EU Taxonomy

For the 2025 taxonomy reporting, Sandvik has chosen to apply the Commission Delegated Regulation (EU) 2026/73 of 4 July 2025. This means mainly that the presentation format has changed compared with previous years reporting.

The EU Taxonomy identifies specific activities in certain sectors that contribute significantly to at least one of the EU’s environmental goals. These activities must also avoid causing significant harm to any of the other objectives and adhere to minimum social safeguards (Taxonomy-aligned). Sandvik has assessed its operations to determine applicable eligible activities, as outlined by the criteria in the EU delegated acts and supporting NACE code information. Sandvik is reporting details for CapEx for 7.7 acquisition and ownership of buildings. Compared to the previous year’s reporting, activities considered immaterial have not been assessed for eligibility and alignment. This includes: manufacture of iron and steel and acquisition and ownership of buildings.

The Do No Significant Harm (DNSH) criteria presents certain limitations in the evaluation of alignment, which arise from the fact that European reporting standards are not applied globally, and unclarity remains in the interpretation of certain requirements. The Commission is conducting a review of all the DNSH criteria. The objective is to revise them to enhance simplicity, usability, and alignment with EU legislation. Due to this, we have opted to maintain a conservative compliance approach to the DNSH criteria, resulting in a reported zero percent alignment across all KPIs. We monitor developments regarding the taxonomy and, as reporting practices and guidelines evolve, we may reassess our current stance. Sandvik has used the Platform on Sustainable Finance’s Final report on Minimum Safeguards to assess compliance with the minimum safeguards laid down in Article 18 in Regulation (EU) 2020/852. There are processes in place to secure minimum safeguards relating to anti-corruption, fair competition and taxation, as well as following the OECD’s six steps for due diligence of human rights. An overview of due diligence is found under GOV-4 in the sustainability statement. There have been no court convictions in any of these areas.

Proportion of turnover, CapEx, OpEx from products or services associated with Taxonomy-eligible or Taxonomy-aligned economic activities

Proportion of CapEx from products or services associated with Taxonomy-eligible or Taxonomy-aligned economic activities