ArcelorMittal The leading supplier to the automotive industry in Europe September 2016
European leadership towards automotive customers 1 Market needs To develop global operations to respond to the needs of the European automotive industry. 2 Automotive products To supply a large range of high performance automotive steel products. 3 European benchmark To be the European benchmark in terms of quality product and service. 4 Constant innovation To offer services at all stages of car engineering and series life. 5 A real network To be involved in downstream activities (SSC, Tailored Blanks, Hydroforming, Stamping) and to provide a real global offer. 1
Rigorous fuel economy standards Global CO 2 (or equivalent) regulation trends Targets and methodology could be different across the regions, but trend of sharp decrease Post 2021 regulation in Europe: 75g/C0 2 in 2030? Strong pressure to decrease weight of vehicles Fuel economy targets to be achieved whilst improving crash performance standards 2
Through innovation, steel remains the material of choice 3 rd Generation AHSS Fortiform for cold stamping 2 nd Generation: TWIP, X-IP 1 st Generation, phase 3: Usibor for hot stamping 1 st Generation, phase 2 : Dual Phase (DP1180 since 2008), TRIP Steels, Martensitic(MS>1200 MPa since 80 s) 1 st Generation, phase 1: HSLA, HSS 1990 1993 2003 2008 2014 Key figures 1,300 researchers in a worldwide network of 12 laboratories At any time, we have around 80 new products under development More than 30% of all research is devoted to automotive market 3
Broadening our product portfolio For more than 20 years, weight saving solutions have been developed through the regular increase of tensile strength of the Advanced High Strength Steels Increase of strength is generally done at the expense of formability (complexity of shapes) ArcelorMittal has developed 2 ways to change the game: Usibor and Ductibor hot stamping solutions Fortiform for cold stamping with outstanding combination of formability and strength Fortiform stamped part ArcelorMittal automotive steel: various products offer formability and strength 4
From a steel provider, to a global solution provider The BIW weight reduction needed to achieve emission targets can be achieved with existing steel grades and solutions, with further potential from new grades 2010 2012 2012 2013 2014 2016 C-Segment Vehicle Achieved 20% BIW weight reduction from 2009 baseline Battery Electric Vehicle Achieved 11% BIW weight reduction from 2011 baseline Light Commercial Vehicles Achieved 20% underbody weight reduction Electric & Plug-in Hybrid C-Segment Vehicles Pickup Truck Achieved 23% BIW weight reduction from 2013 baseline Mid-size Sedan & SUV platform Achieved 20% to 26% BIW weight reduction from 2015 baseline A long tradition of development of steel solutions, even before ArcelorMittal was created 5
: solutions for weight reduction A catalogue of 60 steel solutions using: 54% AHSS Press hardened parts (Usibor /Ductibor ) Enabling: to save up to 20% of a typical C-segment to deliver a 13.5% reduction in CO 2 to achieve these savings at neutral cost without compromising the safety performance of the vehicle Choose the best weight saving / cost compromises 6
Combining LWB and hot stamping (Usibor ) for maximum weight saving B-pillar inner Seat cross member A-pillar B-pillar Rear side member Shotgun Front side member Front bumper beam Front rail extension Tunnel Optimum balance between lightweight and strength thanks to Laser Welded Blanks Door ring Ductibor Usibor 7
C-Segment Vehicle Enabling for a C-Segment vehicle: Savings of up to 73 kg or 19% of a typical C-segment vehicle s body-in-white and chassis weight A 13.5% reduction in CO 2 equivalent emissions during the vehicle s use-phase Automakers to achieve these savings at neutral cost without compromising the vehicle s safety performance solutions are being implemented in production vehicles today Choosing the best weight saving, safety and cost compromises 8
Penetration of press hardened steels The VW Golf example High Strength Steels share: from 66% in Golf VI to 80% in Golf VII HSS UHSS 66% Golf VI 6% 80% 28% Golf VII Ultra High Strength Steels share: from 6% to 28% (24% PHS, 4% AHSS) Armin Plath, Head of Materials Research and Manufacturing, Volkswagen Volkswagen is using high strength steels in increasing amounts. It is a very cost effective way of reducing weight. Using new innovations in steel engineering it is possible to reduce weight without the use for more costly materials such as aluminum and carbon fiber. According to an interview with Volkswagen for Truth About Cars, Volkswagen found that new HSS are: Six times stronger than conventional steels they replace Instrumental in achieving a weight reduction of 100 lbs. in the 2013 VW Golf Volkswagen replaces aluminum with steel to save weight and money, by Bertel Schmitt, Truth About Cars, Jan. 2013 VW: constant progress in weight primarily due to Advanced High Strength Steels 9
To conclude Materials competition: steel, aluminum, plastics, manganese, carbon fiber Full aluminum car 60 years ago (Panhard Dyna Z) Multimaterials: lightweighting design by use of hybridisation and multi-materials and joining methods Steel industry and ArcelorMittal are proposing lighweighting solutions to match carmakers expectation Evolution 10