2016 was a year of important progress for ArcelorMittal.

Action 2020

Action 2020 is ArcelorMittal's commitment to structurally improving profitability and cash flow generation.


Good corporate governance is about compliance, continuous stakeholder dialogue and being a good corporate citizen.

Fact book

Details of our steel and mining operations, financials, production facilities and shareholder information.

External context

Read more about the steel market and stakeholder context in each of our business segments.

Read more about how we report non-financial performance in outcome 10: Our contribution to society measured, shared and valued.

Read more about how we're addressing the carbon challenge in outcome 6: Responsible energy user that helps create a lower-carbon future.

International trade action and demand dynamics in China

The recent history of the steel market has been dominated by fluctuations in Chinese domestic steel demand, a trend that continued in 2016.

As a result of weaker real estate, construction and machinery production in China, declining domestic demand led to Chinese steel exports more than doubling between 2012 and 2015. This increase in Chinese exports was greater than the growth in world steel demand over the same period, and had a dramatic effect on steel prices and therefore production outside China.

Chinese exports continued to be at elevated levels, exceeding 100 million tonnes for the second successive year, as the Chinese steel industry continued to be characterized by significant overcapacity and low utilisation rates. Trade action against unfairly priced imports, particularly in the US and Europe, did however provide an element of support to steel spreads in 2016. Nonetheless, the dynamics of Chinese steel production and export are likely to continue to be a material influence on market conditions in the future.

Sustainability expectations

Stakeholder interest in the contribution of the private sector to a sustainable future has matured in the past two years. In order to ensure nine billion people can lead quality lives from the resources of just one planet, governments, business leaders and civil society are increasingly expected to work together constructively and creatively for mutual benefit. The multi-stakeholder collaboration behind the Paris agreement and the UN Sustainable Development Goals in 2015 was echoed by the speed with which governments ratified the Paris agreement in 2016. There is no doubt that the trend in the private sector to voluntarily adopt long-term sustainability strategies and targets is gathering momentum.


Transparency in reporting

Two other trends continue to grow. The drive for transparency is enshrined in the EU Directive on non-financial reporting and in a more focused way in the EU Transparency Act. As non-financial reporting becomes the norm, the International Integrated Reporting Council, which ArcelorMittal joined at the end of 2016, neared the end of its pilot phase. Integrated reporting is the emerging proposition as a means of embedding sustainable development thinking into the way companies do business.

Sustainability themed legislation

At the same time, there is a continuing trend of sustainability-themed legislative change that continues to build stakeholder expectations of company directors to act responsibly to uphold international standards. This is increasingly driving large companies to implement systems of due diligence, to ensure not only that they fulfil their direct responsibilities but those of their suppliers as well.

Customer demand for sustainability standards

In reflection of this trend, expectations among our customers of sustainability standards in the steel industry and its raw materials supply chain continued to grow in 2016. In September, for example, some of the biggest names in the European automotive industry joined forces to form the European Automotive Working Group on Supply Chain Sustainability; more generally, steel customers are being driven by their own sustainability ambitions, their assessment of risk, and their regulatory environment to seek assurance on social, ethical and environmental issues. Consumer interest in these issues is also growing.