Impact for sustainability and competitiveness GHG emissions: –Smart repair of components, e.g. power electronics for traction systems, reduces CO2 emissions by up to 40% compared to new production. –Increased adoption of regional battery and hydrogen trains with zero local emissions, enabled by a “smart train lease” model that requires no capital expenditure (capex), allows for high flexibility and cost efficiency. –Use of secondary instead of primary materials, e.g. through a circular supply chain for aluminium, can result in a reduction of CO2 emissions of up to 90%. Resilience: –Intelligent obsolescence management and supply concepts, combined with the recovery of critical technical components increases the resilience and efficiency of rail transport. –Value recovery of materials, e.g. aluminium and copper, at the end of the life cycle through a recycling ecosystem mitigates the risk associated with scarcity of materials, supply- chain disruptions and material cost increase.Revenue: –Leading in circular, resource efficient rail solutions is a clear differentiator to win major tenders, where circularity is gaining increasing importance as a supplier-selection criterion. –Market trend towards circularity offers potential to strengthen and expand the position as a full- service provider, including new opportunities in life-cycle services in the late phases of an asset life cycle. Cost: –Predictive maintenance through Railigent-X services enables fleet availability of up to 100% as well as up to 15% reduction in maintenance costs and up to 40% saving in costs caused by service delays. –Additive manufacturing supports 100% availability by keeping spare parts available for decades, even when the original parts have become obsolete. It drives cost savings through smart redesign of components (e.g. for weight reduction) and reduces material waste by up to 70% (versus traditional manufacturing and storage). –Closing the loop regarding low-carbon, secondary materials can significantly reduce the cost for reaching ambitious supply-chain decarbonization targets. Circular Transformation of Industries: Unlocking Economic Value 26

Circular Transformation of Industries 2025