Impact GHG emissions: –In cases of seasonal demand for cooling or heating, there are often customers with countercyclical needs. By sharing, Trane Technologies can decrease virgin resource consumption as well as embedded carbon emissions that would be required to build two separate pieces of equipment when only one is actually needed. –In cases of continuous demand, renting offers access to efficient technology, thereby helping to reduce energy costs and carbon footprints. In fact, in EMEA, because of the Ecodesign for Sustainable Products Regulation, chiller efficiency has increased by 70% over the past seven years. –Upgrading technology can even transform seasonal demand into continuous demand. Offering rental options for the latest heat pump technology instead of gas boilers helps reduce resource consumption and emissions while meeting heating and cooling needs. This eliminates the need for additional installation, transportation and heating alternatives that rely on natural gas. Resilience: –Renting allows Trane Technologies to quickly meet customer needs and mitigate supply-chain challenges. –In the EMEA market, Trane Technologies enhances supply-chain resilience and price stability through more effective long-term planning and stronger relationships with suppliers. The rental service helps stabilize the demand for materials by maintaining consistent production levels. Value added: –Rental services unlock new opportunities that benefit customers, for example, by serving customers who need to mitigate short-term equipment downtime or those looking to try new equipment without being willing to make significant capital investments. Additionally, this circular business model enables a more transparent revenue pathway by providing customers accelerated equipment upgrades and helping customers comply with chiller efficiency regulations. –Today, the rental segment is growing at a steady rate annually, with minimal cannibalization of linear sales. Costs: –In the EMEA market, by utilizing factory capacity to produce rental equipment, Trane Technologies can minimize the fixed cost-absorption challenges associated with underutilized production facilities. –Improved end-of-life management of assets enables the recovery of valuable equipment, which would have otherwise resulted in capital investments in new systems. Circular Transformation of Industries: Unlocking Economic Value 28

Circular Transformation of Industries 2025