Sidenor 2022 Sustainability Report

27 Stainless steel In parts for the steering set (racks and pinions) and for the suspension and shock absorber set. In addition, we are in the process of obtaining approvals regarding new electric car components, such as electric motors and reducers, where we wish to become market share leaders in Europe. Approval Inclusion of martensitic stainless steels for special applications in the production range. 2022 has been an excellent year in this activity. The new applications for which we started manufacturing new steels include orientation crowns (bearings) and parts for wind turbine multipliers, wheels and axles for railway rolling systems or spindles for plastic extrusion machines. We increased the steel manufacturing range, producing rims of up to 300mm square intended for open-die forging for the manufacture of parts for goods and services. Significant progress was made in applications intended for e-Bike. Diversification From scrap to steel: a sustainable activity Our production process is based on scrap recycling. Each year, we turn around 800,000 tons of scrap into steel products of the highest quality. This responsible model is in line with our commitment to circular economy, environment and society; it starts with scrap purchase and continues at Basauri steelworks, where the raw material is processed. Furthermore, we have two collection sites located in Azuqueca de Henares (Guadalajara) and Sagunto (Valencia). We also have the resources necessary to develop the supply value chain and ensure the quality of the material used. In this respect, we foster long-term relationships with our scrap suppliers so as to make sure that the raw material provided meets adequate standards. We see all our suppliers as strategic allies, as they are directly linked to the quality of our products and services, as well as to safety in work areas and sustainability in the production chain. For this reason, their practices must be responsible, in line with Sidenor’s policies. To ensure that this condition is met, we have monitoring mechanisms in place and conduct regular visits in order to check the state of their installations, their quality and the stocks available.