DERICHEBOURG - Universal registration document 2019-2020

1

CSR report (serving as statement of extra-financial performance) Overview of businesses and business model

The following factors affect the ferrous scrapmetal market: Global steel production p

In Mt

100%

2,000

1,868

1,808

1,730

90%

1,800

1,649 1,669 1,619 1,625

80%

1,537 1,559

1,600

871

1,432

880

860

70%

1,400

827 846 815 818

1,237

835 828

60%

1,200

53%

793

50% 49% 50% 50% 50% 51%

660

50%

47%

1,000

45% 46%

47%

40%

800

30%

600

996

928

20%

822 822 804 808 870

400

702 731

577 639

10%

200

0%

0

2009 2010 2011 2012 2013 2014 2015 2016

2017

2018 2019

China as a % of total

Rest of World

China - other than EAF

Source:WorldsteelAssociation.

Globalsteel productionhas grown2.3%per year over the last five years. Chinaaloneaccountsfor 53%of global production.In 2020, non-China production is expected to decrease significantly due to the economic consequencesof theCovid-19crisis. Distributionof steel productionbetween blast furnaces and electric p steel mills Blast furnaces consume iron ore, coke, and a small proportion of ferrous metals (10-15%), which reduces greenhouse gas emissions. Electric steel mills consumeferrousmetals almost exclusively. In theory, both types of mills can produceany type of steel. In practice, steel from electric mills is used to produce long steel and reinforcing bars. Coils are mademostly at blast furnaces.

50%

45%

40%

35%

30%

25%

20%

15%

10%

5%

0%

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Share of EAF China Share of EAF rest of world

Source:WorldsteelAssociation.

DERICHEBOURG p 2019/2020 Universal Registration Document 15