Airbus - 2022 Universal Registration Document

1. Information on the Company’s Activities /

1.2 Non-Financial Information

01

II. Governance The Airbus Environmental Policy and overall governance, as described in “– 1.2.2 Climate Change” apply to this topic. At the operational level, a multi-functional team leads this activity. Additionally, this was complemented at the end of 2021 for the Company’s commercial aircraft activities by a specific cross programme forum that reviews, prioritises, and budgets waste or inventory-related initiatives. III. Risk Management Environmental risk and opportunities are managed through the Company’s ERM system. See “– 1.2.2 Climate Change” III. IV. Implementation/Activities The Company’s aircraft products make efficient use of these materials by being designed to operate for several decades with high utilisation rates, being highly serviceable and repairable, and ultimately allowing for around 90% of their constituents by mass to be recovered, including recycling. The Company promotes the development of a circular economy model, and it is proactive in seeking ways to recover, reuse and recycle materials beyond their initial life. Overall, in order to minimise the impact of its activities, the Company’s strategy relies on the approach: avoid; reduce, reuse-recycle-repair, supported by a number of enablers such as measuring, Life Cycle Analysis (“ LCA ”) and eco-design, or digitalisation. Metallic waste accounts for more than 30% of the Company’s site-generated waste. Considering the risk of resource depletion versus growing demand, the Company has kicked off in 2022 a dedicated transformation project related to the circularity of critical raw materials, especially non-ferrous metals, with a focus on the most material perimeter, its commercial aircraft activity. Avoid – Material Use Optimisation Weight reduction through material use optimisation has always been a priority in aerospace, as this is directly linked to aircraft performance. Lately, the development of new technologies such as additive layer manufacturing (ALM or “3D printing”), including for metallic components, enabled the redesign of parts, resulting in significant improvements by limiting material consumption to what structure and resistance require. For example, 3D printing technologies such as direct energy deposition (DED) can reduce the titanium raw material consumption by up to 70%. More optimised design and manufacturing processes for metallic and composite components can improve the buy-to-fly ratios, as well as reduce weight, material consumption, energy consumption and production costs. For instance, forming technology has led to an aluminium material reduction of 80% for some parts compared to machining from a plate. Reduce Industrial Waste The Company also focuses on the waste generated by its operations throughout the manufacturing process and has set an objective of reducing overall waste amounts by 20% by 2030 (from a 2015 baseline), with 0% landfilling and 0% incineration without energy recovery. A dedicated multi-functional team with skills from across the organisation such as engineering, information management, procurement, industrial operations and facility management is actively working on a waste roadmap. Over the past years, the

Company has focused on metering and on data robustness and accuracy for measuring waste, with a focus made on standardising the practices towards waste collectors and in line with regulatory requirements for greater traceability. The objective is to enhance data monitoring, reporting, and forecasting capabilities. This includes a harmonisation of definitions, processes and assumptions. Priority has been given to commercial aircraft activities due to the industrial ramp-up. In 2022, non-exceptional waste increased by 3.7%, largely explained by the commercial aircraft production ramp up context and people returning to the workplace after the COVID-19 period, impacting general waste. The proportion landfilled or incinerated without energy recovery amounted to an estimate of 23%. Hazardous Waste In the Company’s European operations, the main sources of hazardous waste are contaminated packaging and chemical waste, especially waste from surface treatment activities, oil, fuel and various chemicals. While chemical waste reduction remains a priority, this is a topic also driven by chemical regulations, the evolution of which may impact the roadmap’s ambition for reducing waste as well as its timing (see Chemical Substances section in “– 1.2.3 Pollution”). Increase the Lifespan of Components The Company’s components are designed to last over the average aircraft service lifetime, which can exceed 20 years. Some components, called life-limited parts (“ LLPs ”), have a shorter lifetime, but still maximised considering physical resistance, airworthiness and safety requirements. Repairability – Reuse – Second Life With regards to LLPs, easy replacement and availability of parts over the whole programme lifetime are a priority. The Company’s products are designed to be repaired when damaged by a number of maintenance, repair and operations (MROs) companies worldwide and spare parts providers. The Company’s after-sale activities include the sale of spare parts and the provision of maintenance, repair and overhaul services. LLPs can be overhauled to serve other operators, routes or missions. In particular, passenger-to-freighter conversions are frequently considered to extend the lifetime of aircraft. Recycling Waste generated by the Company’s industrial processes often includes high-value materials, so optimising their circularity responds to both environmental and economic objectives. The Company sends over half of its waste to be recycled. It is currently working on specific initiatives to further increase this rate, such as specific loop creation for titanium in order to reintegrate chips or end-of-life parts into raw material manufacturing processes. In addition, the Company sources material volumes of recycled materials that are used for the manufacturing of aircraft. As an order of magnitude, in 2022, 20% to 50% of aluminium products delivered to the Company (highest volume of material in an aircraft) came from recycled raw materials. Finally, more than 90% of an aircraft’s weight can be recovered at end-of-life (including material and energy recovery) through a selective dismantling process. For example, TARMAC Aerosave joint venture, provides such reverse manufacturing services, including dismantling, sorting, packaging for reuse or sending to relevant waste collectors while ensuring parts traceability,

89

Airbus / Universal Registration Document 2022