 2020, which serve as the Company’s response to the recommendations of the Task Force on Climate-related Financial Disclosures (“TCFD”). The second Group Climate Action Report is planned to be published in the second quarter of 2021.

The Company now sees the need to go beyond transparency and invest in stakeholder dialogue by leading collaborative conversations with stakeholders on climate action and multi-

stakeholder standard setting processes and certification for both steel sites and mines (see “Management Theme #3: Customer reassurance" below).

The Company is leading the steel industry’s first global certification standard, ResponsibleSteel™, to provide customers, investors and stakeholders with reassurance on sustainability throughout the steel value chain and inform them about the credibility and rigor that has gone into auditing the Company's social and environmental performance at its steel plants and mines.

The ResponsibleSteel™ performance standard audits operations against the 12 environmental, social and governance principles. The Company has started certifying various sites across the Group in 2020, including the ArcelorMittal Europe – Flat Products sites. The Company has also committed to external certification by Initiative for Responsible Mining Assurance ("IRMA"), an internationally recognized third-party verification and certification standard. The intention is to achieve accreditation in Liberia and Brazil in three to five years and implement IRMA across other mines in the coming years as well. See "Customer reassurance".

Both schemes will provide additional level of reassurance of the Company’s sustainability standards and will also strengthen the Company's governance standards.

The Company’s management of SD is summarized along the five management themes in the following pages.

Management Theme #1: Safety

ArcelorMittal's employees are essential to its ambition to build a high-performing organization. The Company wants all its employees to be safe and healthy, committed to ArcelorMittal's success and to act with integrity in everything they do. ArcelorMittal aims to build an inclusive culture in which diversity is valued, and every individual is respected and their potential developed. Safety is the number one priority.

Health and Safety – managing response to the COVID-19 pandemic

The COVID-19 outbreak has impacted many countries around the world, and disrupted the lives of many millions of people. The Company has been taking the risks associated with the outbreak extremely seriously, and the safety and wellbeing of its employees is of paramount importance.

The Company continues to follow the recommendations of governments from around the world and managing response in line with the World Health Organization (WHO) guidelines. It has implemented measures to reduce the risk of the virus spreading at its operations. These include introduction of pandemic safety protocols, ensuring sufficient supplies of sanitation products and

essential personal protective equipment, strictly following social distancing procedures, conducting enhanced and regular cleaning operations and monitoring the health of employees when they enter and exit work premises. Wherever possible, the Company implemented remote working. Employees were provided support, advice and guidance they needed to adjust to working in challenging times. The Company’s pandemic crisis management team has been in continuous contact with leadership teams in all the regions where it operates to ensure the right decisions are being taken for the wellbeing of employees.

At the onset of the crisis, the Company’s global Health and Occupational Hygiene and Health and Safety Councils have issued ‘COVID-19 safety principles’ designed to guide and provide global consistency in the Company’s health and safety response to the COVID-19 pandemic. It outlined best practices and the minimum requirements with the recommendation to always follow best practice and it has been implemented at all of ArcelorMittal’s operations. To ensure good compliance with these principles and to foster continuous improvement of the preventive measures, regular field audits are conducted.

ArcelorMittal Mexico, located in one of the most severely impacted countries at a time, commissioned DNV GL to conduct a comprehensive infection risk assessment and provide recommendations for process improvements regarding COVID-19 exposure at the Lázaro Cárdenas complex in Mexico. Recommendations from the audit were implemented not only in the Mexican operations but they were shared with other operations as well for consideration.

Whilst the clear priority has been the safety and well-being of employees, the Company has been providing support to the extent required in the communities in which it operates (for more details see section Management theme #5: Social).

Safety

The Company-wide safety program, “Journey to Zero”, introduced in 2007, aims to achieve zero fatalities and severe lost-time injuries by creating a culture of shared vigilance in which risks and hazards are understood and monitored, best practices are shared, and appropriate action is taken at every level. The Company's remuneration policy links 10% of the bonuses of its leadership - from managers to the CEO - to safety KPIs (i.e., fatalities, lost-time injury frequency rate ("LTIFR") and frequency rate (FR’)) in the business where he or she works, where relevant. The Company works with trade unions to drive safety improvements through a global partnership, which includes joint local Health and Safety Committees at every production unit and a Global Health and Safety Committee (“GHSC”) which is made up of representatives from both the trade union IndustriALL and union

members from ArcelorMittal, together with senior ArcelorMittal managers. This is supported internally by the ArcelorMittal Health and Safety Council.

It is with deep regret that the Company reported 17 fatalities during 2020, including 14 in steel and 3 in mining operations. Any fatality is a cause of great distress to families, friends, ArcelorMittal's leadership and the entire workforce. The Company's leadership is driving a campaign to ensure that a culture of vigilance and mutual accountability, in which every individual takes responsibility for their own actions, and the actions of those around them, prevails everywhere it operates. ArcelorMittal recognizes that, more than improving its performance against LTIFR, it must work harder to ensure that its safety culture prevents fatalities and serious incidents. There are operations at ArcelorMittal that have gone years without a single injury or death and this proves that zero fatality is possible and that the Company has capabilities to realize this ambition. For example, in South America, with the safety-first culture instilled and leadership trainings implemented, the Company is achieving solid safety performance. The aim is to learn from best performing sites as well as from the Company's external benchmarking exercises. With this in mind, the Company has formed a revised Health and Safety Council of Chief Operating Officers from each business, chaired by the CEO of the segment with the best performance in the Group. It is important each business focuses on peer to peer gap analysis, effective implementation of best practice tools and leading KPIs focused on severe injuries and fatality prevention.

During the year, the Company implemented the following measures:

•The Safety Leadership program and Take Care training continued with remote sessions being introduced due to the COVID-19 pandemic. This program aims at developing the skills of middle and upper management to influence people's safety behavior and improve the safety culture within their teams. It has been implemented over the past years across ArcelorMittal’s European operations and long operations in Latin America;

•Strengthened health and safety policy on vehicles and driving;

•Improved detection, recording, and understanding of hazards and risks through potential severe injuries and fatalities ("PSIF"s) in order to prevent severe incidents;

•Strengthened Health and Safety leadership teams in CIS (Ukraine and Kazakhstan);

•Continued strengthening safety through the use of best practice tools: HIRA-Lite: hazard identification and risk analysis, undertaken before performing any non-standard task; pre-shift safety meetings, shop floor audits.

The LTIFR for the Company, defined as the number of injuries per million hours worked that result in employees or contractors taking time off work, was at 0.61 (0.92 including ArcelorMittal Italia) in 2020 compared with 0.75 in 2019 (1.21 including ArcelorMittal Italia). For comparison, ArcelorMittal recorded an LTIFR of 3.1 incidents per million hours worked in 2007, the year after the Company's formation. The table below shows the LTIFR by segment for the years ended December 31, 2020 and 2019:


	For the year ended December 31,
Lost time injury frequency rate*	2020	2019
Mining	0.27	1.53

NAFTA	0.49	0.51
Brazil	0.28	0.34
Europe	1.07	1.04
ACIS	0.64	0.75

Total	0.61*	0.75*
ArcelorMittal Italia	9.46	11.13
Total including ArcelorMittal Italia	0.92	1.21

*Data does not include the LTIFR for Ilva (subsequently renamed ArcelorMittal Italia) which was acquired on November 1, 2018.

Improving workers’ ability to monitor and analyze PSIFs is also a key focus, as it provides a deeper understanding of how safety incidents can arise and therefore be avoided. Results show that sites with no fatalities proactively detect and manage twice as many PSIFs as sites that have one or more. The volume of proactive PSIFs logged across the Company has increased more than five times since 2016, and 3,600 situations have been proactively detected and addressed in 2020. In addition, the Company is specifically focusing on improving the quality of its analysis and actions, including by sharing best practices across the Company, which has been further facilitated this year through the use of the intra-organization, social networking online tool Yammer.

PSIF is now a KPI for the Company and, alongside fatalities and LTIFR, is reported monthly to leadership as part of the governance process. Health and safety is reviewed by the GHSC and overseen by the ARCGS, which meets quarterly. When a fatality occurs, all levels of management are informed of the circumstances and the incident is subject to a comprehensive review process. The Company supports sites where fatalities have occurred to ensure stronger alignment

between Group-level safety strategy and site-level implementation.

Management Theme #2: Climate change

ArcelorMittal is committed to the objectives of the Paris Agreement. In 2020, the Company announced a group-wide commitment to being carbon neutral by 2050, building on the commitment made in 2019 for its European business to reduce CO2 emissions by 30% by 2030, and be carbon neutral by 2050.

In June 2020, the Company released its ‘Climate Action in Europe’ report, laying out the European roadmap to reach these targets, and is planning to publish the Group's second Climate Action Report in the second quarter of 2021, where it will announce its CO2 emissions reduction target by 2030.

In 2020, the Company also announced the launch of a green steel offer for the first time using a system of certificates. An independent auditor, will verify the tonnes of CO2 savings achieved through the Company’s investment in decarbonization technologies in Europe, in accordance with the GHG Protocol Project Accounting standard. These CO2 savings can then be passed onto customers in the form of verified certificates. The certificates will relate to the tonnes of CO2 saved in total, as a direct result of the decarbonization projects being implemented across a number of its European sites. The certificates can be used by customers to report an equivalent reduction in their Scope 3 emissions, in accordance with the GHG Protocol Corporate Accounting and Reporting Standard.

The Company plans to scale up the offering from 30,000 tonnes in 2020 to reach 120,000 tonnes in 2021 and 600,000 tonnes by 2022.

The Company sees the low-carbon transition as presenting significant opportunities as steel will remain a vital material in the application of new industrial technologies and the transition of the energy, transport and packaging industries, and the future construction sector. ArcelorMittal develops innovative products and processes that help its customers reduce their carbon footprint in all these sectors, including S-in motion® for automotive, Steligence® for construction, and glass granulated blast furnace slag as a low carbon alternative for use in place of cement.

The Company views steel as having many advantages in a decarbonizing world in which demand for materials will continue to grow. Steel is 100% recyclable without quality loss, and in many applications, it is a lower-carbon alternative over its lifecycle than other materials such as aluminum and concrete. However, modelling shows that global stocks of scrap will be insufficient to meet global demand for steel from secondary, recycled sources for many decades to come, so the world will

continue to rely on primary steelmaking for decades to come. Existing primary steelmaking processes are carbon intensive, and therefore the route to decarbonizing steel will be through developing new low-emissions technologies. The Company has identified two pathways to achieving this:

a.The Hydrogen-DRI route, which uses hydrogen as a reducing agent. A demonstration plant in Hamburg, where ArcelorMittal owns Europe’s only operational DRI-EAF plant, is currently planned with a targeted start-up in 2023-2025, depending on funding. The pilot plant will initially produce 100,000 tonnes of pig iron a year. In the short to medium term, the Company could use ‘blue hydrogen’, sourced by extracting hydrogen from natural gas, and capturing and storing the CO2 generated in the process. In the long term, the Company plans to use ‘green hydrogen’, sourced by extracting hydrogen from water via electrolysis using clean energy.

b.The Smart Carbon route is centered around modifying the blast furnace route to create carbon neutral steelmaking through the use of circular carbon - in the form of sustainable biomass or carbon containing waste streams - and carbon capture and use ("CCU") and storage ("CCS"). ArcelorMittal is well advanced on constructing several commercial-scale projects to test and prove a range of Smart Carbon technologies (examples below). Start-up target for key projects is targeted in 2022.

The Company is also collaborating with 11 partners on a project called Siderwin to build a three-meter industrial cell which will test iron ore reduction via electrolysis in Maizières, France. See further information in "—Research and development".

Carbon neutrality in the Smart Carbon route can be achieved by relying on the earth’s natural carbon cycle and making use of biowaste materials, such as sustainable forestry and agriculture residues, to produce bio-energy for steelmaking. Other biomaterials such as waste plastics can also be used, thus helping address the world’s waste challenge. Steelmaking’s carbon by-products can further be converted back into biomaterials at the end of the steelmaking process in a fully circular fashion. Through a process called Torero (€50 million investment), ArcelorMittal will reduce iron ore with waste carbon rather than fossil fuel coal in a demonstration plant in Ghent, Belgium, with production expected to start via reactor #1 in 2022 and reactor #2 in 2024. Meanwhile, the Company’s campus in Dunkirk, France is piloting the IGAR (Injection de Gaz Réformé) project (€20 million investment) which reforms carbon from the blast furnace, converting it into a synthetic gas to reduce iron ore, which is expected to be completed in 2022.

Fossil fuels can continue to be used for steelmaking with carbon neutrality achieved by using CCS, capturing CO2 emissions, transporting them and storing them safely underground. Combining CCS techniques with circular carbon energy sources can even move the steel industry beyond carbon neutrality, and turn steel production into a means to remove CO2 from the atmosphere. The Group's Carbalyst® project, in partnership with LanzaTech, will capture carbon gas and recycle it into chemicals. Pilot plants for both technologies are under construction at the Company’s plant in Ghent, Belgium. An investment of €165 million in Carbalyst® started in 2018 and is expected to be completed in 2022. The technology is expected to capture approximately 15% of available waste gases at the demonstration plant and convert them into 80 million litres of ethanol annually. Also, at ArcelorMittal Dunkirk, the Company is developing a carbon capture and storage pilot project (€20 million investment) to bring down the costs of capturing, purifying and liquifying CO2 from waste gases. The technology is expected to allow capturing 0.5 metric tonnes of CO2 an hour from steelmaking off-gases by 2021. The Company is also involved in the Northern Lights and Porthos carbon transport and storage projects.

These pathways could all lead to low-emissions steelmaking. However, they pose significant challenges in terms of new technology, expanded clean energy infrastructure and infrastructure for the transport and storage of CO2. They also lead to structurally higher costs of steelmaking and therefore, for them to become a reality, the right market conditions are required. The Company has identified five key requirements for the transition to a low-emissions steel industry, and for delivering on the ambitions of the Paris Agreement (see details below).

Through its innovative low-emissions steelmaking program (which is a multi-year budget covering the Company’s low carbon development and demonstration program with partners, aimed at building industrial pilots and demonstrations and is additional to its annual R&D expenditure), ArcelorMittal is actively testing technologies across each of these pathways, and developing a broad portfolio of breakthrough low-carbon steelmaking processes. The Company believes that some of these new technologies could reach commercial maturity before 2025, and that by 2030 many will be mature and partially deployed across its facilities in Europe. They will play a critical role in achieving the Company’s target of a 30% reduction in CO2 emissions in Europe by 2030.

The Company believes that these initiatives present significant opportunities for the decarbonization of steelmaking provided the correct regulatory and investment environment exists.

ArcelorMittal has identified that its most substantial climate-related risk stems from a policy environment that does not

enable the industry to cover the higher structural costs that new low-emissions technologies bring, and it has identified five key requirements for the transition to a low-emissions steel industry, and for delivering on the ambitions of the Paris Agreement.

1. Global level playing field: a global framework to create a level playing field is needed to avoid the risk of carbon leakage. This can be achieved through carbon border adjustments ("CBA"s) or other government interventions, which ensure that steelmakers bearing the structurally higher operating capital costs of low-emissions technologies can compete with imports from higher-emissions steelmakers. This is particularly relevant in Europe, where EU steel producers are increasingly exposed to costs of carbon through the European Emissions Trading Scheme ("ETS"), while imports are exempt yet continue to be responsible for a significant proportion of the carbon emissions of steel used in Europe. The ETC estimates that the total annual investment required to decarbonize the steel industry globally is around $80 billion. A well designed and fair CBA and public and private financing to roll out the technology, would be a big step closer to making this happen.

2. Access to abundant and affordable clean energy: policies giving the steel industry improved access to renewable electricity will be key, as this is currently neither sufficiently available nor economically viable to enable the roll out of low-emissions steelmaking technologies that use this energy source. For the acceleration of technologies using circular carbon energy sources, the steel industry requires priority access to biomass and waste.

3. Facilitating necessary energy infrastructure: in addition to abundant renewable electricity, policies to support investments in hydrogen infrastructure will be needed to advance large-scale hydrogen-based processes. Similarly, for the use of fossil fuels with CCS, policies are required to enable the accelerated development of carbon transport and storage infrastructure and services.

4. Access to sustainable finance for low-emissions steelmaking: the scale of the challenge requires an acceleration of technology development and roll out. Breakthrough steelmaking technologies need to be identified as a key priority area for public funding. Some of the Company's current R&D projects are funded by EU Horizon 2020, and further public funding through, for example, the EU ETS Innovation Fund will be required to continue developing and rolling out low-emissions steelmaking. Finance legislation should enable these investments to make a positive contribution to the low-carbon circular economy, with realistic criteria.

5. Accelerate transition to a circular economy: climate and materials policy should be integrated, taking a lifecycle perspective to ensure that materials are used in as circular a

way as possible. There should be a focus on driving the recycling and reuse of all waste streams, and incentivizing the use of waste streams as inputs in manufacturing processes. Products should be rewarded for their lifecycle reusability and recyclability.

ArcelorMittal is also actively engaging in analyses, with customers, investors, policymakers and global think tanks, on what policy mechanisms could be created to make low-emissions steelmaking more competitive. For example, the Company has been collaborating with the Energy Transitions Commission’s Mission Possible initiative on pursuing net-zero carbon emissions from harder-to-abate sectors, and with the Science-Based Targets initiative (“SBTi”) on the steel sector decarbonization approach. The Company is also an active member of the ETC’s Net Zero Steel Initiative underway in partnership with the World Economic Forum.

ArcelorMittal has also been driving multi-stakeholder efforts through ResponsibleSteel™ to develop standards on greenhouse gas emissions (“GHG”) for steel (see “—Management Theme #3: Customer Reassurance” below).

In addition to new technologies and policy work, ArcelorMittal’s low emissions strategy focuses on energy efficiency in its existing steelmaking operations across the globe, and on expanding opportunities for further steel production using end-of-life scrap. Each year, the Company’s Investment Allocation Committee (“IAC”) approves a number of capital investments that will bring significant energy and carbon efficiency improvements, enabling the Company to meet its medium-term emissions reduction targets. In 2020, the IAC allocated a total of $248 million in capital expenditures to 20 projects with energy and/or carbon benefits to be spent in the coming years.

The Company has once again been recognized by CDP for its strong performance in corporate transparency and action on climate change. ArcelorMittal successfully retained its A- score in the 2020 CDP Climate Change assessment, putting the Company within the top quartile of all metal smelting, refining and forming companies and the top 10% of the steel industry.

The Company has been recognized as a Steel Sustainability Champion for the third year running by the World Steel Association and its "Climate Action Report 1" won the CRRA Award for Best Climate Report in July 2020.

The Company also published its first report on the climate-related policy positions of its membership associations in 2020.

Following the sale of ArcelorMittal Princeton in December 2020, the Company’s sole coal mining operations located in Kazakhstan, Karaganda region, are exploited for the purposes of the Termitau steel plant. External sales of coal from these

mines are negligible and represent less than 0.1% of ArcelorMittal's sales.

Management Theme #3: Customer reassurance

The Company envisions the momentum behind supply chain accountability continuing to grow, with a particular focus on mined raw materials. Consumer-facing brands want to demonstrate responsible sourcing, and customers are joining together to demand, and validate, higher standards in their supply chains, driven by their own due diligence processes. This is expressed through growing demand from the Company's customers for reassurance on environmental and social standards. As a result, ArcelorMittal regards supply chain certification and reassurance as a vital commercial opportunity to forge closer links with customers and believes that taking a leading role in multi-stakeholder engagement is one of the most effective ways to achieve results. It is working with peers in the steel and mining industries, and with other stakeholders, to advance the development of new third-party standards.

To establish a single, global standard for the entire ‘mine-to-metal’ steel value chain, and in response to the strong trend of rising assurance expectations from customers, ArcelorMittal has been playing a leading role in developing ResponsibleSteel™ since 2015. ResponsibleSteel™ is the steel industry’s only global multi-stakeholder certification initiative, which has over 70 members and associates as including steel producers, mining companies, NGOs, steel-consuming customers, financial institutions, and industry bodies. It enables steel producers to prove their production processes and products meet rigorously defined standards across a broad range of social, environmental and ethical criteria. It also improves responsible sourcing of the raw materials used in steelmaking and reduces supply-chain risk.

In November 2019, following a robust accreditation process, ResponsibleSteel™ launched its first site certification standard. The standard presents 12 principles underpinned by over 50 criteria and over 200 auditable requirements, addressing: health and safety, human rights, local communities, biodiversity and GHG among other sustainability and assurance issues. A full product certification standard, which will also cover the mining of raw materials before they arrive on site, and the full chain of custody from mine to site to final customer, has been under development in 2020 and is expected to launch in 2021.

ArcelorMittal has carried out readiness assessments against the ResponsibleSteel™ site standard across nearly all its European flat products production sites with positive results. It is currently working on a site assessment and verification plan and is on track to seek certification for its European Flat sites next year. ArcelorMittal believes that its leading role in the development of ResponsibleSteel™, and its commitment to achieve certification, will enable the Company to improve customer relations,

increase market share among customers already seeking certification, and create demand for certified products.

Reassurance needs to cover the full steel value chain, including sourcing of primary raw materials. This is why ArcelorMittal also plays a leading role in the wider movement towards establishing social and environmental standards for mining that stakeholders recognize and value. As a member of the IRMA, steering committee, ArcelorMittal participates in the multi-stakeholder expert panels shaping its standards. ArcelorMittal mining’s operations in Liberia and Brazil are investigating assessments by IRMA and the intention is to achieve accreditation for these operations in three to five years. The Company is also looking into implementing IRMA across all the mines in the coming years to ensure its customers that all raw materials have been sourced and produced responsibly. Another example is its commitment to the Mining Association of Canada’s Towards Sustainable Mining initiative at its mines in Canada, which helps the Company to monitor and improve performance and customer reassurance.

Both schemes will provide customers, investors and stakeholders with reassurance on sustainability throughout the steel value chain and inform them about the credibility and rigor that has gone into auditing our social and environmental performance at our steel plants and mines. (see description above and "Sustainable development governance" below).

The Company engages directly on responsible supply chain issues with customers from the automotive, rail and other sectors, including construction, household goods and packaging, as well as with initiatives used by customers to share their processes for assessing supply chain risk, such as DRIVE Sustainability, Electronic Industry Citizen Coalition, Railsponsible, EcoVadis and the Green Building Council.

Alongside these multi-stakeholder, customer-focused initiatives, the Company is committed to driving standards in its own supply chain. The Company has been engaging with its key raw materials suppliers and recommending that they follow one of the certification routes. Implementing certification standards in mining is the best way to improve responsible sourcing of the raw materials used in steelmaking and reduce supply-chain risk.

Since 2011, the Company’s Code for Responsible Sourcing has set out minimum standards for its suppliers and described how it will work with suppliers to achieve them. The Company assesses its suppliers against this code every year.

In 2019, the Company continued to ask all new global suppliers to sign the Code and surveyed key suppliers for their implementation of the Code (for example, 96.3% of the Company’s raw materials suppliers have signed the Code).

At the same time, it reinforced its ESG risk mapping analyses, with particular reference to its raw material suppliers. This process aims to identify social and environmental areas of concern, and the key hotspots for further due diligence and engagement with suppliers; the Company is developing action plans where these are needed and encourages all suppliers to take part in certification schemes.

Overall, the Company is also aligned to the Organization for Economic Co-operation and Development (“OECD”) guidelines on due diligence on supply chains, in particular for conflict minerals, which reflect continued concern that some conflicts around the world are being financed by the trade in minerals such as tin, tantalum, tungsten and gold. Only a very limited number of ArcelorMittal products contain tin and tungsten, which are necessary for the functionality or production of certain products. The Company also publishes a Special Disclosure Report in compliance with the US Dodd Frank Act Section 1502, and has done work to meet the requirements of the EU's new conflict minerals regulation.

Management Theme #4: Environment

Behind the SDGs to which ArcelorMittal is committed, is a vision of progress that leaves no-one behind. The Company therefore focuses on making steel in ways that work for society, without creating harmful carbon footprints (as discussed in “Management Theme #2: Climate Change" above), or other negative environmental impacts. The Company aims to meet stakeholders’ expectations around the use of shared resources, particularly natural capital in the form of air, land and water. Operating transparently and responsibly in these areas is essential for retaining stakeholders’ trust.

The Company continues to make significant environmental investments, and in 2020, ArcelorMittal’s IAC has approved expected capital expenditures totaling $396 million relating to 32 projects with environmental benefits.

Some of the challenges affecting air, land and water are global in nature, and ArcelorMittal engages in multi-stakeholder forums aimed at addressing them. Where the issues and the means of addressing them are local, country managers engage with stakeholders at every level, including site-by-site. Before developing any new mine or steel plant, the Company carries out detailed environmental impact assessments, and establishes an environmental management plan. At all existing production sites, it monitors air, water, energy and residue data, and publishes data annually in its Integrated Annual Review and country level sustainability reports.

The Company monitors regulatory developments and aims to be fully compliant with regulatory standards. See “Business overview—Government regulations". The Company also aims to listen to concerns wherever they are raised, and to respond

appropriately, including by acknowledging where its standards have fallen short.

In 2020, the Company’s focus on responding to environmental issues continued to be centered on addressing air quality concerns, managing tailing storage facilities and tailings transition plans, improving land use and biodiversity, responsible water use and reducing waste disposal, as further discussed below.

Addressing air quality concerns

ArcelorMittal understands that air quality is among the most salient issues for the communities around its operations. It is also a continuing focus for regulators, and the Company’s goal is to comply fully with regulatory standards. Although the specific sources of pollutants, particularly in urban and industrial areas, are not always identifiable, the Company aims to listen to concerns wherever they are raised, and to respond appropriately. The Company also continues to make significant environmental investments that address air quality.

In 2020, the following sites raised particular air quality concerns, which were addressed by the Company:

ArcelorMittal USA

The Company worked collaboratively with the U.S. Department of Justice ("DOJ"), the U.S. Environmental Protection Agency ("EPA"), Indiana Department of Environmental Management and Ohio EPA to reach a comprehensive settlement agreement, or consent decree, and resolve Title V air permit issues reflected in Notices of Violations issued in 2011 and 2019. The consent decree resolved Title V air permit issues, the majority of which were self-reported, that occurred at five of the Company’s U.S. facilities - Burns Harbor, Cleveland, Indiana Harbor East and West, and the former Indiana Harbor Long Carbon operation. The Company agreed to pay $5 million to settle the claims. See "Introduction—Key transactions and events in 2020" for a description of the subsequent sale of ArcelorMittal USA.

Kryvyi Rih (Ukraine)

The Company is also responding to concerns raised by local stakeholders in Ukraine and Kazakhstan. In Ukraine, over almost 15 years of operating in Kryvyi Rih, the Company has invested over $5 billion in production development, which resulted not only in improving the Company’s competitiveness but also reduced environmental footprint: total reduction of emissions is over 42% since 2005 (including CO2, Nox and Sox emissions).

ArcelorMittal Kryvyi Rih's strategy to further reduce their environmental impact from dust covers all the main types of production - mining, coke, steelmaking, rolling and sintering. The latter is of key importance, since it accounts for about 75% of the plant's total dust emissions. The Company is planning to

build a pellet plant to replace the sinter plant at the steel production site and sinter plant number 1 located at the mining production site, as well as modernizing sinter plant number 2 located at the mining production site. As a result of these investments, the total volume of pollutant emissions is expected to decrease by 78 thousand metric tonnes per year, as well as decrease of the total volume of CO2 emissions by 800 thousand metric tonnes per year. The commissioning of pellet plant and the future reconstruction of blast furnace No. 9 will make it possible to achieve a significant reduction in coke consumption in sinter-blast process that will also entail a decrease in pollutant emissions. Investments over the next few years in the project to build a new pellet plant will exceed $250 million. The Company has also finished the construction of two modern continuous casting machines and a new rolling mill which will further reduce the environmental footprint of the operations.

Since 2006, over 130 highly efficient gas cleaning plants have been constructed and revamped. From the date of the plant's privatization, total air emissions were reduced by 42.7%, waste water discharge – by 78.4%, waste disposal volume – by 23.7%. In the next 3-4 years, the Company is going to implement significant investment projects, including allocation of $700 million in capital expenditures for projects which include some environmental benefits (including the pellet plant described above), which are an integral part of key investment projects.

Kazakhstan

In Kazakhstan, where emissions and their impact on air quality is the most pressing concern for local communities, ArcelorMittal has built a comprehensive environmental plan with local stakeholders. As part of this plan, the Company has launched a $211 million environmental investment program over 2018-2025. The projects in its scope will result in a series of incremental performance improvements throughout the investment plan’s implementation period to 2025. The program is focused on removing dust from a range of facilities including the lime plant, the coke shop and related processes, the sinter plant, the steel shop, blast furnace 2 and its associated storage area.

In the last three years the Company has implemented ESP for SM 5, phase 1.2 of ash pond extension, dedusting units of sinter plant, BOF mixer, coke plant, construction of new chimney in coke shop along with battery repairs. Implementation of these projects has resulted in dust reduction by 443 tons per annum along with prevention of soil contamination and reduction in fugitive emissions. In the next years, the Company will continue investing in projects with expected reduction of dust emissions by further 3500 (by 4011 including BF#2 dedusting) tons per year.

Managing tailings storage facilities

The Company’s strong governance model has recently been updated to take into account the principles laid out in the Global Industry Standard for Tailings Management. The governance model aims to ensure that our tailings storage facilities ("TSF"s) are structurally sound and safe, with all efforts directed at minimizing the risks of wet tailings.

The Company’s tailings strategy is continually benchmarked against the best industry guidelines: Mining Association of Canada (MAC), Canadian Dam Association (CDA). The Company's strong and evolving governance model aims to ensure that its TSFs are structurally sound and safe, with all efforts directed at minimizing the risks. The Company has 23 TSFs (Tailings Storage Facilities), including dry-stack, paste and in-pit disposals, of which 15 are active, seven inactive and one is in preparation for construction.

To ensure the safety of all of these, and in addition to the local 'Engineer of Record' inspections, ArcelorMittal applies two types of audit: an internal audit at corporate level to assess compliance with the company's standard and an independent audit conducted by an internationally recognised tailings consultant. These are benchmarked against the international guidelines and are considered best practice.

ArcelorMittal is also seeking continuous improvement in its tailings management program to reduce its exposure to risks associated with conventional tailings facilities, principally via:

•The Company is reducing the risk of existing conventional operations by promoting the use of reduced moisture disposal methodologies, such as high density thickened tailings (paste) or filtered tailings where appropriate.

•The Company is using latest and proven new technologies such as high precision radars, remote sensors and InSAR satellite monitoring on all its TSFs to monitor facilities globally in real time.

The Company is currently assessing all its mining operations for transition in line with these principles, and developing customized design solutions for non-conventional tailings system management. ArcelorMittal has already implemented tailings thickening steps in its assets in Mexico, Brazil and Canada, with further studies ongoing across the Company.

The Serra Azul TSF had been dormant since 2012 but in February 2019, following the Brumadinho failure, the stability of the dam was revised, taking into account the failure mode specific to Brumadinho. Based on the results, the Company decided to evacuate the local community downstream of the dam pro-actively as a precaution, enabling the Company to carry out further testing/analysis and safely implement any mitigation measures required by new Brazilian legislation implemented after the Brumadinho accident.

Following an update of the dam break analysis, and adopting the most conservative assumptions, the potential area of impact has been expanded, in order to keep a greater margin of safety. In response, ArcelorMittal relocated 54 families from two communities to temporary homes as a precautionary measure. Monthly emergency payments have been made to the relocated families as well as to people who temporarily lost access to their land – in total 174 families have been directly impacted. For safety reasons, access to the evacuated area continues to be restricted and controlled according to guidance from local authorities.

ArcelorMittal is currently reviewing its approach to safely deconstruct the Serra Azul TSF as per its original plans. Serra Azul is working directly with the public prosecutor’s office in Minas Gerais on this process. Continuous 24/7 monitoring of the tailings storage facility continues via radar, accelerometers, online water level, piezometers and imaging.

Since population downstream evacuation of the Serra Azul Dam in 2019, preventative background studies of the flora, fauna, soil, sediments and constant water resources within the dam break area have been carried out, and in 2020, these studies were intensified according to the demands of environmental agencies.

Improving land use and biodiversity

ArcelorMittal aims to practice good land use management, and to protect biodiversity in the environments where it operates, including through partnerships with local environmental organizations and others to improve and research local biodiversity.

Mining is a key focus both in terms of responsible land management and biodiversity.

ArcelorMittal Liberia ("AML") operates a comprehensive Biodiversity Conservation Program ("BCP") to limit and mitigate the interface with agriculture and mining.

The Nimba Mountains are renowned for their biodiversity, but unfortunately have been impacted over many years by agricultural practices and overhunting, beginning well before the commencement of mining. AML takes its social and environmental responsibilities and stewardship of the land very seriously. The Company’s BCP launched in 2011, has been focused on developing sustainable forest management throughout the area.

The AML BCP process has since its inception, included partnering with authorities and communities to create a healthy ecosystem and sustainable livelihoods across the region. For years, the Company has been working with international NGOs, local authorities and communities while also training and

developing its employees to be part of the program. ArcelorMittal is now partnering with the University of Liberia, local NGOs such as RICCE/ARS and local independent researchers on implementing the BCP.

This shift in strategy to partner with local organizations and interest groups is aligned with the Company's commitment to uplifting the local population by prioritizing working with local stakeholders and building Liberian capacity in environmental management while ensuring the high quality of ArcelorMittal's work.

Some of the projects ArcelorMittal continues working on through the BCP include: East Nimba Nature Reserve ("ENNR") supporting day to day conservation activities and research activities such as reforestation, biomonitoring, capacity building and training; conservation projects with communities neighboring the ENNR; continuation of various activities of conservation agriculture such as farmer schools, lowland farming, dry season vegetables and tree crops programs; and species specific research.

The impact of the Company’s steelmaking activities on biodiversity can be less apparent than mining, given that most steel operations are located in urban areas. Nonetheless, ArcelorMittal runs a range of programs aimed at protecting and enhancing ecosystems. For example, ArcelorMittal Tubarão celebrated 20 years of partnership in the TAMAR project, a Brazilian not for profit organization coordinated by the Chico Mendes Institute for Biodiversity Conservation. The project focuses on the conservation of marine life, particularly by protecting sea turtles from extinction on the Brazilian coastline, including a colony of turtles that call ArcelorMittal Tubarão home.

At Serra Azul, the area of environmental preservation is five times larger than the area destined for the extraction of iron ore. There are more than 1,000 hectares of Atlantic forest, which extend through the municipalities of Itatiaiuçu, Rio Manso, Mateus Leme and Formoso, in the North of Minas.

Another example is at ArcelorMittal USA which, prior to the sale (see "Introduction—Key transactions and events in 2020"), was a founding funder in a new, National Fish and Wildlife Foundation ("NFWF") public-private partnership created in 2018 to support community and habitat resilience in Southeast Michigan. Work supported by the fund improves resilience in the face of intensifying environmental stressors related to development, climate, invasive species, non-point source pollution and other factors. Since 2018, the Southeast Michigan Resilience Fund has awarded 13 grants totaling $2.9 million. Together, these projects are: adding 3.75 million gallons of stormwater storage, restoring and enhancing over 830 acres of wildlife habitat, improving and creating 16 acres of

neighborhood green space and adding 20 new public access points.

Responsible water use

Water is a vital resource to the Company and its stakeholders, and ArcelorMittal aims to be responsible both in the amount of water it consumes, and in the quality of the water discharged by its sites into the environment. Its work in the area is aligned to the UN's SDG 6 (Clean water and sanitation), with particular reference to the target 6.3 on water recycling, target 6.4 on water efficiency, and target 6.5 on water management.

The Company's net water use in steelmaking, defined as the difference between the water it withdraws and the water discharged, is measured, monitored and managed at each site by a dedicated team. In general, steel plants treat and recycle the same intake of water repeatedly, losing water only through evaporation. Water withdrawn from groundwater sources makes up less than 1% of the Company's water intake. Water treatment facilities play a vital role in managing the Company’s emissions to water, and in improving the water efficiency of its operations.

Unlike reducing carbon emissions, which is a global challenge, water use is a more localized issue. Where freshwater is scarce, or when there is a drought, the Company works with local municipal and water authorities to explore the best sources for water, including seawater, rainwater and wastewater from water treatment plants. When issues occur, ArcelorMittal aims to act swiftly and cooperatively with local authorities.

In August 2019, ArcelorMittal Burns Harbor experienced a failure at the pump station for the blast furnace process water recycle system, which is believed to have contributed to the reported excess of Ammonia-N and cyanide at two outfalls and impacted aquatic wildlife near those outfalls. ArcelorMittal Burns Harbor continued to daily sample for cyanide and ammonia and other regulated pollutants prior to the sale see ("Introduction—Key transactions and events in 2020"). The results are provided to the state regulatory authority responsible for water issues. The Company believes the circumstances leading up to the station failure were unique and it worked with regulatory authorities to address issues related to the incident. Significant measures to prevent recurrence of the failure were implemented.

ArcelorMittal Burns Harbor had two permits which imposed monitoring requirements and established certain limits for pollutants regulated under those permits. Any violations of permit requirements are reported to the state water authority. While any instance of non-compliance is concerning, the Company does not believe that the reported noncompliance with the permit requirements reflected systemic issues. Any instances of non-compliance are investigated, and appropriate actions are taken in response.

The Company’s application of new water technologies is responsive to local conditions. For example, at Tubarão Brazil, the Company is constructing an award-winning seawater desalination plant with the aim to increase water security and ensure stability of operations. This innovative $17 million project will collect seawater and transform it into industrial water using the reverse osmosis process. With an initial capacity to produce 12,000 m3/day, and with the potential for subsequent expansion, the plant will provide ArcelorMittal's steelmaking in Tubarão with this guaranteed water source for the future, reducing the use of water resources shared with society. And to further enhance the sustainability and circularity of the project, the energy consumed in the desalination process will be produced by the Tubarão site.

Recognizing the importance of water within ArcelorMittal's business and the surrounding communities, the Company has continued its leadership role in Sustain Our Great Lakes ("SOGL") in 2020, a public-private partnership with the NFWF, U.S. EPA, U.S. Fish and Wildlife Service, U.S.D.A. Forest Service, the National Oceanic and Atmospheric Administration, and U.S.D.A. Natural Resources Conservation Service. SOGL’s mission is to restore and protect fish, wildlife and habitat throughout the basin by leveraging funding, building conservation capacity and focusing partners and their resources on key ecological issues. Since 2006, the program has resulted in a total conservation investment of more than $189 million in the region. These investments have supported the restoration of:

•2,145 stream miles of aquatic connectivity,

•281 miles of stream and riparian habitat,

•228 million gallons of stormwater storage and

•42,878 acres of wetland and associated upland habitat.

ArcelorMittal and its partners have built upon the success of SOGL with the Chi-Cal Rivers Fund. Also a public-private partnership administered by NFWF, the Fund restores the health, vitality and accessibility of the waterways in the Chicago and Calumet region by supporting green stormwater infrastructure, habitat enhancement and public use improvements. Since 2013, the Chi-Cal Rivers Fund has awarded 41 grants totaling $8.3 million, which when combined with $20.2 million in grantee match, has resulted in a total conservation investment of more than $28.5 million in the region. These investments have resulted in:

•5.7 million gallons of additional stormwater storage capacity;

•92 acres of new public park space added or improved; and

•2,900 acres of riparian, wetland and upland habitat enhanced.

The Company seeks to improve water use and the quality of effluent discharge at its mine sites and conducts regular water quality monitoring as standard at all operations. Run-off from the Company's mining operations is treated either chemically or through sediment control dams and tested before being released into surface water bodies or reused elsewhere at the mine.

Where possible, water is reused for processing, for example, as part of the cooling process during pellet production. At AMMC, a multi-year holistic water management project aimed at controlling the surface effluents on the waste rock piles and to achieve compliance with federal regulations is ongoing. This consists of the construction of collector ditches on the perimeter of the waste rock piles and the installation of temporary and permanent water treatment units in Mont Wright and Fire-Lake.

ArcelorMittal Brazil has one of the highest rates of water recirculation amongst Brazilian steelmakers, of approximately 98%. ArcelorMittal João Monlevade, in partnership with the João Monlevade City Hall and the Minas Gerais State University ("UEMG"), installed ecobarriers on the Piracicaba River to retain solid waste from the river, facilitate cleaning and reduce water resource pollution. The collection of the residues will be done weekly and directed to the Association of Cleaning Workers and Recyclable Materials, which will be responsible for the destination of the materials.

Between 2015 and 2017, ArcelorMittal Mineração Serra Azul managed to reduce water consumption by more than 50%, from efficiencies in both mining and processing. The management of water resources at the ArcelorMittal Mineração Serra Azul plant offers high rates of water recirculation in the processing of iron ore. The index (representing the percentage of reused water, that is, water from the production process itself, which was treated by the Company and used again for processing, versus the amount of new water; the higher the percentage the less use of new water) was 87.69% and 82.97% in 2020 and 2019, respectively.

By-products and waste

The Company aims to maximize use of by-products in its own processes with the ambition to eliminate all unnecessary landfilling of residues.

Slag, the main by-product, can be blended in cement, where it reduces CO2 emissions as described below. Cement is in great demand around the world, but its production accounts for over 8% of global carbon emissions. The Company is selling 10-15 million tonnes of blast furnace slag as cement each year, thus saving 8-11 million tonnes of CO2 emissions.

The Company’s partnership with Ecocem is one example of the initiatives being pursued globally to market its blast furnace slag for reuse.

Ecocem's innovative process offers a superior quality, low-carbon alternative by using blast furnace slag, a by-product from steelmaking, to create Ground-Granulated Blast Furnance Slag ("GGBS"). GGBS is a prime example of the circular economy in action. Its declared carbon footprint is only a fraction of traditional cement and, as a construction material, it offers significant technical and architectural advantages such as strength and longevity. And by reusing a steelmaking by-product, it reduces waste, saves energy and emissions, and eliminates the disruption caused to ecosystems by the extraction of fresh raw materials.

By-product is also used as ballast for offshore wind turbines and in road-making, as a fertilizer (it is rich in phosphate, silicate, magnesium, lime, manganese and iron), and in coastal marine blocks that facilitate coral growth. Other by-products include dust and sludge, which are rich in iron and recycled back through the process.

Management Theme #5: Social

ArcelorMittal wants communities to recognize it as a good neighbor, that actively engages with local stakeholders to make a positive contribution in terms of creating economic and social value through employment, procurement, taxation and sustainable development initiatives and through strong risk management and respect for human rights. To do this, the Company understands it must take a partnership approach, listening to the concerns of stakeholders at the site, country and segment levels, to give them the confidence that ArcelorMittal will address the impacts it has on them and their environment.

ArcelorMittal wants to be a pro-active partner in local socio-economic development; one which is trusted to have an open dialogue and find constructive solutions when challenges arise. This approach is an essential part of the Company’s integrated approach to managing risks and impacts, and thus maintaining the Company’s social license to operate.

Direct management of community issues, monitoring of local risks and opportunities and how these are being addressed is led by local operations. In 2019, community dashboards were established with the ARCGS Committee to oversee the significance of a site’s risks and opportunities.

The aim is to use the dashboards to improve performance at sites identified as being at risk, in particular those considered to be high risk. For all sites that are considered ‘high risk’, a deeper dive is performed by the corporate responsibility team, to understand the underlying factors behind the site’s situation. This root cause analysis is used to identify trends and patterns

in the factors behind poor community relations. A similar but less in-depth approach is taken with 'medium risk' sites.

The Company is leading the steel industry’s first global certification standard, ResponsibleSteel, and IRMA for its mining operations, to provide stakeholders with reassurance on sustainability throughout the steel value chain and inform them about the credibility and rigor that has gone into auditing our social and environmental performance at our steel plants and mines. See "Management Theme #3: Customer reassurance" above and "Sustainable Development Governance below".

Responding to the COVID-19 pandemic

Like many in the private sector, the Company has been attempting to harness skills and resources in a useful and collaborative way to help address the challenges presented by COVID-19 and provide social and humanitarian support during this time.

The Company has been collaborating to address the severe lack of the required safety and medical equipment, including face masks and ventilators. Its businesses across the world have collectively donated to various initiatives, including financial donations to healthcare facilities in communities where the Company operates. Where excess capacity existed, the Company was offering space to medical facilities to host additional wards.

For example, ArcelorMittal’s Global R&D New Frontier center responded to the COVID-19 pandemic by focusing on making use of internal know-how and technology to support regional hospitals, healthcare centers and employees. From March to September, 14,540 face shield masks (of which, half were 3D printed) were delivered to ArcelorMittal sites and were donated regionally. ArcelorMittal R&D teams also designed and produced two models of ventilators. Both models obtained the technical approval of the Spanish Drug Agency and Ethical Committee for entering clinical research with COVID-19 patients. Moreover, the R&D team in Asturias, Spain produced and delivered 27 ventilators to Liberia, Brazil and the Dominican Republic.

ArcelorMittal Brazil made a number of contributions to support society as part of its response to the pandemic. In addition to community-based initiatives, it joined the government, class entities and other companies to be part of extensive, collaborative networks to help fight the virus. It contributed over $3.5 million (BRL 18 million) to initiatives across the country. These included a contribution of over $750,000 (BRL 4 million) to the Margarida Hospital in João Monlevade (MG); the repair of mechanical ventilators in partnership with Senai and other large industries; construction of a laboratory in Belo Horizonte to carry out COVID-19 tests; the donation of hygiene materials and hospital supplies in the states of Espírito Santo, Minas Gerais

and Santa Catarina; support in the manufacturing of 150,000 masks for health professionals from Espírito Santo, and 50,000 face shield masks for hospitals in Minas Gerais; the purchase of PCR and rapid tests for the identification of COVID-19 cases; and it launched a fundraising campaign targeted at its employees and family members to donate resources to social entities that serve the community. ArcelorMittal Brazil contributed by matching each donation made.

AMNS India, a joint venture between ArcelorMittal and Nippon Steel (see note 2.4.1 to the consolidated financial statements), collaborated with HMEL, a partnership between Hindustan Petroleum and Mittal Energy Investments, to provide a response package meant to strengthen India’s capacity to protect impacted communities. Both operations committed INR 100 Crores to Prime Minister’s Citizen Assistance and Relief in Emergency Situation Fund (PM-CARES), which provided countrywide relief. In addition, both operations contributed through the support of daily meals for over 5,000 individuals, as well as the provision of food kits to more than 30,000 individuals; increased the number of ambulance services available and prepared care centers near their production facilities; shared knowledge on preventive measures and provided sanitation kits and PPE in the communities in which they operate.

In CIS, the Company worked closely with authorities to contribute medical supplies and equipment. In Ukraine, the Company purchased personal protective equipment for the medical staff of Gorbachevskiy Khersonsk Regional Infectious Diseases Hospital, a facility central to the region ArcelorMittal Kryvyi Rih operates in. It also provided 12,000 protective masks to pharmacies in Kryvyi Rih and made its six ambulances, all fully equipped with personal protective equipment, available to safely transport people with suspected cases of COVID-19. It also purchased three ventilator units for medical facilities in Kryvyi Rih, converted its Kryvyi Rih sanatorium into an observational facility for people in quarantine, and ran online activities to keep children entertained when school is out. In Kazakhstan, the Company made two of its local health facilities available to house up to 450 people who needed to be quarantined. ArcelorMittal Temirtau assumed all expenses for the maintenance of those facilities and for catering for those quarantined there, as well as the doctors who monitored them. It also provided financial support for PCR testing in the Karaganda region, increasing the number of daily tests from 1,200 to 3,000.

In Liberia, the Company contributed urgent medical supplies to the value of $100,000 to Liberia’s Ministry of Health to support the government’s efforts to curb the spread of COVID-19. The Company also procured medical equipment for its own hospitals, which serve its employees and the communities in which it operates. ArcelorMittal has actively ensured that its response is coordinated with that of other stakeholders, with the

overarching goal of decreasing inefficiencies at a time where resources are in short supply and critical.

The Company has also catalyzed collaboration in Liberia and West Africa. When the World Health Organization officially declared COVID-19 a pandemic, ArcelorMittal set up the Liberia and West Africa Private Sector Coronavirus Platform (WAPSCON19), replicating the model created during the Ebola crisis, aiming to share and identify ideas and resources to assist vulnerable communities and business and help governments combat the crisis. The platform brought together interested stakeholders including the World Economic Forum (WEF) and other NGOs, government representatives and companies representing many industries active in the region, totaling 30-40 voices across West Africa. The diversity of players, covering sectors as wide-ranging as natural resources, banking, logistics and even management consultancy, demonstrated the power of collectives like this. The objective of the WAPSCON19 country group was to coordinate the efficient use of resources, be that financial, or in-kind by way of goods and services, to:

•Support communications and community outreach, by raising awareness among the general population of how to recognize COVID-19 symptoms and prevent the spread of the disease, as well as debunking false remedies.

•Help measure the spread of the disease by scaling up testing capacity in local communities and work to minimize under or misdiagnosis of COVID-19 cases, thereby curtailing its spread. Through enhanced data collection and analysis, the private sector can support effective decision making on managing the disease.

•Seek to better manage movement within and between countries to minimize disease transmission over wide areas by localizing testing efforts, while mitigating supply issues arising from border closures by leveraging trusted private sector supply chains to centralize purchasing of goods such as testing kits, life support equipment and personal protective equipment. For instance, ArcelorMittal Liberia worked on bringing in rapid diagnostic tests and was looking at how it can use its supply chains and technical expertise to boost local laboratory capacity, as well as offering up its distribution channels to deliver those tests across the country.

•Support the equitable distribution of medical supplies, including any vaccine.

•Help support economic recovery through continuity of business and employment, to prevent lockdown

measures turning a medical emergency into a humanitarian disaster.

•Seek to leverage any external support which may be available, such as aid from development agencies, including the package offered by USAID (U.S. Agency for International Development).

STEM

Alongside responding to communities’ needs and concerns, the Company’s community investment strategy focuses on developing skills in STEM (science, technology, engineering and mathematics). This reflects the important role scientists and engineers will play in building a sustainable future for society at large, for the steel industry and for the Company. The strategy is delivered in many ways: from providing teaching aids and technological support, through inviting students to steel plants, to the Company's long-term partnerships with leading academic organizations around the world.

For details about human resource related matters and building the workplace of tomorrow, which is part of Management Theme #5: Social, see "Management and employees—Employees".

Sustainable development governance

The Company’s commitment to integrity is enshrined in its code of business conduct and is supported by a comprehensive framework of policies in areas such as human rights, anti-corruption and insider dealing. These reflect the principles and concepts of the UN Global Compact, the OECD Guidelines on Multinational Enterprises and UN Sustainable Development Goal 16 ("Peace, justice and strong institutions"). See also “Management and employees—Corporate governance”.

Listening, learning, respect and transparency are key to the integrity of the Company’s leadership and governance, which helps ensure ArcelorMittal operates effectively and ethically in all parts of the world.

ArcelorMittal considers its relationships with its various stakeholders to be vital to its success. Conducted in the right way, these relationships help the Company know how best to respond to challenges, to anticipate future problems, and to earn trust.

ArcelorMittal’s operations in each country are encouraged to assess their stakeholders' expectations and concerns, in order to inform their approach to the 10 SD outcomes and 5 management themes. Working with customers, suppliers, unions and others can also contribute to UN SDG 17 (Partnership for the goals).

Fully integrating SD into the business is essential to reach the Company’s aim of achieving long-term value for its shareholders and other stakeholders, while maintaining a profitable market share. As discussed above, ArcelorMittal introduced a sustainable development framework including 10 SD outcomes in 2015 and the ARCGS oversees the Company's progress towards these outcomes, as well as the Company's overarching strategy towards SD according to the five management themes described above. The Company's approach to meeting its SD targets includes:

•Key Performance Indicators. A set of KPIs for every business segment to report against, overseen by the ARCGS;

•SD-focused Business Plans. An expectation that SD is integrated into each business segment plan, acting on the relevant SD issues material to its business;

•SD-focused Corporate Initiatives. Developing a ‘mine to metal’ chain of assurances measured against multi-stakeholder environmental and social standards, to provide customers, investors and stakeholders with reassurance on sustainability throughout the steel value chain and inform them about the credibility and rigor that has gone into auditing our social and environmental performance at our steel plants and mines. Corporate initiatives on SD for the benefit of the Group, which include, for example, accelerating progress towards low-carbon steelmaking; innovating steel solutions for a positive SD impact;

•SD-focused Reporting. A robust articulation of the Company’s approach and progress through clear narrative and transparent, third-party assured reporting. In 2020, the Company also continued to deepen its understanding of the relevant risks in its supply chain by strengthening its supply chain risk management and audit processes, focusing on its work to develop ResponsibleSteel™ (see “—Management Theme #3: Customer reassurance” above) at the steel sites and IRMA at the mining sites, both standards aimed at ensuring that both its own sites and its supply chain uphold international human rights, environmental and governance standards.

ArcelorMittal continues to work with external organizations on SD issues, and is a member of the Extractive Industries Transparency Initiative.

In Brazil, where transparency is of particular stakeholder concern, ArcelorMittal partners with the non-governmental organization Transparency International.

ArcelorMittal's human rights policy draws on the UN Universal Declaration of Human Rights, the International Bill of Human Rights, the core conventions of the International Labor

Organization and the UN Global Compact; it also aims to contribute to UN SDG 8 (Decent work and economic growth) focus on decent working conditions, including target 8.7 on modern slavery. The policy includes commitments to workers, local communities and business partners, and covers health and safety, labor rights and the rights of indigenous people. Employees working in relevant functions are required to undertake training in the Company’s policy every three years, and in 2020, 89.5% of the Company’s relevant workforce had completed up-to-date human rights training, down from 90.1% in 2019. Where appropriate, ArcelorMittal provides face-to-face training for employees on human rights. The Company also conducts wider ethical and integrity training: in 2020, 88.5% of ArcelorMittal's employees had completed up to date training in the Code of Business Conduct, and 96.0% had completed their Anti-Corruption training. Training compliance decreased slightly in 2020 due to the unusual working circumstances following the COVID-19 pandemic. The Company will focus on increasing training compliance in 2021.

Products

Information regarding segment sales by geographic area and sales by type of products can be found in note 3 to ArcelorMittal’s consolidated financial statements.

ArcelorMittal has a high degree of product diversification relative to other steel companies. Its plants manufacture a broad range of finished and semi-finished steel products with different specifications, including many complex and highly technical and sophisticated products that it sells to demanding customers for use in high-end applications.

ArcelorMittal’s principal steel products include:

•semi-finished flat products such as slabs;

•finished flat products such as plates, hot- and cold-rolled coils and sheets, hot-dipped and electro-galvanized coils and sheets, tinplate and color coated coils and sheets;

•semi-finished long products such as blooms and billets;

•finished long products such as bars, wire-rods, structural sections, rails, sheet piles and wire-products; and

•seamless and welded pipes and tubes.

ArcelorMittal’s main mining products include:

•iron ore lump, fines, concentrate, pellets and sinter feed; and

•coking and PCI coal.

Steel-making process

Historically, primary steel producers have been divided into “integrated” and “mini-mill” producers. Over the past few

decades, a third type of steel producer has emerged that combines the strengths of both the integrated and the mini-mill processes. These producers are referred to as “integrated mini-mill producers”.

Integrated steel-making

In integrated steel production, coal is converted to coke in a coke oven, and then combined in a blast furnace with iron ore and limestone to produce hot metal. This is then combined with scrap in a converter, which is mainly a basic oxygen or more seldom through a tandem furnace, to produce raw or liquid steel. Once produced, the liquid steel is metallurgically refined and then transported to a continuous caster for casting into a slab, bloom or billet or cast directly as ingots. The cast steel is then further shaped or rolled into its final form. Various finishing or coating processes may follow this casting and rolling. Recent modernization efforts by integrated steel producers have focused on cutting costs through eliminating unnecessary production steps, reducing manning levels through automation, and decreasing waste generation. Integrated mills are substantially dependent upon iron ore and coking coal which, due to supply and demand imbalances, shortening of contract durations and the linkage between contract prices and spot prices, have been characterized by price volatility in recent years.

Mini-mills

A mini-mill employs an electric arc furnace to directly melt scrap and/or scrap substitutes such as direct reduced iron, thus entirely replacing all of the steps up to and including the energy-intensive blast furnace. A mini-mill incorporates the melt shop, ladle metallurgical station, casting, and rolling into a unified continuous flow. Mini-mills are generally characterized by lower costs of production and higher productivity than integrated steel-makers. These attributes are due in part to the lower capital costs and lower operating costs resulting from the streamlined melting process and the more efficient plant layouts of mini-mills. The quality of steel produced by mini-mills is primarily limited by the quality of the metallic raw materials used in liquid steel-making, which in turn is affected by the limited availability of high-quality scrap or virgin ore-based metallics for use in the electric arc furnaces. Mini-mills are substantially dependent on scrap, which has been characterized by price volatility in recent years, and the cost of electricity.

Integrated mini-mills

Integrated mini-mills are mini-mills that produce their own metallic raw materials consisting of high-quality scrap substitutes, such as direct reduced iron. Unlike most mini-mills, integrated mini-mills are able to produce steel with the quality of an integrated producer, since scrap substitutes, such as direct reduced iron, are derived from virgin iron ore, which has fewer impurities. The internal production of scrap substitutes as the primary metallic feedstock provides integrated mini-mills with a

competitive advantage over traditional scrap-based mini-mills by insulating the integrated mini-mills from their dependence on scrap, which continues to be subject to price volatility. The internal production of metallic feedstock also enables integrated mini-mills to reduce handling and transportation costs. The high percentage use of scrap substitutes such as direct reduced iron also allows the integrated mini-mills to take advantage of periods of low scrap prices by procuring a wide variety of lower-cost scrap grades, which can be blended with the higher-purity direct reduced iron charge. Because the production of direct reduced iron involves the use of significant amounts of natural gas, integrated mini-mills are more sensitive to the price of natural gas than are mini-mills using scrap.

Key steel products

Steel-makers primarily produce two types of steel products: flat products and long products. Flat products, such as sheet or plate, are produced from slabs. Long products, such as bars, rods and structural shapes, are rolled from blooms and/or billets.

Flat products

Slab. A slab is a semi-finished steel product obtained by the continuous casting of steel or rolling ingots on a rolling mill and cutting them into various lengths. A slab has a rectangular cross-section and is used as a starting material in the production process of other flat products (e.g., hot-rolled sheet, plates). Slabs are typically between 200 and 250mm thick.

Hot-rolled sheet. Hot-rolled sheet is minimally processed steel that is used in the manufacture of various non-surface critical applications, such as automobile suspension arms, frames, wheels, and other unexposed parts in auto and truck bodies, agricultural equipment, construction products, machinery, tubing, pipe and guard rails. All flat-rolled steel sheet is initially hot-rolled, a process that consists of passing a cast slab through a multi-stand rolling mill to reduce its thickness to typically between 2 and 25 millimeters, depending on the final product. Flat-rolled steel sheet that has been wound is referred to as “coiled”. Alternatively, hot-rolled sheet can be produced using the thin slab casting and rolling process, where the hot-rolled sheet thickness produced can be less than one millimeter. This process is generally used in a flat products mini-mill, but some integrated examples exist as well.

Cold-rolled sheet. Cold-rolled sheet is hot-rolled sheet that has been further processed through a pickle line, which is an acid bath that removes scaling from steel’s surface, and then successively passed through a rolling mill without reheating until the desired gauge, or thickness, and other physical properties have been achieved. Cold-rolling reduces gauge and hardens the steel and, when further processed through an annealing furnace and a temper mill, improves uniformity, ductility and formability. Cold-rolling can also impart various surface finishes and textures. Cold-rolled steel is used in applications that

demand higher surface quality or finish, such as exposed automobile and appliance panels. As a result, the prices of cold-rolled sheet are higher than the prices of hot-rolled sheet. Typically, cold-rolled sheet is coated or painted prior to sale to an end-user.

Coated sheet. Coated sheet is generally cold-rolled steel that has been coated with zinc, aluminum or a combination thereof to render it corrosion-resistant and to improve its paintability. Hot-dipped galvanized, electro-galvanized and aluminized products are types of coated sheet. These are also the highest value-added sheet products because they require the greatest degree of processing and tend to have the strictest quality requirements. Coated sheet is used for many applications, often where exposed to the elements, such as automobile exteriors, major household appliances, roofing and siding, heating and air conditioning equipment, air ducts and switch boxes, as well as in certain packaging applications, such as food containers.

Plates. Plates are produced by hot-rolling either reheated slabs or ingots. The principal end uses for plates include various structural products such as for bridge construction, storage vessels, tanks, shipbuilding, line pipe, industrial machinery and equipment.

Tinplate. Tinplate is a light-gauge, cold-rolled, low-carbon steel usually coated with a micro-thin layer of tin. Tinplate is usually between 0.14 millimeters and 0.84 millimeters thick and offers particular advantages for packaging, such as strength, workability, corrosion resistance, weldability and ease in decoration. Food and general line steel containers are made from tinplate.

Electrical steels. There are three principal types of electrical steel: grain-oriented steels, non-grain oriented fully processed steels and non-grain oriented semi-processed steels. Grain-oriented steels are 3% silicon-iron alloys developed with a grain orientation to provide very low power loss and high permeability in the rolling direction, for high efficiency transformers. Non-grain oriented fully processed steels are iron-silicon alloys with varying silicon contents and have similar magnetic properties in all directions in the plane of the sheet. They are principally used for motors, generators, alternators, ballasts, small transformers and a variety of other electromagnetic applications. A wide range of products, including a newly developed thin gauge material for high frequency applications, are available. Non-grain oriented semi-processed steels are largely non-silicon alloys sold in the not finally annealed condition to enhance punchability. Low power loss and good permeability properties are developed after final annealing of the laminations. These materials are sold under the Newcor and Polycor trademarks.

Long products

Billets/Blooms. Billets and blooms are semi-finished steel products. Billets generally have square cross-sections up to 180 millimeters by 180 millimeters, and blooms generally have square or rectangular cross-sections greater than 180 millimeters by 180 millimeters. These products are either continuously cast or rolled from ingots and are used for further processing by rolling to produce finished products like bars, wire rod and sections.

Bars. Bars are long steel products that are rolled from billets. Merchant bar and reinforcing bar (rebar) are two common categories of bars. Merchant bars include rounds, flats, angles, squares, and channels that are used by fabricators to manufacture a wide variety of products such as furniture, stair railings, and farm equipment. Rebar is used to strengthen concrete in highways, bridges and buildings.

Special bar quality (“SBQ”) steel. SBQ steel is the highest quality steel long product and is typically used in safety-critical applications by manufacturers of engineered products. SBQ steel must meet specific applications’ needs for strength, toughness, fatigue life and other engineering parameters. SBQ steel is the only bar product that typically requires customer qualification and is generally sold under contract to long-term customers. End-markets are principally the automotive, heavy truck and agricultural sectors, and products made with SBQ steel include axles, crankshafts, transmission gears, bearings and seamless tubes.

Wire rods. Wire rod is ring-shaped coiled steel with diameters ranging from 5.5 to 42 millimeters. Wire rod is used in the automotive, construction, welding and engineering sectors.

Wire products. Wire products include a broad range of products produced by cold reducing wire rod through a series of dies to improve surface finish, dimensional accuracy and physical properties. Wire products are used in a variety of applications such as fasteners, springs, concrete wire, electrical conductors and structural cables.

Structural sections. Structural sections or shapes are the general terms for rolled flanged shapes with at least one dimension of their cross-section of 80 millimeters or greater. They are produced in a rolling mill from reheated blooms or billets. Structural sections include wide-flange beams, bearing piles, channels, angles and tees. They are used mainly in the construction industry and in many other structural applications.

Rails. Rails are hot-rolled from a reheated bloom. They are used mainly for railway rails but they also have many industrial applications, including rails for construction cranes.

Seamless tubes. Seamless tubes have outer dimensions of approximately 25 millimeters to 508 millimeters. They are produced by piercing solid steel cylinders in a forging operation

in which the metal is worked from both the inside and outside. The final product is a tube with uniform properties from the surface through the wall and from one end to the other.

Steel sheet piles. Steel sheet piles are hot rolled products used in civil engineering for permanent and temporary retaining structures. Main applications are the construction of quay walls, jetties, breakwaters, locks and dams, river reinforcement and channel embankments, as well as bridge abutments and underpasses. Temporary structures like river cofferdams are made with steel sheet piles. A special combination of H beams and steel sheet piles are sometimes used for the construction of large container terminals and similar port structures.

Welded pipes and tubes. Welded pipes and tubes are manufactured from steel sheet that is bent into a cylinder and welded either longitudinally or helically.

Mining products

ArcelorMittal’s principal mining products and raw material input items for steel operations include iron ore, solid fuels (coking coal and PCI coal), metallics, alloys, base metals, energy and industrial gases.

ArcelorMittal’s mining and raw materials supply strategy consists of:

•Acquiring and expanding production of certain raw materials, in particular iron ore, coal and manufacturing refractory products and developing diverse third-party customer relationships;

•Exploiting its global purchasing reach, pursuing the lowest unit price available based on the principles of total cost of ownership and value-in-use through aggregated purchasing, supply chain and consumption optimization; and

•Leveraging local and low cost advantages on a global scale.

Faced with more volatile raw materials prices in recent years, ArcelorMittal’s priority has been to optimize output and production from its existing sources focused mainly on iron ore and coking coal rather than to further expand its portfolio of mining assets. Iron ore and coking coal are its two most important inputs in the iron-making process.

ArcelorMittal is a party to contracts with other mining companies that provide long-term, stable sources of raw materials. The Company's largest iron ore supply contracts with Vale were renewed in 2017. ArcelorMittal's principal international iron ore suppliers include Vale in Brazil, Cleveland-Cliffs Inc. in the United States (prior to the sale of ArcelorMittal USA - see "—Key transactions and events in 2020"), Metinvest in Ukraine,

Metalloinvest in Russia, Luossavaara-Kirunavaara AB in Sweden, IOC (Rio Tinto Ltd.) and Baffinland iron mine (BIM) in Canada and Sishen in South Africa. ArcelorMittal’s principal coal suppliers include the BHP Billiton Mitsubishi Alliance (“BMA”), Rio Tinto, Anglo Coal, Glencore and Peabody in Australia, Contura and Warrior in the United States, Teck Coal in Canada and Vale in Mozambique.

ArcelorMittal believes that its portfolio of long-term supply contracts can play an important role in preventing disruptions in the production process. (see “Operating and financial review —Economic conditions—Raw materials”).

Iron ore

ArcelorMittal sources significant portions of its iron ore needs from its own captive mines in Kazakhstan, Ukraine, Bosnia, the United States (prior to the sale of ArcelorMittal USA), Mexico and Brazil and from its seaborne iron ore mines in Canada and Liberia. Several of ArcelorMittal’s steel plants also have in place off-take arrangements with mineral suppliers located near its production facilities.

For further information on iron ore production, see“Business overview—Competitive strengths.” For further information on each of ArcelorMittal’s principal iron ore mining operations, see “Properties and capital expenditures—Property, plant and equipment”.

Solid fuels

Coking coal

As with iron ore, ArcelorMittal sources a percentage of its coking coal from its own coal mines in Kazakhstan. The Company’s mines in Kazakhstan supply substantially all of its requirements for its steelmaking operations at ArcelorMittal Temirtau, while the mines in the United States (prior to the sale of ArcelorMittal Princeton) supplied other steel plants within the ArcelorMittal group together with external customers.

For further information on coking coal production, see “Business overview—Competitive strengths.”

Coke

ArcelorMittal has its own coke-making facilities at most of its integrated mill sites, including in Bosnia, the United States (prior to the sale of ArcelorMittal USA), Canada, Mexico, Brazil, Spain, France, Germany, Belgium, Poland, Kazakhstan, South Africa and Ukraine. While ArcelorMittal meets most of its own coke requirements, certain of ArcelorMittal’s operating subsidiaries buy coke from mostly domestic or regional sources to optimize cost savings from transport efficiencies, and certain of its subsidiaries sell, on occasion, excess coke at market prices to third parties. The remainder of the spot purchases of coke are

made from China and Colombia and the United States (prior to the sale of ArcelorMittal USA).

Other raw materials and energy

Metallics (scrap)

ArcelorMittal procures the majority of its scrap requirements locally and regionally, optimizing transport costs. Typically, scrap purchases are made in the spot market on a monthly/weekly basis or with short-term contracts.

Alloys

ArcelorMittal purchases its requirements of bulk and noble alloys from a number of global, regional and local suppliers on contracts that are linked to generally-accepted indices or negotiated on a quarterly basis.

Base metals

The majority of the Company’s base metal needs, including zinc, tin, aluminum and nickel are purchased under annual volume contracts. Pricing is based on the market-accepted indices. Material is sourced from both local and global producers.

Electricity

ArcelorMittal generally procures its electricity through tariff-based systems in regulated areas such as parts of the United States and South Africa, through direct access to markets in most of its European mills or through bilateral contracts elsewhere. The duration of these contracts varies significantly depending on the area and type of arrangement.

For integrated steel mills, plant off-gases from various process steps are utilized to generate a significant portion of the plant’s electricity requirements and lower the purchase volumes from the grid. This is either produced by the plant itself or with a partner in the form of a co-generation contract.

Natural gas

ArcelorMittal procures much of its natural gas requirements for its Canadian and Mexican operations (and prior to the ArcelorMittal USA Transaction, its US operations) from the natural gas spot market or through short-term contracts entered into with local suppliers, with prices fixed either by contract or tariff-based spot market prices. For its European and Ukrainian operations, with a contractual mix of “all-in” bilateral supply and direct access to the market, ArcelorMittal sources its natural gas requirements under the prevailing mix of oil-based pricing systems and European short term/spot-indexed supply contracts. The remainder of ArcelorMittal’s natural gas consumption represents approximately 20% of ArcelorMittal’s total consumption and is generally sourced from regulated markets.

Industrial gases

Most of ArcelorMittal’s industrial gas requirements are produced and supplied under long-term contracts with various suppliers in different geographical regions.

Shipping

ArcelorMittal Shipping ("AM Shipping") provides ocean transportation solutions to ArcelorMittal’s manufacturing subsidiaries and affiliates. AM Shipping determines cost-efficient and timely approaches for the transport of raw materials, such as iron ore, coal, coke and scrap, and semi-finished and finished products. AM Shipping is also responsible for providing shipping services to the Company’s sales organizations. It provides complete logistics solutions from plants to customer locations using various modes of transport.

In 2020, AM Shipping arranged transportation for approximately 54.90 million tonnes of raw materials and about 9.97 million tonnes of finished products. The key objectives of AM Shipping are to ensure cost-effective and timely shipping services to all units. AM Shipping acts as the coordinator for the Company's joint venture with DryLog, a Monaco based Shipping Company.

Purchasing

ArcelorMittal has implemented a global procurement process for its major procurement requirements, including raw materials, capital expenditure items, energy and shipping. ArcelorMittal’s centralized procurement teams also provide services such as optimization of contracts and the supply base, logistics and optimizing different qualities of materials suitable for different plants and low cost sourcing.

By engaging in these processes, ArcelorMittal seeks to benefit from economies of scale in a number of ways, including by establishing long-term relationships with suppliers that sometimes allow for advantageous input pricing, pooling its knowledge of the market fundamentals and drivers for inputs and deploying specialized technical knowledge. This enables ArcelorMittal to achieve a balanced supply portfolio in terms of diversification of sourcing risk in conjunction with the ability to benefit from a number of its own raw materials sources.

ArcelorMittal has institutionalized the “total cost of ownership” methodology as its way of conducting its procurement activities across the Group. This methodology focuses on the total cost of ownership for decision making, with the goal of lowering the total cost of production through minimization of waste, improved input material recovery rates and higher rates of recycling.

Sales and marketing

In 2020, ArcelorMittal sold 69.1 million tonnes of steel products.

Sales

The majority of steel sales from ArcelorMittal are destined for domestic markets. For these domestic markets, sales are usually approached as a decentralized activity that is managed either at the business unit or at the production unit level. For certain specific markets, such as automotive, there is a global approach offering similar products manufactured in different production units around the world. In instances where production facilities are in relatively close proximity to one another, and where the market requirements are similar, the sales function is aggregated to serve a number of production units. In the EU region and in South America, ArcelorMittal owns a large number of service and distribution centers. Depending on the level of complexity of the product, or the level of service required by the customer, the service center operations form an integral part of the supply chain to ArcelorMittal’s customers. Distribution centers provide access to ArcelorMittal’s products to smaller customers that cannot or do not want to buy directly from the operating facility.

The Group prefers to sell exports through its international network of sales agencies to ensure that all ArcelorMittal products are presented to the market in a cost-efficient and coordinated manner.

Sales are executed at the local level, but are conducted in accordance with the Group’s sales and marketing and code of conduct policies.

For some global industries with customers in more than one of the geographical areas that ArcelorMittal serves, the Company has established customized sales and service functions. This is particularly the case for the automotive industry. Sales through this channel are coordinated at the Group level with respect to contract, price and payment conditions.

Marketing

Marketing follows the sales activity very closely and is by preference executed at the local level. In practice, this leads to a focus on regional marketing competencies, particularly where there are similarities among regional markets in close geographical proximity. Local marketing provides guidance to sales on forecasting and pricing. At the global level, the objective is to share marketing intelligence with a view towards identifying new opportunities, either in new products or applications, new product requirements or new geographical demand. Where a new product application is involved, the in-house research and development unit of ArcelorMittal is involved in developing the appropriate products.

An important part of the marketing function at ArcelorMittal is to develop short-range outlooks that provide future perspectives on the state of market demand and supply. These outlooks are shared with the sales team in the process of finalizing the sales

strategy for the immediate future and with senior management when market conditions call for production adjustments.

Globally, sales and marketing activities are coordinated to ensure a harmonized approach to the market. The objective is to provide similar service experiences to all customers of ArcelorMittal in each market.

Insurance

ArcelorMittal maintains insurance policies to cover physical loss or damage to its property and equipment on a reinstatement basis arising from a number of specified risks, including certain natural disasters, such as earthquakes, floods or windstorms, acts of terrorism and certain consequential losses, including business interruption arising from the occurrence of an insured event under the said policies.

ArcelorMittal also purchases worldwide third-party public and product liability insurance coverage for all of its subsidiaries.

Various other types of insurance are also maintained, such as comprehensive construction and contractor insurance for its greenfield and major capital expenditures projects, directors and officers liability, transport, and charterers’ liability, as well as other customary policies such as car insurance, travel assistance and medical insurance.

Each of the operating subsidiaries of ArcelorMittal maintains various local insurance policies that are mandatory at the local level, such as employer liability, workers compensation and auto liability, as well as specific insurance such as public liability to comply with local regulations.

In addition, ArcelorMittal maintains trade credit insurance on receivables from selected customers, subject to limits that it believes are consistent with those in the industry, in order to protect it against the risk of non-payment due to customers’ insolvency or other causes. Not all of ArcelorMittal’s customers are or can be insured, and even when insurance is available, it may not fully cover the exposure.

ArcelorMittal believes that its insurance coverage is in line with industry practice and sufficient to cover normal risks in its operations. Notwithstanding the insurance coverage that ArcelorMittal and its subsidiaries carry, the occurrence of an event that causes losses in excess of limits specified under the relevant policy, or losses arising from events not covered by insurance policies, could materially harm ArcelorMittal’s financial condition and future operating results.

Intellectual property

ArcelorMittal owns and maintains a patent portfolio covering processes and steel products, including uses and applications that it creates, develops and implements in territories throughout

the world. Such patents and inventions primarily relate to steel solutions with new or enhanced properties, as well as new technologies that generate greater cost-efficiencies.

ArcelorMittal also owns trademarks, both registered and unregistered, relating to the names and logos of its companies and the brands of its products. ArcelorMittal has policies and systems in place to monitor and protect the confidentiality of its know-how and proprietary information. The Company applies a general policy for patenting selected new inventions, and its committees organize an annual patent portfolio screening by individuals from the Company’s R&D and business sectors in order to optimize the global efficiency of the Company’s patent portfolio. The Company’s patent portfolio includes more than 9,500 patents and patent applications, mostly recent and medium term, for more than 706 patent families, with 79 inventions newly-protected in 2020. Because of this constant innovation, the Company does not expect the lapse of patents that protect older technology to materially affect current revenue.

In addition to its patent portfolio, ArcelorMittal is constantly developing technical know-how and other unpatented proprietary information related to design, production process, and use of high quality steel products, leading to development of new applications or to improvement of steel solutions proposed to its customers, such as the ones aiming at weight reduction for vehicles. ArcelorMittal has also been granted licenses for technologies developed by third parties in order to allow it to propose comprehensive steel solutions to its customers. ArcelorMittal is not aware of any pending lawsuits alleging infringement on others’ intellectual property rights that could materially harm its business.

Government regulations

ArcelorMittal’s operations are subject to various regulatory regimes in the regions in which it conducts its operations. The following is an overview of the principal features of the Company's regulatory regimes, as of December 31, 2020, that affect or are likely to affect the Company's operations.

See “Risk factors” and note 9.3 to ArcelorMittal’s consolidated financial statements.

Environmental laws and regulations

ArcelorMittal’s operations are subject to a broad range of laws, directives and regulations relating to air emissions, surface and groundwater protection, wastewater storage, treatment and discharges, the use and handling of hazardous or toxic materials, waste management, recycling, treatment and disposal practices, the remediation of environmental contamination, the protection of soil, biodiversity and ecosystems or rehabilitation (including in mining). As these laws and regulations in the EU and other jurisdictions continue to become more stringent,

ArcelorMittal expects to expend substantial resources including operating and capital expenditures to achieve or maintain ongoing compliance. Further details regarding specific environmental proceedings involving ArcelorMittal, including provisions to cover environmental remedial activities and liabilities, decommissioning and asset retirement obligations are described in notes 9.1 and 9.3 to ArcelorMittal’s consolidated financial statements.

ArcelorMittal anticipates that its expenditures with respect to environmental matters in the EU over the next several years will relate primarily to installations of additional air emission controls, to requirements imposed in the course of renewal of permits and authorizations, including those pursuant to ongoing implementation of Directive 2010/75/EU of November 24, 2010 on Industrial Emissions, respecting achievement of NOx and SO2 limits when using liquid and gaseous fuels (including iron and steel process gases) in boilers, gas engines and gas turbines, and to address GHG issues, including the reduction of emissions and purchase of allowances.

In relation to ArcelorMittal Italia, certain environmental obligations (decontamination and environmental capital expenditures) regarding the Taranto plant of the previous owners have been transferred to ArcelorMittal Italia, which operates the Taranto plant as lessee and, as such, is required to implement an “environmental plan”. This will require significant capital investments by ArcelorMittal Italia, which to such end would also rely on the support of its shareholders, which upon closing of the investment agreement may be in the form of, among other things, funds coming from Invitalia’s investment, see note 9.4 to the consolidated financial statements for further information. Significant issues that need to be addressed include reduction of diffuse dust emissions (from storage yards) and channeled emissions (such as sinter primary de-dusting system and coke plant de-dusting systems), the treatment of process waste waters and implementation of rain water collection, separation and treatment. Following the Amendment Agreement, ArcelorMittal Italia continues to be subject to these obligations and will submit a request to amend the environmental plan to reflect the contents of the new industrial plan, with the approval of such amendment a condition precedent to the closing under the Ilva Agreement.

Environmental requirements impacting industrial operations also are becoming more stringent in other jurisdictions. For example, in Canada, ArcelorMittal has incurred considerable investments for emissions reductions required by the national regulation addressing Criteria Air Contaminants, which covers steel sector, emissions of NOX, SO2, VOCs and fugitive particulates, and further investments will be needed including installation of full coke oven gas desulphurization at ArcelorMittal Dofasco by December 31, 2025. Provincial regulations in Ontario and Quebec also will be requiring further emissions reductions of

SO2, particulates and other pollutants. Permits for water discharges in Canada are becoming more stringent and it is possible that ArcelorMittal Dofasco may be required to treat for ammonia discharge from its Primary Water Treatment Plant to the Hamilton Harbor. In Kazakhstan, beginning in 2025, complex ecological permits for emissions into the environment will impose more stringent emissions standards and also outline measures for reducing emissions (production improvements). In South Africa, the National Environmental Management: Air Quality Act, 39 of 2004 (“NEM:AQA”) introduced strict air emission standards introduced impacting ArcelorMittal’s coke making and other operations.

ArcelorMittal’s mining activities also are subject to increasingly stringent environmental and safety requirements. For example, in Brazil, the state of Minas Gerais has issued decrees and resolutions requiring extraordinary audits of tailings dams, generating increased costs for compliance and a number of surveillance visits from federal and state agencies (environment, geology and police departments). Furthermore, the Brumadinho accident has triggered new environmental rules for mining activities with increased restrictions on waste management and tailings dams, including an August 2019 resolution from the National Mining Agency that establishes regulatory measures to ensure the stability of mining dams, and that requires the Serra Azul mine to complete the works of the existing dam stabilization system or the construction of a new downstream containment structure by September 15, 2021, and to complete the de-characterization of the dam by September 15, 2022. In Québec Canada, renewed depollution permits that will apply to AMMC and ArcelorMittal Long Products Canada are under negotiation and are expected to establish more stringent targets for water, air, soil and waste management, as well as the monitoring and reporting frequencies and requirements, including implementation of a storm water treatment system at the AMMC pellet plant and assessment of former EAF dust stock pile site restoration and former slag management areas at ArcelorMittal Long Products Canada. Other required investments include a water management multi-year project aimed at controlling the surface effluents on the waste rock piles and achieving compliance with the applicable federal regulation on the metal and diamond mines effluent regulations and implantation of a decree issued in August 2018 for the tailings expansion consisting of construction of a water containment basin (B+ basin) and the new tailings impoundments and more restrictive environmental goals at the final mine effluent for total suspended solids, metals and nitrates.

It is difficult to fully assess the extent to which additional operating or capital expenditures will be required to comply with pending or recently-enacted amendments to environmental laws, directives and regulations or what effect they will have on the Company’s business, financial results or cash flow from

operations. In 2020, ArcelorMittal approved 32 multi-year projects with identified environmental benefits and expected capital expenditures of $396 million and 20 multi-year projects with the identified energy benefits and expected capital expenditures of $248 million. See also further information on key environmental projects in "—Sustainable development" and "—Capital expenditure projects".

Industrial emissions regulation: climate change

In December 2015, 195 countries participating in the United Nations Framework Convention on Climate Change (“UNFCC”), at its COP21 held in Paris, adopted a global agreement on the reduction of climate change (the “Paris Agreement”). The Paris Agreement sets a goal to limit the increase in global average temperature to well below 2 degrees Celsius and pursues efforts to limit the increase to 1.5 degrees Celsius, to be achieved by getting global GHG emissions to peak as soon as possible. The Paris Agreement consists of two elements: a legally binding commitment by each participating country to set an emissions reduction target, referred to as “nationally determined contributions” or “NDCs”, with a review of the NDCs that could lead to updates and enhancements every five years beginning in 2023 (Article 4) and a transparency commitment requiring participating countries to disclose in full their progress (Article 13). The majority of countries have issued their intended NDCs.

ArcelorMittal’s activities in the 27 member states of the EU are subject to the EU Emissions Trading Scheme (“EU-ETS”), which was launched in 2005 pursuant to European Directive 2003/87/EC, relating to GHG emissions. The EU-ETS is based on a cap and trade principle, setting a cap on GHG emissions from covered installations that is then reduced over time. Within this cap, companies receive emission allowances which they can sell to or buy from one another as needed. The limit on the total number of allowances available ensures that they have a value. The Commission implemented the current Phase 3 of the EU-ETS, which ran through 2020, in a manner that increased costs for the Group to obtain sufficient emission allowances for its European operations depending on steel production levels and the market price of emission allowances. The EU is implementing its more stringent Phase 4 EU-ETS for the 2021 to 2030 period in a manner that may require ArcelorMittal to incur additional costs to acquire emissions allowances. In particular, further implementation rules are expected to reduce current benchmark and free allocation levels could result in an increase of marginal production costs by approximately €40 per tonne (assuming a price of €25/tCO2) , which would put the European steel industry at a significant disadvantage versus global competition (see notes 6.3 and 9.1 to the consolidated financial statements). The EU also is implementing a revised Renewable Energy Directive, along with revised renewable energy targets for 2030, to support Europe's commitment to complete clean energy transition and meet the goals set by the Paris

Agreement. In December 2019, the Commission presented the Communication on The European Green Deal announcing several upcoming legislative proposals for the EU 2050 climate neutrality objective and to increase the EU 2030 GHG emissions reduction target, which on December 11, 2020 the Commission announced it was setting at 55% (increased from the earlier 50%) compared to 1990 levels. On September 17, 2020 the Commission presented the communication on stepping up Europe’s 2030 ambition and the proposal for regulations establishing the framework for achieving climate change neutrality, indicating the ambition to reach a 55% reduction of GHG in 2030 compared to 1990 levels. To achieve this, the EU is revising its relevant climate-related policy instruments with proposals to be presented by June 2021.

GHG emissions regulations are being implemented in an increasing number of other jurisdictions where ArcelorMittal operates. For example, in South Africa, legislation to tax carbon dioxide emissions was adopted and came into effect in 2019. In Kazakhstan, where the Emission Trading Scheme restarted operation on January 1, 2018 with new trading procedures and allocation methods supported by an online platform for monitoring, reporting and verifying emission sources and greenhouse gases. In the United Kingdom, ArcelorMittal’s activities are subject to the Carbon Reduction Energy Efficiency Scheme. In Canada, Ontario operations are currently subject to output based pricing system regulations until a new emissions performance standard which has been accepted is transitioned which is expected to be effective January 1, 2022 or retroactively to January 1. 2021. A cap and trade program is in effect in Quebec with a second more stringent compliance period becoming effective in 2021, a federal backstop program consisting of a fossil fuel levy and an emissions based pricing system applies in provinces without approved GHG regulations, and clean fuel standards are to come into effect in 2022 and 2023. In Mexico and Brazil, new regulatory initiatives are being discussed by the different government authorities. Ukraine has approved the concept of implementing a state policy in the sphere of climate change for the period until 2030 that will create and implement an internal trading system for greenhouse gas emission quotas.

ArcelorMittal is closely monitoring local, national and international negotiations, regulatory and legislative developments and is endeavoring to reduce its own emissions where appropriate.

Health and safety laws and regulations

ArcelorMittal’s operations are subject to a broad range of laws and regulations relating to the protection of human health and safety. As these laws and regulations in the United States, the EU and other jurisdictions continue to become more stringent, ArcelorMittal expects to expend substantial amounts to achieve or maintain compliance. See “Risk factors—Legal and

regulatory risks—ArcelorMittal is subject to strict environmental, health and safety laws and regulations that could give rise to a significant increase in costs and liabilities.” ArcelorMittal has established health and safety guidelines requiring each of its business units and sites to comply with all applicable laws and regulations. Compliance with such laws and regulations and monitoring changes to them are addressed primarily at the business unit level. ArcelorMittal has a clear and strong health and safety policy, aimed at reducing on a continuing basis the severity and frequency of accidents; through its Health & Safety Council and Management Committee, the Company reinforces the penetration of the safety culture in the Company. The effective policy outlines the commitment ArcelorMittal has made to the health and safety of all employees and reinforces the accountability of the local management and encourages the continuous improvement in health and safety performance at unit level, which permits the Health & Safety Council and Management Committee to define and track performance targets and monitor results from every business unit and sites. See "Business overview—Sustainable development—Management Theme #1: Health and safety" for further information.

Foreign trade

ArcelorMittal has manufacturing operations in many countries and sells its products worldwide. In 2020, certain countries and communities, such as Canada, the European Union, Egypt, India, Mexico, Philippines, South Africa, Thailand, Turkey, and the United States of America continued or launched investigations into whether to impose/continue imposing trade remedies (usually anti-dumping or safeguard measures) against injury, or the threat thereof, caused by increasing steel imports originating from various steel producing countries.

Under both international agreements and the domestic trade laws of most countries, trade remedies are available to domestic industries where imports are “dumped” or “subsidized” and such imports cause injury, or a threat thereof, to a domestic industry. Although there are differences in how trade remedies are assessed, such laws have common features established in accordance with World Trade Organization (“WTO”) standards. Dumping involves exporting a product at a price lower than that at which the same or similar product is sold in the home market of the exporter, or where the export prices are lower than a value that typically must be at or above the full cost of production (including sales and marketing costs) plus a reasonable amount for profit. Subsidies from governments (including, among others, grants and loans at artificially low interest rates) are similarly actionable under certain circumstances. The trade remedies available are typically (i) an antidumping duty order where injurious dumping is found and (ii) a countervailing duty order or suspension agreement where injurious subsidization is found. Normally, the duty is equal to

the amount of dumping or subsidization that is generally imposed on the imported product (other than in the European Union where the lesser duty rule is applied). Accordingly, such orders and suspension agreements do not prevent the importation of a product, but rather require that either the product be priced at a non-dumped level or without the benefit of subsidies, or that the importer pay the difference between such dumped or subsidized price and the actual price to the government as a duty.

Safeguard measures are addressed more generally to a particular product, irrespective of its country of origin, to protect domestic production against serious injury caused by unforeseen, sharp and sudden increase of imports.

All WTO members are required to review antidumping duty and countervailing duty orders every five years to determine if they should be maintained, revised or revoked. This requires a review of whether the dumping or subsidization is likely to continue or recur if the order/suspension agreement is revoked and whether a domestic industry in the country is likely to suffer the continuation or recurrence of the injury within the reasonably foreseeable future if the orders are revoked. If the government finds dumping or subsidization and the injury is likely to continue or recur, then the orders continue. In the case of safeguard measures enduring for greater than three years, all WTO members are required to review the imposed measures in the mid-term of the relevant measure. After a review, safeguard measures may be extended if they continue to be required, but the total period for the application of safeguard measures may not exceed eight years.

Final affirmative determinations were reached in anti-circumvention petitions filed in September 2016 by U.S. industry related to cold rolled coil and corrosion resistant steel from China (via Vietnam) and affirmative preliminary decisions have been reached in similar petitions filed by U.S. industry in June 2018 related to cold rolled coil and corrosion resistant steel imports from Korea and Taiwan (through Vietnam), with duties applied based on the exporters’ certification of the source of the substrate. Similarly, the European Commission started a circumvention investigation in July 2019, concerning the EU anti-dumping measures on imports of cold rolled steel from China, and the resolution was published in the Official Journal on August 4, 2020, extending the duties to the modified products.

In a number of markets in which ArcelorMittal has manufacturing operations, it may be the beneficiary of trade actions intended to address trade distortions consistent with WTO regulations, such as the examples mentioned above. In other situations, certain operations of ArcelorMittal may be a respondent to antidumping and countervailing duty cases and its exported products might be subject to antidumping and countervailing duties or other

trade restrictions, for example antidumping duties imposed in 2017 by the Egyptian government against rebar imports from Ukraine, Turkey and China affecting exports from ArcelorMittal operations in Ukraine.

USA Section 232:

On March 23, 2018, after a section 232 national security investigation with respect to steel imports, the Trump Administration imposed tariffs of 25% on steel products from all but a select list of countries, with a temporary suspension applied for Canada, Mexico, Argentina, South Korea, Brazil and the EU until May 1, 2018. Since then, Australia has obtained a full exemption, imports from Argentina, Brazil, and South Korea are subject to annual quotas, and steel imports from the EU remain subject to the 25% tariff. In addition, as of May 16, 2019, Turkish imports are subject to a 25% tariff after having been subject to 50% tariffs since August 2018. Tariffs on imports of steel products from Canada and Mexico were eliminated on May 17, 2019, which led to positive impacts in the Company’s NAFTA business units; imports from Canada and Mexico are monitored to identify if imported volumes surge meaningfully beyond historic levels. On August 28, 2020, President Trump closed the fourth quarter of 2020 Brazilian quota (no further imports allowed) on semi-finished steel although the Company received an expedited exclusion to import 40,000 metric tons of semi-finished steel in the fourth quarter; the 2021 quota will revert to the original aggregate 3.5 million tonnes volume.

The USA Section 232 tariffs have triggered concerns of trade deflection worldwide and several countries initiated domestic remediation measures. On March 26, 2018, the EU Commission opened ex-officio a safeguard investigation on 26 products (including 19 long, flat and stainless steel products and 7 tubes and other steel products). On July 18, 2018, the EU Commission published provisional measures which entered into force on July 19, 2018 based on global tariff quotas with a 100% quota based on average imports over the past 3 years on 23 product categories. Imports that exceeded the above quotas would face a 25% tariff but certain 'developing' countries were exempt when their import share was below 3%. The EU’s provisional safeguard measures were replaced by definitive safeguard measures approved by EU member states on January 16, 2019 and went into effect on February 2, 2019, which cover the full steel product scope, setting country-based quotas for larger importers on all product categories, except for hot rolled (global), and quarterly quota calculations for residual volumes of all products. The measures also include three phases of 5% quota relaxations in February 2019, July 2019 and July 2020, which can be adapted to market conditions for each product individually. Countries subject to quotas have an incentive to frontload the consumption of their national quota in order to benefit from the residual quotas in the final quarter of the period, thus ensuring full quota consumptions. In July 2019,

the EU commission completed a review investigation of these safeguard measures and proposed modifications, which were implemented on October 1, 2019. The main changes include:

•a reduction of quotas to 3% (from the 5% quotas applicable since July 1, 2019),

•inclusion of additional countries in the developing country quota list which had met the 3% import levels,

•a quarterly cap of 30% of the HRC global applicable to each country's total import cap for hot rolled coil, and

•a 30% cap applicable to the last quarter per period of a country's total cap on wire rod and rebar imports, as well as a new requirement that end users (product purchasers) validate any imports of category 4B products (hot dip galvanized products used in the auto industry).

In February 2020, the EU Commission started a second review of the EU Steel Safeguards to consider adjustments to the tariff-rate quota considering changes since the last review in 2019. On June 12, 2020, Member States voted in favor of the Commission’s revised measures. These were implemented from July 1, 2020.The main changes include:

•Quarterly management of country specific quotas;

•Country-specific quotas for hot rolled flat products ("HRF");

•Access to residual quotas prohibited for organic coated, wire rod, gas pipes, and cold finished bars;

•Access to residual quotas more restricted for most long products; and

•30% cap per country accessing the residual quotas for hot dip galvanized 4B (automotive grade material) and HRF in the fourth quarter of 2020.

ArcelorMittal welcomed the changes approved to the final safeguard measures in Europe, however the Company considers that the applicable relaxation clauses, which increase the level of quotas currently in place, still weaken the efficiency of these measures considering the current conditions of the market.

In response to the measures adopted by the U.S. and the EU, Turkey opened a safeguard investigation on May 2, 2018 with provisional measures effective as of October 17, 2018. Turkey’s safeguard investigation on iron and steel products, which was supposed to be concluded by January 26, 2019, was extended for six months, i.e., until July 26, 2019, with provisional safeguard measures that remained in effect until May 5, 2019.

The investigation covered hot-rolled, cold-rolled, coated, hot-dipped galvanized, bars and rods, angles, shapes and sections, wire rod, rails, tubes and hollow profiles and stainless steel and the provisional measures were in the form of a free tariff quota with 25% duties. Such investigation was terminated on May 7, 2019 without permanent safeguard measures being imposed. In Canada, as a result of the opening of a safeguard investigation on certain flat and long products, provisional measures were put in place on October 25, 2018 in the form of quotas and a 25% tariff on steel imports. Final safeguard measures were subsequently implemented in relation to plate and stainless wire, but not rebar, hot rolled, prepaint, wire rod and energy tubulars. The Eurasian economic union led by Russia also opened a safeguard investigation on August 7, 2018 covering some flat steel products only and on August 8, 2019, safeguard measures covering hot-rolled steel were put in place, imposing 20% tariffs above relevant quotas.

Key currency regulations and exchange controls

As a holding company, ArcelorMittal is dependent on the industrial franchise fees from, earnings and cash flows of, and dividends and distributions from, its operating subsidiaries to pay expenses, meet its debt service obligations, pay any cash dividends or distributions on its ordinary shares or conduct share buy-backs. Significant cash or cash equivalent balances may be held from time to time at subsidiaries where repatriation of funds may be affected by tax and foreign exchange policies, including in Argentina, Brazil, China, Kazakhstan, South Africa, Ukraine and Venezuela. Such policies are briefly summarized below; however, none of these are currently significant in the context of ArcelorMittal’s overall liquidity.

Argentina

The Argentinian foreign exchange market is regulated by the Argentine Central Bank ("BCRA"). The BCRA allows the local currency to free-float against the USD, however, capital controls have reduced volatility in an effort to provide stability to the currency. The Argentinian peso (“ARS”) is not fully convertible and is most commonly traded as a non-deliverable forward (NDF), both onshore and offshore. As of July 1, 2018, Argentina has been considered a hyperinflationary economy. Since the re-imposition of capital controls in September 2019, local restrictions on obtaining foreign currencies have tightened, requiring the BCRA's approval for all transfers to and from the local market for companies and for financial outflows, such as dividend payments. The BCRA has set a limit of 5 days for exporters to convert foreign currency, while institutions will need authorization of the bank to buy USD in the foreign exchange market, except in the case of foreign trade, according to a statement from the BCRA. In September 2020, the BCRA intensified Forex regulation once again, instituting a 30% tax on purchases made abroad and restricting withdrawals to USD 200

per month. See also note 2.2.2 to the consolidated financial statements.

Brazil

The central bank of Brazil operates a managed floating foreign exchange regime, although intervention has become more regular in recent years. The Brazilian real is fully deliverable onshore (i.e., physical settlement of the designated currency at maturity), but is non-deliverable offshore. With proper documentation, the repatriation of registered invested capital and remittance of profits do not require prior approval from the central bank of Brazil. Profits can be freely remitted as dividends or as interest on capital to foreign shareholders or portfolio investors.

China

China’s foreign exchange regime has undergone significant liberalization in recent years. The People’s Bank of China (“PBOC”) maintains the Chinese renminbi in a managed float with reference to a basket of currencies. The CNY, which refers to the Chinese renminbi on the onshore market, is partially convertible and has a non-deliverable offshore market. All transactions involving foreign exchange are strictly controlled by the State Administration of Foreign Exchange. The CNH, which is the Chinese renminbi traded offshore, became deliverable in Hong Kong in July 2010. The CNH can generally be transferred freely between offshore accounts and interaction with the onshore market is growing, although transfers of CNH from Hong Kong to onshore China are subject to regulations and approval by the PBOC. Moreover, in July 2020, integration of the interbank and exchange bond markets, as well as wider participation in the treasury bond futures market, suggest that more progress is likely to be made by the PBOC to move for more internalization of the Chinese market.

India

The Reserve Bank of India ("RBI") maintains the Indian rupee (“INR”) in a managed floating regime. The INR is partially convertible and has a non-deliverable offshore market. Onshore deliverable forwards are also available out to 10 years. The most common tenor with the best liquidity in the forwards market is one year or less. The INR is convertible for exports and imports of goods and services as well as unilateral transfers, including repatriating profits from foreign-funded companies, as well as for daily recurring transactions in the ordinary course of business. However, the INR is restricted on the capital account (purchase and sale transactions of foreign assets and liabilities) and there are specific transactions that have to be authorized by the RBI or other relevant government departments for routine capital account transactions, e.g. foreign currency borrowings under the approval route or foreign direct investments that are not permitted under the automatic route. Other permitted capital account transactions that are allowed, subject to compliance with local applicable regulations, include foreign direct

investment, foreign currency loans and bonds, securities and equity investments overseas. In April 2020, the RBI issued final guidelines on “Hedging of foreign exchange risk by Residents and Non-Residents”. The simplified guidelines are expected to have a positive material impact on product suite, procedures and requirements for hedging requests which will impact both local and global franchises.

Kazakhstan

In August 2015, the National Bank of Kazakhstan devalued the Kazakhstan tenge and introduced a free-floating exchange rate with an inflation targeting regime. The National Oil Fund conducts open market operations to finance economic programs, hence the current exchange rate regime may be best described as a managed float. Liquidity in foreign exchange markets is limited and mainly non-deliverable forwards are traded on offshore markets. There are no restrictions on tenge convertibility, but domestic legal entities must state their reasons for buying foreign currency and may only trade with authorized banks.

South Africa

The South African Reserve Bank operates a managed floating exchange rate system. The South African rand (“ZAR”) is deliverable and largely convertible, and the reserve bank is gradually relaxing exchange rate controls. Since January 1, 2014, companies may apply for approval to establish a holding company to hold their offshore investments. Subject to certain conditions, listed companies may place ZAR 3 billion per year with such holding companies, which can be transferred offshore without exchange control approval, and unlisted companies may transfer ZAR 2 billion per year.

Ukraine

The National Bank of Ukraine ("NBU") is responsible for the country’s monetary policy. The exchange rate system has gone through significant liberalization during 2018-2019, though currency control for foreign currency purchases still remains in place. Deliverable forwards and foreign currency swaps are allowed on the onshore market, with an improvement in liquidity. Non-deliverable forwards are not allowed onshore, however the local market is still in a preparatory phase. On the offshore market, UAH Non-Deliverable Forwards are traded with good liquidity from both sides, with tenors of up to 1 year. Since August 2016, foreign investors are entitled to repatriate profits, income or other funds relating to investments without any restrictions, after the payment of applicable taxes. In 2019, the NBU lifted all restrictions for dividends on securities, assets repatriated by corporates, decreases in share capital or exits from local legal entities.

Venezuela

Venezuela’s foreign exchange regime has been characterized by governmental devaluation and legislative changes. DICOM is

the country’s official exchange rate. On August 20, 2018, the bolivar soberano ("VES") replaced the bolivar fuerte ("VEF") at a rate of 1 VES to 100,000 VEF. The only way to convert the VES is through the DICOM rate, which sets an exchange limit of €340,000 per month for domestic legal entities. Since September 7, 2018, currency purchase and sale transactions can be freely converted by direct agreement between the parties, provided they do so through the exchange operators of the Central Bank, however, the Central Bank of Venezuela can intervene in these operations whenever it deems necessary to avoid distortions of the exchange value of the national currency. Since this regime's effective date, the foreign exchange market has been characterized by limited existence of customers and transactions for insignificant amounts. Transactions are allowed on a non-deliverable offshore market, but liquidity is very limited.

Disclosure pursuant to Section 219 of the Iran Threat Reduction & Syria Human Rights Act (ITRA) ArcelorMittal’s business with customers in Iran

Section 219 of the Iran Threat Reduction and Syria Human Rights Act of 2012 added Section 13(r) to the U.S. Securities Exchange Act of 1934, as amended (the Exchange Act). Section 13(r) requires an issuer to disclose in its annual reports whether it or any of its affiliates knowingly engaged in certain activities, transactions or dealings relating to Iran. Disclosure is required even where the activities, transactions or dealings are conducted outside the United States by non-US persons in compliance with applicable law, and whether or not the activities are sanctionable under US law.

In 2020, neither ArcelorMittal nor any of its affiliates engaged in activities, transactions or dealings relating to Iran triggering disclosure under Section 13(r).

ArcelorMittal continues to monitor developments in this area, in particular the status of U.S. Sanctions, the Joint Comprehensive Plan of Action ("JCPOA") and EU Sanctions, and the expansion of the EU Blocking Regulation (Council Regulation (EC) 2271/96). ArcelorMittal carefully monitors political risk and sanctions exposure and has procedures and systems in place intended to manage those risks.

However, ArcelorMittal’s business is subject to an extensive, complex and evolving regulatory framework. It is possible that ArcelorMittal may face conflicting obligations or risks under U.S. direct and secondary sanctions and the EU Blocking Regulation, or other conflicting instruments. Despite its governance, compliance policies and procedures and continuous efforts to comply with all applicable sanctions regimes, its systems and procedures may not always prevent the occurrence of violations which may lead to regulatory penalties or cause reputational harm to operating subsidiaries, joint ventures or associates. See “Risk factors.”

Please refer to the "Glossary - definitions, terminology and principal subsidiaries" for a listing of the Company’s principal subsidiaries, including country of incorporation. Please refer to note 2.2.1 of the consolidated financial statements for the ownership percentages of these subsidiaries. Unless otherwise stated, the subsidiaries as listed have share capital consisting solely of ordinary shares, which are held directly or indirectly by the Company and the proportion of ownership interests held equals to the voting rights held by the Company.

Investments accounted for under the equity method ArcelorMittal has investments in entities accounted for under the equity method as detailed in note 2.4 to ArcelorMittal’s consolidated financial statements. The Company's key investments in joint ventures are AMNS India, Calvert and VAMA for which the Company holds 60%, 50% and 50%, respectively. See section “Property, plant and equipment—Investments in joint ventures” for further details.

Reportable segments

ArcelorMittal reports its business in the following five reportable segments corresponding to continuing activities: NAFTA, Brazil, Europe, ACIS and Mining.

NAFTA produces flat, long and tubular products. Flat products include slabs, hot-rolled coil, cold-rolled coil, coated steel products and plate and are sold primarily to customers in the following sectors: automotive, energy, construction packaging and appliances and via distributors and processors. Flat product facilities are located at seven integrated and mini-mill sites located in three countries. Long products include wire rod, sections, rebar, billets, blooms and wire drawing. Long production facilities are located at three integrated and mini-mill sites located in three countries. In 2020, shipments from NAFTA totaled 17.9 million tonnes. The raw material supply of the NAFTA operations includes sourcing from iron ore captive mines in Mexico and iron ore and coal captive mines the United States (until disposal of ArcelorMittal USA on December 9, 2020 as mentioned above) to supply the steel facilities.

Brazil produces flat, long and tubular products. Flat products include slabs, hot-rolled coil, cold-rolled coil and coated steel. Long products comprise sections, wire rod, bar and rebars, billets and wire drawing. In 2020, shipments from Brazil totaled 9.4 million tonnes. The raw material supply of the Brazil operations includes sourcing from iron ore captive mines in Brazil.

Europe produces flat, long and tubular products. Flat products include hot-rolled coil, cold-rolled coil, coated products, tinplate, plate and slab. These products are sold primarily to customers in the automotive, general and packaging sectors. Flat product facilities are located at 12 integrated and mini-mill sites located

in five countries. Long products include sections, wire rod, rebar, billets, blooms and wire drawing. Long product facilities are located at 10 integrated and mini-mill sites in seven countries. In addition, Europe includes downstream solutions, which provides primarily distribution of long and flat products as well as value-added and customized steel solutions through further processing to meet specific customer requirements. In 2020, shipments from Europe totaled 32.9 million tonnes. The raw material supply of Europe operations includes sourcing from iron ore captive mines in Bosnia & Herzegovina.

ACIS produces a combination of flat, long and tubular products. It has five flat and long production facilities in three countries. In 2020, shipments from ACIS totaled 9.9 million tonnes, with shipments made on a worldwide basis. The raw material supply of the ACIS operations includes sourcing from iron ore captive mines in Kazakhstan and Ukraine and coal captive mines in Kazakhstan.

Mining provides the Company's steel operations with high quality and low-cost iron ore reserves and also sells mineral products to third parties. Seaborne iron ore mines are located in North America and Africa. In 2020, iron ore production totaled approximately 28.3 million.

Properties and capital expenditures

Property, plant and equipment

ArcelorMittal has steel production facilities, as well as iron ore and coal mining operations, in North and South America, Europe, Asia and Africa.

All of ArcelorMittal's operating subsidiaries are substantially owned by ArcelorMittal through intermediate holding companies, and are grouped into the five reportable segments described above. Unless otherwise stated, ArcelorMittal owns all of the assets described in this section.

For further information on environmental issues that may affect ArcelorMittal’s utilization of its assets, see “Business overview—Government regulations”, "Business overview—Sustainable development" and note 9.3 to ArcelorMittal’s consolidated financial statements.

The Company acted swiftly and rapidly to adapt production in-line with the reduced demand environment caused by the COVID-19 pandemic which started to affect the Group’s main operations from the middle of the first quarter of 2020 onwards. Production was impacted across all segments and regions.

NAFTA

Crude Steel

Steel operations

Unit

Country

Locations

Production in 2020 (in million tonnes per year)1

Type of plant

Products

ArcelorMittal USA ²

USA

Warren, OH

n/a

Coke-Making

Coke

ArcelorMittal USA ²

USA

Monessen, PA

n/a

Coke-Making

Coke

ArcelorMittal USA ² ³

USA

East Chicago, IN

3.4

Integrated

Flat

ArcelorMittal USA ²

USA

Burns Harbor, IN

3.6

Integrated

Flat

ArcelorMittal USA 2 5

USA

Cleveland, OH

2.0

Integrated

Flat

ArcelorMittal USA ²

USA

Riverdale, IL

0.6

Integrated

Flat

ArcelorMittal USA ²

USA

Coatesville, PA

0.2

Mini-mill

Flat

ArcelorMittal USA ²

USA

Columbus, OH

n/a

Downstream

Flat

I/N Tek ²

USA

New Carlisle, IN

n/a

Downstream

Flat

ArcelorMittal USA ²

USA

Conshohocken, PA

n/a

Downstream

Flat

ArcelorMittal USA ²

USA

Weirton, WV

n/a

Downstream

Flat

ArcelorMittal USA 2 4

USA

Gary, IN

n/a

Downstream

Flat

Double G ²

USA

Jackson, MS

n/a

Downstream

Flat

ArcelorMittal Dofasco 6

Canada

Hamilton

2.7

Integrated, Mini-mill

Flat

ArcelorMittal Mexico

Mexico

Lázaro Cárdenas, Celaya

3.6

Mini-mill, Integrated, and Downstream

Flat, Long/ Bar, Wire Rod

ArcelorMittal Long Products Canada

Canada

Contrecoeur East, West

1.6

Mini-mill

Long/ Wire Rod, Bars, Slabs

ArcelorMittal USA ²

USA

Steelton, PA

0.1

Mini-mill

Long/ Rail