_226 2023 UNIVERSAL REGISTRATION DOCUMENT_MICHELIN 4 NON-FINANCIAL STATEMENT Sustainable Development Report recycled materials. The Group is committed to achieving full circularity in its tires by 2050. Already by 2030, its tires will be 40% made of renewable and recycled materials. Designing fabricated products for high durability, recyclability, easy disassembly and adaptability: Michelin is activating a number of levers to reduce the environmental impact of its activities, products and services. ● Life cycle assessments: Michelin has long used life cycle assessments (LCAs) and is steadily improving its expertise in measuring the lifetime environmental impact of its products via 16 indicators, including climate change, the use of fossil resources, particulate matter emissions, land use and biodiversity impacts. This approach, which is based on ISO 14040-14044 guidelines, provides greater insight into these impacts that then informs the design choices made to reduce them. ● Eco-design: Eco-design provides a framework for innovation that helps to reduce the environmental footprint of new solutions by improving our knowledge of life cycle impacts and our ability to manage them, while supporting even closer collaboration among people in the Group’s different job families. ● Improving a tire’s mass efficiency: Improving mass efficiency means using less product to travel the same distance, which can be achieved in two main ways: ● Reducing mass and delivering the same performance: reducing mass by optimizing tire design so that the same distance can be traveled using less raw material. ● Increasing a tire’s service life (in kilometers), using the same mass and delivering the same performance: a tire’s service life can be lengthened by optimizing the design or by changing usage patterns. ● End-of-life treatment of sold products. Managing process waste with a focus on recycling rather than disposal: Between 2005 and 2020, the quantity of process waste generated per tonne of tire has decreased by around 32%, and the quantity of waste landfilled has fallen by more than 92%. By 2050, the goal is to reduce the amount of waste produced per tonne of total output by 50% compared to 2020 (in kilograms per tonne of semi-finished and finished product). A 2030 milestone has been set at a 25% reduction versus 2020 in the quantity of waste produced per tonne of total output (in kilograms per tonne of semi-finished and finished product). Information and traceability of substances of very high concern (SVHC) throughout a fabricated product’s life cycle: SVHCs are fully traceable, in compliance with legislation. Objective 5: Pollution prevention and control The Michelin Group has addressed the changes introduced in the June 2023 Delegated Regulation concerning screening criteria for “do no significant harm” to pollution prevention and control (removal of the reference to the concept of use essential for society, introduction of thresholds or performance levels, the concepts of suitable alternative substances and use under controlled conditions). Under the Taxonomy Regulation: An activity must not lead to the manufacture, placing on the market or use of the following chemicals regulated by European legislation: (a) Persistent organic pollutants (POPs Regulation); (b) Chemicals containing mercury or mercury compounds; (c) Ozone-depleting substances; (d)Hazardous chemical substances in electrical and electronic equipment, unless they comply with Article 4 of the Waste Electrical and Electronic Equipment (WEEE) Directive; (e)Substances restricted by the Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) regulation, unless they meet the conditions in Annex XVII. In its tire manufacturing activities, Michelin complies with these European regulations and meets the criteria defined by the European Taxonomy in paragraphs a) to e) of Appendix C hereafter. In compliance with paragraph (f), raw materials, semifinished and finished products must not contain more than 0.1% substances of very high concern (SVHC) on the REACH candidate list, unless the absence of suitable alternatives and use under controlled conditions can be demonstrated. Chemicals play a core role both in our tire manufacturing process and in delivering key performance attributes such as safety, endurance and a small environmental footprint. Michelin applies a chemical risk management policy designed to protect human health and the environment from the harmful effects of chemical use. In particular, prioritized action plans are defined and deployed to restrict the use of the highest-risk chemicals or replace them whenever technically feasible. The policy also addresses substances of very high concern (SVHC) on the REACH candidate list.
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