Airbus // Universal Registration Document 2023

Risk Factors 4 Environment, Human Rights, Health & Safety Risks

4. Environment, Human Rights, Health & Safety Risks

Climate-related Risks

Climate change may have a major impact on both the Company’s industrial operations and its upstream and downstream value chain, including directly on aircraft operations and on the wider air transport ecosystem, along with a strong influence on regulations and on stakeholders expectations. Accordingly, climate-related risks could materially affect the Company’s business and competitiveness, its customers and other elements of the aviation industry. The Company uses the recommendations of the Task Force on Climate-related Financial Disclosures (“ TCFD ”) to categorise, manage and report on its climate-related risks. Accordingly, the Company has strengthened its ERM risk identification process for climate-related risks by incorporating climate scenario analysis, and uses the following TCFD risks categories for managing and reporting:

The scope of the climate-risk identification exercise comprises the entire Company – including its Divisions – and the upstream and downstream value chain. Following TCFD recommendations and in pursuit of continuous improvement, during 2023 the Company has updated its climate change scenario analysis. It uses a range of different temperature scenarios (1.5°C, well-below 2°C and >3°C) to represent different climate realities based upon the global scenarios of the Intergovernmental Panel on Climate Change (“ IPCC ” – Assessment Report 6 (“ AR6 ”)) and the International Energy Agency ( “IEA ”). The scenario analysis is used to identify financial and operational risks and opportunities related to climate change that may begin to impact the Company in the short-term (“ ST ”, around 2025), medium-term (“ MT ”, around 2035) and long term (“ LT ”, around 2050) so that the Company can work to increase the resilience of its assets and operations in order to mitigate and adapt to climate change.

Transition risks

Physical risks

Technology Market Policy and legal Reputation

Acute Chronic

The climate scenarios used in the updated analysis in 2023 are briefly described below:

Aggressive mitigation – Limiting warming to 1.5°C Based on IPCC Assessment Report 6 (AR6) Scenario Shared Socioeconomic Pathway (SSP)1-1.9 / Net Zero Emissions by 2050 Scenario (NZE) by the International Energy Agency (IEA) which reflects the ambition of the Paris Agreement to the United Nations Framework Convention on Climate Change (Paris Agreement) This is a very ambitious scenario that limits global warming to 1.5°C by the end of the century. In this scenario the global energy sector achieves net-zero CO 2 emissions by 2050 and the world reaches the objective of the Paris Agreement. Developed countries ( e.g. , including those within the European Union) accelerate in decarbonisation. Societies adopt practices to enable the required levels of reduction of emissions, including increasing investment in and development of technologies that could reduce emissions of the transport sector in developed countries and limit emissions growth in developing countries. Policies to decarbonise are introduced immediately (2020s), with these policies diverging across sectors and regions and differing in both the timing of their deployment and their reach. Mitigation strategies implemented worldwide and across sectors include: (i) transitioning from fossil-based energy to very low or zero-carbon sources including hydrogen and high density biofuels for aviation; (ii) carbon capture utilisation and storage is used in remaining fossil-fuels facilities; (iii) improvements in energy efficiency are implemented (however additional mitigation technologies for aviation are required); (iv) both nature- and technology-based Carbon Dioxide Removals (“ CDR ”) are deployed to the levels required to neutralise global residual GHG emissions; and (iv) countries implement measures towards restricting demand for transport services while supporting the shift to more energy efficient and low carbon intensive products and transport modes. Severe weather events are more frequent, but the world has avoided the worst consequences of climate change. Strong mitigation – Warming limited to well-below (“WB”) 2°C Based on IPCC Scenario AR6 SSP1-2.6 / Sustainable Development Scenario (SDS) Scenario by the International Energy Agency – Paris Agreement This scenario assumes a more gradual approach in the introduction of climate mitigation actions, limiting global warming to well-below 2°C by the end of the century. Net-zero emissions are achieved around or after 2070. In this scenario the same socio economic trends presented in the scenario limiting 1.5°C are maintained but economic and social development progress is slower and the environment experiences further degradation. Disorderly mitigation – Warming exceeding 3°C – Based on IPCC Scenario AR6 SSP5-8.5 This is the highest emissions scenario and worst-case scenario in temperature increase. This scenario assumes current levels of CO 2 emissions and greenhouse gases will almost double by 2050. The world economy grows rapidly, but this growth is driven by fossil fuel exploitation and very high-intensive lifestyles. This scenario is characterised by high economic challenges and high social negative impacts and challenges for specific societies to mitigation as well as low socio-economic challenges to adaptation. The scenario particularly explores the limits to adaptation and the climate physical risks that may impact the Company’s operations and its value chain. On the mitigation side, in this scenario the pursuit of CO 2 removal and other climate engineering practices would be more likely given the high challenges to mitigation.

1.5°C

WB 2°C

>3°C

23 Airbus Annual Report

Universal Registration Document 2023