United States Steel : 2023 ESG REPORT

The Future of Steel

United States Steel Corporation

2023 Sustainability Report

I N T R O D U C T I O N

The History of Steel

Since 1901, U. S. Steel has grown with America. Working through times of prosperity or challenge, we have produced the steel that built this nation. We are energized by the opportunity to create a better tomorrow for people and the planet.

1970s

U. S. Steel researchers developed a one-side- electrogalvanizing process (known as the CAROSEL process), which applies a zinc coating to one side of

2000s

2000 -2011:The United States government applied restrictions on steel imports from other countries to try to save the steel industry, but

5.4 million jobs were lost, and over 60,000 steel businesses closed. The big job of building the World Trade Center in New York City saved many jobs that would have otherwise been lost.30

2000s: U. S. Steel acquired new steelmaking capacities.31

2000: U. S. Steel purchased the Slovak steelmaking assets of VSZ a.s., creating U. S. Steel Košice.32

1800s-1920s

1873-1875: Andrew Carnegie, through the firm Carnegie, McCandless & Co., built the Edgar Thomson Plant.1

1875-1920: American steel production grew from 380,000 tons to 60 million tons annually, making the United States the world leader.2

1890: The Duquesne Steel Company Plant was sold to Carnegie Steel Corporation.3

1901: U. S. Steel was formed with the joining of American business icons Andrew Carnegie, J.P. Morgan and Charles Schwab, led by Elbert H. Gary, U. S. Steel's first chairman.4

1930s

The Great Depression reduced the country's total steel production by 75%, and steelworkers took wage cuts.5

1931: U. S. Steel moved its headquarters to New York City's Empire State Building when construction (using our steel) was completed.6

1936: Oakland Bay Bridge in San Francisco, CA,7 and the Henry Hudson Bridge in NY8 built using U. S. Steel's steel.

1938: The Ferrostan process (U. S. Steel trade name) was invented - the first for continuous tinplating.9

1940s-1950s

Steel formerly used for tanks and warships meets consumer demand for automobiles and home appliances. As more people moved to cities, buildings became larger and taller, and huge quantities of steel were required for girders and reinforced concrete.10

Basic oxygen steelmaking and electric arc furnaces make production processes faster and more energy efficient, allowing manufacturers to reuse scrap as input material.11

1952: United Nations

Headquarters Building,12

Chesapeake Bay Bridge &

Tunnel,13 and Three Sisters

Bridges;14 and 1955: Tappan

Zee Bridge15 in NY - all built

with U. S. Steel's steel.

1960s

Steel formerly used for scrap from vehicles, household appliances and industrial waste became a significant, and cheap, resource. In a basic oxygen furnace, up to 30% of the charge can be scrap steel.16

Structures built using our steel:

1964: Verrazzano-Narrows

Bridge;17 1966: The Vehicle Assembly Building (VAB).18

steel sheet without affecting the mechanical properties of the steel. This steel is used for automobile panels and has provided good corrosion resistance while maintaining the excellent paintability and appearance of cold rolled steel.19

1970: The U. S. Steel Tower, the tallest skyscraper in Pittsburgh, Pennsylvania, is built with our COR-TEN® Steel.20

1971: U. S. Steel built Disney's Contemporary Resort and the Disney's Polynesian Resort at Walt Disney World, in part to showcase its residential steel building "modular" products to high - end and luxury consumers.21

1970: John Hancock Center22

1973: Willis Tower23 1975: New Orleans Superdome24 1977: New River Gorge Bridge25- allbuilt with U. S. Steel's steel.

1980s

1974-1986: The U.S. steel industry was mired in a deep depression due to a ten-year economic downturn sparked by the OPEC oil embargo and the Iranian revolution.26

1982: U. S. Steel acquired Marathon Oil Company27 and, in early 1986, Texas Oil & Gas Corp.28

1986: U. S. Steel Corporation changed its name to USX Corporation, with principal operating units involved in energy, steel and diversified businesses.29

2002: USX Corporation is reorganized, which results in the spinoff of the steel and steel-related businesses of USX into a freestanding, publicly traded company known as United States Steel Corporation. The remaining energy businesses of USX became Marathon Oil Corp.33

2003: U. S. Steel acquired the assets of the former National Steel Corp., adding iron ore reserves and significant integrated steelmaking capacity. The deal moved U. S. Steel from the 11th largest steel producer in the world to the fifth at that time.34

2007: U. S. Steel acquired Lone Star Technologies, a leading producer of welded pipe for the oil and gas industry, bolstering our position in the growing energy sector and elevating U. S. Steel to North America's largest manufacturer of tubular steel products.35

2010s

Continuous casting, along with innovations in rolling and finishing, have brought major efficiency gains while reducing the industry's demands on energy for heat and water for cooling.36

2010 -2018: Global crude steel production grows from 1,540 million metric tons to 1,875 million metric tons.37

2019: Best of Both® strategy launched to combine the best of integrated and mini mill steelmaking technologies.38

2020s

2021: U. S. Steel acquired Big River Steel to further our strategy to create a more secure, sustainable future for the Company and our stakeholders. Big River Steel operates the most advanced state-of-the-art sustainable mill in North America.

We have led the industry by servicing diversified customers, including the automotive, construction, energy, appliance and packaging industries while pursuing lower-cost and lower-carbon-emitting strategies.

Endnotes of historical sources can be found on page 137.

Table of Contents

	Protecting	Upholding
Introduction	Our Planet	Governance

1 21 31 60 90 101

Inspiring	Empowering	Disclosures
Innovation	People

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ABOUT THIS REPORT

U. S. Steel's 2023 Sustainability Report covers our progress against our sustainability initiatives

and goals. It is the primary source of annual disclosure on our environmental, social and governance (ESG) performance and should be viewed in conjunction with disclosures in our ESG Data Hub. Data in this report covers the period from January 1, 2023, to December 31, 2023, unless otherwise indicated.

Reporting on other matters specific to the performance or governance of U. S. Steel and its subsidiaries can be found in our 2023 Annual Report10-K and in our 2024 Proxy Statement. This document does not substantially incorporate the contents of any website or of any documents that it cites.

Additional information on climate risks and opportunities can be found in our 2023 Task Force onClimate-relatedFinancial Disclosures (TCFD) Reportand our Climate Strategy Report. Our Diversity, Equity and Inclusion (DE&I) Report contains further information on our Culture of Caring and employee representation.

This report covers U. S. Steel's global operations, defined as facilities or businesses in which U. S. Steel exercises operational control. It does not include details concerning joint ventures.

This report has been prepared in accordance with the Global Reporting Initiative (GRI) Standards. We have also provided responses to the Sustainability Accounting Standards Board (SASB) Iron & Steel Producers and Metals

• Mining standards. Please see our GRI and SASB indices starting on page 102.

Best for All® strategy

Our Best for All® strategy provides our customers with profitable steel solutions while creating a more sustainable future for all stakeholders - our customers, investors, employees and communities where we work and live.

This strategy is aligned with our sustainability objectives, as we focus on innovative solutions and industry-leading,low-carbon process technologies.

A summary of our 2021-2023 ESG data can be found on page 131.

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I N T R O D U C T I O N

Commitment Statement

We are committed to reducing our carbon footprint, and helping our customers reduce theirs, by providing advanced steel products that are manufactured with fewer emissions than traditional steelmaking methods and that can be recycled repeatedly. Our goal is to achieve net-zero greenhouse gas (GHG) emissions (Scope 1 and 2) by 2050.

Disruption in the steel industry is inevitable. We intend to focus on disruptive innovation that is vital to our success, and that advances our sustainability strategy. We are already proving the value of this approach with innovations such as

verdeX® and InduX™, infinitely recyclable steels produced from up to 90% scrap while reducing GHG emissions (Scope 1 and 2) by 70-80%.

We envision a true transformation that goes beyond the steels we make or the manufacturing processes we have used. We will be a steelmaker that is best for our people, our customers, our communities and our planet.

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TION

I N T R O D U C T I O N

2023 Environmental Progress Highlights

• The successful launch of our non-grain-oriented electrical steel line
• Providing customers withEnvironmental Product Declaration (EPD)data on flat rolled coil products melted at all our flat roll plants in North America and finished anywhere in our network
• Bolstering the advantages of GALVALUME®,1 including doubling the length of its warranty
• Introducing COASTALUME™ to the market
• Investing in direct reduced-grade pellet production
• Received the 2023 Steelie Award for Innovation of the Year from the World Steel Association
• Achieved a 15% reduction in Scope 2 GHG emissions intensity at U. S. Steel's Big River Steel 1 (BR1) from our 2021 baseline year

19.6% GHG

emissions reduction

intensity (Scope 1 and 2) from our 2018 baseline year achieved

PLANET

PEOPLE

GOVERNANCE

7.07 tons

of waste recycled

including office paper, wood, plastic totes, soda cans and coffee waste recycled at BR1

• Multiple partnerships with energy and technology companies, government, non-profits and universities on carbon capture, reduction and utilization projects
• Continuing construction on U. S. Steel's Big River Steel 2 (BR2), our second next-generation sustainable mini mill and a key part of U. S. Steel's net-zero strategy
• Converted two locomotives at our Mon Valley Works from diesel to electric power
• Permanently shut down the three oldest coke batteries at our Clairton Plant
• BR1 continued participating in Entergy Arkansas' Green Promise tariff program to increase its use of renewable energy
• BR1 installed 12 Level 2 electric vehicle charging stations for employee vehicles, with employee usage jumping in 2023 from two cars to eight cars

DISCLOSURES	U. S. STEEL 2023 SUSTAINABILITY REPORT 5

• Invested $8 million in a water quality project at our Minntac taconite plant in Minnesota
• Our compliance rate for coke oven battery under fire stacks was 99.8%. For federal coke battery standards, our compliance rate was 100%
• Installed 13 miles of steel ties at BR1, equating to 336 net tons of carbon mitigation per year due to tree preservation
• BR1 added a 40-acre wildlife habitat on the west side of its property, including a pond used by migratory birds
• The Save the Bees Pollinator program at BR1 has saved more than 10,000 bees so far
• Received the Western Dredging Association 2023 Environmental Excellence Award for Partnerships and Outreach/Education in dredging projects in Minnesota

1,000 gallons of

city water saved per minute

from 2019-2023 through operational efficiency updates at Great Lakes Works

1 GALVALUME is a registered trademark of BIEC International Inc.

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TION

I N T R O D U C T I O N

2023 Social Progress Highlights

PLANET	PEOPLE	GOVERNANCE	DISCLOSURES	U. S. STEEL 2023 SUSTAINABILITY REPORT 6

• Achieved a corporate Occupational Safety and Health Administration (OSHA) Days Away From Work (DAFW) rate of 0.04, a record performance for U. S. Steel and just a fifteenth of the U.S. Bureau of Labor Statistics' Iron and Steel benchmark DAFW rate of 0.60
• BR1 received the Association for Iron & Steel Technology's 2023 Safety & Health Innovation Award
• Our Legal Department received Mansfield Certification2
• For the fourth year in a row, we earned "Best Place to Work

for LGBTQ+ Equality" by the Human Rights Campaign's 2023 Corporate Equality Index

3years in a row

U. S. Steel was named to

Newsweek's Top 100 Most

Loved Workplaces®

Supported 100%⁜

equity in pay, promotion and performance management

• For the fourth year in a row, we earned "Best Place to Work for Disability Inclusion" by the 2023 Disability Equality Index
• 2023 Military Times "Best for Vets: Employers" List
• Representation for people of color in Senior Manager and above roles increased to 7.8% in 2023 from our 7.6% baseline in 2022
• Employee Resource Group (ERG) membership increased by 6%
• Veterans made up 12% of all new hires in 2023
• Total employee training hours increased by 5%

• U. S. Steel directed $6.7 million in donations to 134 organizations, events and programs, and this includes $1.6 million in donations provided by U. S. Steel Košice
• Invested more than $4 million in the communities where U. S. Steel operates in the U.S. and Slovakia
• U. S. Steel employees across the Company volunteered more than 20,000 hours of their time to charitable causes in 2023
• U. S. Steel was approved to become Beyond the Yellow Ribbon certified in November 2023

25+⁜net tons of trash

collected by U. S. Steel teams during the Litter League event, from the communities surrounding U. S. Steel facilities

2 See page 69 of this report for more information on Mansfield Certification.

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I N T R O D U C T I O N

Our Mission

and Values

At U. S. Steel, our mission of delivering profitable steel solutions for people and the planet underlies everything we do. In 2023, supported by our Board of Directors (Board), we continued our work to fulfill this mission by executing our strategy to deliver the BEST for all our stakeholders.

Our culture is based on our S.T.E.E.L. Principles: Safety First; Trust and Respect; Environmental Stewardship; Excellence and Accountability; and Lawful and Ethical Conduct. We expect our employees and members of our Board to take personal responsibility to "do what's right," and our Code of Ethical Business Conduct serves as the foundation

for the actions of our employees and directors. To further ensure that employees understand the Company's expectations and all applicable rules, we provide annual ethics and compliance training to our employees and share communications about key compliance topics, including senior management messages underscoring the importance

of doing business with integrity. In addition, through our annual policy certification process, employees of U. S. Steel Košice (USSK) in Košice, Slovakia, non-represented employees in the United States, and members of our Board certify their ongoing compliance with our Code of Ethical Business Conduct.

S. T. E. E. L. PRINCIPLES

S	Safety First
T	Trust and Respect
E	Environmental Stewardship
E	Excellence and Accountability
L	Lawful and Ethical Conduct

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I N T R O D U C T I O N

The Future of Steel

Steel is the most widely used metal. New steel products made from EAFs3 contain up to 90% recycled steel, and those made from BOFs4 contain up to 30% recycled steel, and all are infinitely recyclable.

~630 million net tons of steel are recycled annually, making it the world's most recycled material.5

Different types of steel serve different functions:

• Advanced High-Strength Steels (AHSS) provide an optimized blend of high strength and high formability to build stronger and lighter vehicles and machinery.
• Non-grain-orientedelectrical steels have electrical properties optimized for motors, including those for electric vehicles.
• Grain-orientedelectrical steels are primarily used in electric transformers.

2%

of steel industry raw materials end up as waste.

The steel industry′s co-products are also nearly entirely reusable, including in construction, road materials, heat generation and chemical manufacturing.

See diagram on page 46

Steelmaking has undergone huge advances:

40%It now consumes

of the energy per pound it did in the 1960s. Our operations are leveraging computers and advanced process modeling, including predictive analytics and artificial intelligence.

Our mini mill, which can produce nearly all

90%the products in our portfolio, can manufacture steel using up to

recycled steel, versus no more than 30% in more integrated steelmaking processes.

AUTOMOTIVE

Specialized steel is required for making electric-vehicle motors, and recycled steel is instrumental in the construction of new vehicles.

FOOD PACKAGING

U. S. Steel is the largest producer of tin-plated steel in the U.S., used for recyclable food-product cans.

RENEWABLES

Steel is a major component of solar power installations, wind turbines and transformers for electrification - all helping companies to reach net-zero emissions.

HOUSING

1. S. Steel produces long-lasting, durable steel roofing and siding. The steel from five recycled cars can make the frame for a home.

Reducing Steel's Impact on the Environment

In 2023, 2 billion net tons of crude steel were produced globally, accounting for about 8% of global GHG emissions.6 Steel industry experts recognize that reducing the amount of fossil fuels used to produce steel is crucial to combating climate change, and U. S. Steel is

1. Electric arc furnaces.
2. Basic oxygen furnaces.
3. https://worldsteel.org/about-steel/steel-facts/
4. https://worldsteel.org/media-centre/press-releases/2024/december-2023-crude-steel-production-and-2023-global-totals/

actively working on ways to lessen steel manufacturing's environmental footprint.

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I N T R O D U C T I O N

Steel and Sustainability

Advancing

Circularity

As a continuously recyclable material,

steel is an integral part of the

circular economy. It also provides durable,

long-lasting strength that supports

reuse, thus helping build

a zero-waste future.

Lightweight

Strength

New and better ways of making

modern steel are invented every year. Advanced High-Strength Steel (AHSS) is critical to increasing the fuel efficiency of automobiles and to reducing emissions. Thanks to the strength and light weight of modern steel, high-rise buildings can be built today with half the steel

used in the 1930s for buildings

of equal size.

Manufacturing

Flexibility

Components may be cold stamped

or hot formed into intricate shapes and structures, and the steel can be joined by many techniques, including welding and brazing, gluing and even lock seaming. This flexibility enables benefits such as

cost savings, accelerated speed to market and improved versatility.

Over the past century, steel's qualities and production methods have become far more sustainable,7 in many ways.

							Reducing CO2
	Preserving Water					Emissions
		Saving Energy	Emissions levels from producing
Around 90% of water used in the		steel have dropped from more than
steel industry is cleaned, cooled and				2 metric tons of CO2 per metric ton of steel
returned to its source.8 Most of the	The energy used to produce a ton	produced (integrated) to less than half a
loss is due to evaporation. The water	of steel has been reduced by around	metric ton of CO2 per metric ton of steel
returned to rivers and other sources is	60% in the last 50 years.10	produced in a mini mill when considering
often cleaner than when it				Scope 1 and Scope 2 emission sources.
	was extracted.9				In the future, these amounts could fall
						even more by using emission-free
						electricity and hydrogen fuel
							as energy sources.

1. https://worldsteel.org/about-steel/steel-facts/
2. https://worldsteel.org/about-steel/key-messages/steel-core-green-economy/
3. https://worldsteel.org/media-centre/blog/2020/climate-steel-industry-water-scarcity/
4. https://worldsteel.org/steel-topics/raw-materials/