Plastic Omnium - 2020 Universal Registration Document

STATEMENT OF NON-FINANCIAL PERFORMANCE Innovation www.plasticomnium.com PLASTIC OMNIUM UNIVERSAL REGISTRATION DOCUMENT 2020 146 & $ 4.5 ORGANIZATION OF INNOVATION 4.5.1 AND OPEN INNOVATION Innovation of one of the Compagnie Plastic Omnium SE cultural pillars, the ‘PO Way’. It is part of the Group’s DNA and enables it to strengthen its leadership. In total, 25 Research and Development centers and more than 2,500 people are working to develop innovation. In 2020, 44 patents families were added to Plastic Omnium’s portfolio, which now has 2,210 (1) . Intrapreneurship is encouraged through the internal innovation competition. The ceremony of the second “Innovation Awards, by Plastic Omnium” took place on July 9, 2020. This competition, open to all Plastic Omnium employees, is the chance to be recognized and rewarded for innovative projects. The innovative projects, already developed or under development, could be submitted to the jury in three categories: Operational Excellence, Products, Open Innovation. This year 10 teams were rewarded, out of 178 applications submitted, representing 670 employees. Plastic Omnium forms partnerships with industrial companies that are leaders in their fields: Hella, leader in lighting and electronics, and Brose, leader in electrical engineering and sensors. In September 2020, Plastic Omnium joined the international platform “Startup Autobahn” founded by the University of Stuttgart and ARENA2036. With around 30 leading manufacturers and universities, the members’ Open Innovation approach aims to promote a culture of exchange, disruptive thinking, technological research and contact to accelerate creativity and innovation. In France and internationally, this ecosystem enables innovative start-ups in diverse fields to be identified. In the United States and Asia, the Group is a partner of start-up incubators with a view to creating connections by analyzing innovative solutions. Within Intelligent Exterior Systems, a team is dedicated to Open Innovation and researching innovative initiatives. INNOVATION IS CENTRAL 4.5.2 TO OUR BUSINESSES CO 2 emissions are Plastic Omnium’s top priority for gasoline engines. The European standards (95 g CO 2 e/km) in 2021 and the Euro 7 standard are ambitious and require an improvement in current engines. It is critical for the Group to bring solutions to its manufacturing customers. WITHIN CLEAN ENERGY SYSTEMS SCR systems Selective catalytic reduction (SCR) technology reduces nitrogen oxide (NOx) emissions by injecting AdBlue ® into the exhaust gases of diesel engines. Nitrogen oxides are 95% transformed into nitrogen and water vapor, with a very beneficial effect on air quality. The double injection system complements the action of the SCR by improving its efficiency from start-up and under all driving conditions, particularly in towns. These two complementary technologies, developed and patented by Plastic Omnium, make it possible to foresee the future requirements of the Euro 7 standard, which will come into force in 2024. Plastic Omnium has a strong presence in China and India. This will enable these two markets for their steadily growing markets. Despite the downturn in the worldwide market, deliveries of diesel pollution control fuel tanks increased by 10%. The growing Chinese and Indian markets have more than offset the volume declines of the traditional markets. Clean diesel demand is growing sharply in these countries. SCR systems are covered by more than 170 patents, mechatronic technologies and innovative components enable the system to operate in all usage conditions. The Inwin and Tanktronik ® systems The Inwin and Tanktronik ® systems are 30% lighter than their metal equivalents. Dedicated to plug-in hybrid vehicles that combine both a combustion engine and an electric motor, they are designed to withstand fuel vapor pressures when the vehicle is running in all-electric mode. Regional partnerships have been signed with three manufacturers: one in Europe, one in Asia and one in the Americas. Sales of plug-in hybrid vehicles rose sharply, particularly in Europe throughout 2020, reaching level as sales of battery-powered vehicles. The Group’s patent portfolio was optimized in 2020, which explains the decrease in the total number of patents in the portfolio compared to 2019. (1)