U. S. STEEL'S SUPPLIER DIVERSITY MISSION

$453M in diverse spend, an increase of over $50 million from the prior year

Our Supplier Diversity mission is to support U. S. Steel’s vision to be an industry leader in delivering high-quality, value-added products and innovative solutions that address our customers’ most challenging needs now and in the future. Supplier Diversity is a key competitive advantage that aligns with our core values and strategic objectives. Our Supplier Diversity Program also exists because we know our inclusive supply chain has a positive impact for U. S. Steel, our customers, and the communities where we operate.

U. S. Steel’s supplier diversity definition aligns with that of the Federal Small Business Administration to include minority-owned, women-owned, LGBTQ-owned, veteran-owned, disabled-owned and service-disabled veteran-owned businesses, as well as local, small businesses. Our Supplier Diversity program has continued to excel throughout 2023. With our Procurement team leading the way, we surpassed expectations by achieving $453 million in diverse spend, an increase of over $50 million from the prior year. We were able to accomplish the growth in diverse spend by increasing accountability, dedicating resources, and investing in tools to identify and build relationships with diverse suppliers, certifying entities and local chambers of commerce. We also advanced our Tier 2 Supplier Diversity initiative with our suppliers, increasing engagement within our supply chain, and we finalized our first Supplier Diversity Economic Impact Report. As part of our Tier 2 reporting implementation, we conducted a survey of our top suppliers to determine if they had supplier diversity programs in place. As a result, we have 21 participating suppliers. Throughout 2023, we also completed procurement department training and strategy sessions aimed at increasing diverse supplier spend.

Our goal is to do even better throughout 2024. To do so, we plan to expand our pool of diverse suppliers in our request for proposals and bid distributions; grow our Tier 2 reporting program by increasing diverse supplier participation; and work with internal business organizations and Employee Resource Groups, and our customers, to continuously engage in solutions that increase innovation and support all businesses.