Saint-Gobain // Universal Registration Document 2021

Strategy The Group’s environment

1.2

Trends in the Group’s various markets

Saint-Gobain is driven by the acceleration of the markets in which the Group operates, and where it seizes growth opportunities. This dynamic is at work in all geographical areas and on global markets (1) .

Western Europe

North America

Emerging markets

Global Markets (2)

Expected market growth, 2021-2025 (3)

2 to 4%

2 to 4%

4 to 6%

3 to 4%

2

Acceleration of the ■ construction market through light construction, Demographics and ■ structural needs in housing, Evolution in uses of ■ buildings.

Robust demographic ■ growth, Urbanization, ■ Adoption of light ■ construction.

Rapid development of ■ markets and technologies for industrial decarbonization.

Main growth drivers

Increase in the volume ■ of the renovation market through the EU “Fit for 55” package, Increased standards for ■ new construction, Evolution in uses of ■ buildings.

Saint-Gobain sales (4) (as a percentage of Group revenue)

€26 billion (61%)

€4 billion (10%)

€5 billion (12%)

€7 billion (17%)

Sustainable construction 1.2.1 Saint-Gobain’s largest market, construction, offers growth prospects worldwide, with differing challenges and requirements depending on the geographic region. The post-Covid-19 recovery plans have integrated the crucial importance of the building sector in the ecological and energy transition; more than €1 trillion in public aid is earmarked for the transformation of the entire sector. housing stock is also aging; however, this is a sector where decarbonization technologies are developed and allow extremely significant gains in terms of avoiding GHG emissions, especially in a context of rising energy prices. The renovation sector is particularly promising for growth in Europe, where it represents more than €680 billion per year (6) . The figures accompanied by forecasts published as part of the Euroconstruct report (covering an area including Germany, Austria, Belgium, Denmark, Spain, Finland, France, Hungary, Ireland, Italy, the Netherlands, Norway, Poland, Portugal, the United Kingdom, the Czech Republic, Slovakia, Sweden and Switzerland) from In mature markets, building renovation and energy November 2021 show a particularly robust sector. efficiency are key challenges (5) . The existing (and dense) Size of the renovation market in Europe, 2018-2024, in millions of euros (6) Renovation and building envelope 1.2.1.1

780,000

760,000

740,000

720,000

700,000

680,000

660,000

640,000

2018

2019

2020

2021

2022

2023

2024

(1) Source: Oxford Economics – Saint-Gobain, Capital Markets Day, October 2021. (2) High Performance Solutions. (3) Expected average annual growth, weighted by the exposure of Saint-Gobain to each market. (4) Sales over 12 months at the end of June 2021. (5) United Nations Environment Program-Sustainable Buildings and Climate Initiatives (UNEP-SBCI): “Building Design and Construction: Forging Resource Efficiency and Sustainable Development”. (6) IHS, Euroconstruct Report, November 2021. The scope is that of the 19 countries studied by the report.

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