Sustainability Report 2023

Environment Efficient use of materials and resources As an innovation-focused business, we are determined to find new and creative ways to make more efficient use of our resources, while at the same time maintaining our high quality standards. To use resources efficiently, we have to consider every stage of the product lifecycle, from the product development phase and procurement of materials through to the manufacturing processes and ultimately (wherever possible) recycling. Our aim is to use ‘as much as is necessary, but as little as possible’ and, with this in mind, we are introducing changes in several areas to minimise our consumption of raw materials and mitigate the resulting negative impacts on our planet as far as possible. Use of steel As a metalworking company, we use many different raw materials to manufacture our products. By far the one we use most widely is steel, which accounts for 85% of our material usage. Since primary steel production is an extremely resource-intensive process, we are taking action on several fronts to ensure we use this raw material as efficiently as possible. Firstly, we source our steel – specifically strip steel – from sustainable and responsible suppliers, with whom we have built long-standing partnerships. We work together with these suppliers to increase the sustainability of their products, e.g. by increasing the proportion of secondary material content or delivering their products by rail to reduce transport emissions. Secondly, we are taking steps to increase our use of recycled steel. This is an area with enormous potential because steel can be repeatedly recycled, over and over again, without any loss in quality. Currently, recycled steel makes up 24% of our total steel usage. Our primary goal is to increase this percentage and we therefore make careful use of our steel resources within our production process. Our first priority is to reduce the amount of production waste generated, e.g. by reducing the thickness of the steel strips and optimising the cutting tool set-up so that components are arranged across each strip in such a way as to maximise material usage. Any waste steel (or punching scrap) that cannot be avoided is sorted and sent to our partners for recycling. By putting this waste material back into the recycling system, we are actively supporting the circular economy and ensuring new steel can be produced with a high recycled content. Other actions to promote sustainability within our production process include switching to lead-free alloys as well as chrome-free passivation alternatives for hot-dipped galvanised steel. These steps are again helping us to gradually reduce the environmental footprint of our steel treatment processes. 45

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