Dear Colleagues, I hope you are well and healthy. I want to share with you some exciting news about our continued progress in sustainability, specifically about our actions to address climate change, a key area we are focusing on to make CEMEX a more resilient and competitive company.

Tangible actions to mitigate climate change will clearly differentiate those organisations who only talk the talk, and those who actually deliver on their commitments. At CEMEX, we are clearly walking the talk. We are doing it in a systematic, comprehensive, and innovative way, both “inside the fence” with our own production processes, and “outside the fence” with the sustainable products and solutions that we are offering. And now, all our hard work is producing great results, providing our customers with additional reasons to make CEMEX the building materials company of choice, while we take better care of our planet.

Carbon Trust, a prestigious, independent company dedicated to accelerating the path towards a low-carbon economy, has just validated our roadmap to achieve a worldwide 35% reduction of CO₂ emissions by 2030. This confirms not only our firm commitment to help mitigate the negative effects of climate change, but also that we are on the right track. As you know, the need to address climate change has led to more strict sustainability requirements for building materials, particularly in Europe, where CEMEX has become the first company in the industry to announce a CO₂ emissions reduction target of 55% by the year 2030 for our operations in that region. By the end of this year we will be reaching a 35% reduction, ten years ahead of schedule versus our global target.

Let me highlight some specific examples of the exciting initiatives we are working on. Vertua® is our first carbon-neutral concrete, with a 30% to 70% lower carbon footprint than conventional concrete, and it can be certified as a carbon-neutral product through a compensation mechanism involving reforestation programs. This sustainable concrete is now being used in the construction of the U.K.’s H2S high-speed train, providing an extraordinary opportunity to showcase its unique qualities for many other large infrastructures and building projects around the world.

Another example is our decision to join forces, through CEMEX Ventures, with Carbon Clean, a leading carbon capture firm using cutting-edge technology. Its system will be pilot tested at one of our facilities early next year, and we are very excited about its potential to enable a much wider use of efficient, affordable, carbon capture technology.

We have also recently partnered with Synhelion, a Swiss-based company, to jointly develop a highly disruptive technology using solar energy in cement production, where the heated CO₂ becomes fuel, resulting in a process that can be carbon neutral. This innovative technology will be also tested at one of our facilities in 2022.

To lead the industry in mitigating climate change through concrete actions is certainly a very ambitious goal, but we are well prepared for it, as we’re already making significant progress in several areas that will lead us to a stronger business positioning, and to additional competitive advantages.

As you can see, we’re taking firm steps to make sustainability a key component of our path towards greater resilience, always aiming to create lasting value. Keep up the good work!

Best regards, Fernando