The Environmental Practice sets out key principles to manage IROs such as compliance with applicable regulatory and legal requirements, a periodic and systematic establishment of improvement objectives and their monitoring and measurement through KPIs, the development of products that meet customers’ needs while ensuring respect for the environment, and the adoption of the best available technologies for the efficiency of production processes and the reduction of environmental impacts. These principles include pollution prevention.

We are aware of our potential impacts generated by the unlawful usage of substances of concern and substances of very high concern. For this reason and in compliance with the applicable laws and regulations (CE/1907/2006 – REACH regulation), we have defined strict procedures on the management of these substances. Where substitution is not possible, a derogation process must be initiated in accordance with the provisions of the procedure “CMR mixture/substances derogation”. According to this procedure, we require users to seek a non-hazardous substitute material and specific prevention and protection measures are put into place.

The main objective of the “Approval of auxiliary and direct materials, storage management” procedure is to define how materials, such as auxiliary and direct chemicals (articles, substances and preparation/mixtures), are acquired and used by employees. This ensures that all health and safety and environmental risks associated with these materials are evaluated and prevented before their entrance within the perimeter of our production sites. The procedure applies to our production sites and to all employees and non-employees. This procedure aims at preventing impacts and risks, as well as managing opportunities, such as our potential contribution to pollution due to substances of concern and substances of very high concern. Moreover, the procedure aims to avoid incidents and emergency situations, and, if they do occur, to control and limit their impact on people and the environment.

The SoC and SVHC used in our production process are mainly calculated considering the observed amounts used during the production process. Since primary data is not currently available for the categories excluded from the obligation to report to the competent authority pursuant to Legislative Decree No. 102 of 30 July 2020, we estimate the amounts of SoC leaving our facilities as products, or as part of products, and the 78 percent of SoC included in the category “Other hazard classes” of the SoC used during production or that are procured. We estimated these data based on the total amount purchased during the year, using a proxy sample amounting to 10 percent of total products containing those substances. Regarding the candidate list substances present in our cars, we calculate the amount taking into consideration the car configuration of the European and UK market and the number of shipments in 2024. This methodology is not validated by an external body.