Cover
Cover | 6 Months Ended |
Jun. 30, 2021 | |
Cover [Abstract] | |
Document type | 6-K |
Entity registrant name | ARCELORMITTAL |
Entity central index key | 0001243429 |
Current fiscal year end date | --12-31 |
Document period end date | Jun. 30, 2021 |
Document fiscal year focus | 2021 |
Document fiscal period focus | Q2 |
Amendment flag | false |
Condensed consolidated statemen
Condensed consolidated statements of financial position - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 4,071 | $ 5,600 |
Restricted cash and other restricted funds | 113 | 363 |
Trade accounts receivable and other (including 984 and 269 from related parties at June 30, 2021 and December 31, 2020, respectively) | 5,586 | 3,072 |
Inventories (note 2) | 16,286 | 12,328 |
Prepaid expenses and other current assets | 3,344 | 2,281 |
Assets held for sale (note 3) | 0 | 4,329 |
Total current assets | 29,400 | 27,973 |
Non-current assets: | ||
Goodwill and intangible assets | 4,557 | 4,312 |
Property, plant and equipment and biological assets | 30,229 | 30,622 |
Investments in associates and joint ventures | 9,090 | 6,817 |
Other investments | 2,292 | 2,980 |
Deferred tax assets | 7,824 | 7,866 |
Other assets | 2,032 | 1,482 |
Total non-current assets | 56,024 | 54,079 |
Total assets | 85,424 | 82,052 |
Current liabilities: | ||
Short-term debt and current portion of long-term debt (note 6) | 2,639 | 2,507 |
Trade accounts payable and other (including 293 and 272 to related parties at June 30, 2021 and December 31, 2020, respectively) | 14,076 | 11,525 |
Short-term provisions (note 8) | 659 | 935 |
Accrued expenses and other liabilities | 4,497 | 4,197 |
Income tax liabilities | 1,045 | 464 |
Liabilities held for sale (note 3) | 0 | 3,039 |
Total current liabilities | 22,916 | 22,667 |
Non-current liabilities: | ||
Long-term debt, net of current portion (note 6) | 6,589 | 9,815 |
Deferred tax liabilities | 1,958 | 1,832 |
Deferred employee benefits | 4,528 | 4,656 |
Long-term provisions (note 8) | 1,952 | 1,697 |
Other long-term obligations | 1,156 | 1,148 |
Total non-current liabilities | 16,183 | 19,148 |
Total liabilities | 39,099 | 41,815 |
Equity (note 4): | ||
Equity attributable to the equity holders of the parent | 44,165 | 38,280 |
Non-controlling interests | 2,160 | 1,957 |
Total equity | 46,325 | 40,237 |
Total liabilities and equity | $ 85,424 | $ 82,052 |
Condensed consolidated statem_2
Condensed consolidated statements of financial position (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Statement of financial position [abstract] | ||
Receivables due from related parties | $ 984 | $ 269 |
Current payables to related parties | 293 | 272 |
Prepaid expenses and other current assets | $ 3,344 | $ 2,281 |
Condensed consolidated statem_3
Condensed consolidated statements of operations - USD ($) shares in Millions, $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Profit or loss [abstract] | ||
Sales (including 4,902 and 2,384 of sales to related parties for the six months ended, June 30, 2021 and June 30, 2020, respectively) | $ 35,536 | $ 25,820 |
Cost of sales (including depreciation and impairment of 1,221 and 1,602 and purchases from related parties of 1,150 and 571 for the six months ended June 30, 2021 and June 30, 2020, respectively) | 27,402 | 25,459 |
Gross margin | 8,134 | 361 |
Selling, general and administrative expenses | 1,061 | 967 |
Operating income (loss) | 7,073 | (606) |
Income from investments in associates, joint ventures and other investments | 1,043 | 127 |
Financing costs - net (note 6 and note 7) | (594) | (642) |
Income (loss) before taxes | 7,522 | (1,121) |
Income tax expense (note 5) | (946) | (524) |
Net income (loss) (including non-controlling interests) | 6,576 | (1,645) |
Net income (loss) attributable to: | ||
Equity holders of the parent | 6,290 | (1,679) |
Non-controlling interests | $ 286 | $ 34 |
Earnings (loss) per common share (in U.S. dollars) (see note 4): | ||
Basic (in USD per share) | $ 5.40 | $ (1.57) |
Diluted (in USD per share) | $ 5.39 | $ (1.57) |
Weighted average common shares outstanding (in millions) (see note 4): | ||
Basic (in shares) | 1,165 | 1,066 |
Diluted (in shares) | 1,168 | 1,066 |
Condensed consolidated statem_4
Condensed consolidated statements of operations (Parenthetical) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Profit or loss [abstract] | ||
Sales to related parties | $ 4,902 | $ 2,384 |
Depreciation and Impairment | 1,221 | 1,602 |
Purchases of goods, related party transactions | $ 1,150 | $ 571 |
Condensed consolidated statem_5
Condensed consolidated statements of other comprehensive income - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of comprehensive income [abstract] | ||
Net income (loss) (including non-controlling interests) | $ 6,576 | $ (1,645) |
Derivative financial instruments: | ||
Gain (loss) arising during the period | 1,295 | (26) |
Reclassification adjustments for (gain) included in the condensed consolidated statements of operations and financial position (basis adjustment) | (233) | (354) |
Other comprehensive income, before tax, change in value of derivative financial instruments | 1,062 | (380) |
Exchange differences arising on translation of foreign operations: | ||
Gain (loss) arising during the period | 283 | (2,420) |
Reclassification adjustments for loss included in the condensed consolidated statements of operations | 105 | 0 |
Other comprehensive income, before tax, exchange differences on translation | 388 | (2,420) |
Share of other comprehensive income (loss) related to associates and joint ventures: | ||
Gain (loss) arising during the period | 177 | (393) |
Reclassification adjustments for (gain) included in the condensed consolidated statements of operations | (50) | 0 |
Total share of other comprehensive income of associates and joint ventures accounted for using equity method, before tax | 127 | (393) |
Income tax (expense) benefit related to components of other comprehensive income that can be recycled to the condensed consolidated statements of operations | (355) | 354 |
Investments in equity instruments at FVOCI: | ||
Gain (loss) arising during the period | 680 | (98) |
Share of other comprehensive (loss) related to associates and joint ventures | 0 | (3) |
Other comprehensive income that will not be reclassified to profit or loss, before tax | 680 | (101) |
Employee benefits - Recognized actuarial gain | 61 | 0 |
Share of other comprehensive income related to associates and joint ventures | 12 | 0 |
Income tax (expense) related to components of other comprehensive income that cannot be recycled to the condensed consolidated statements of operations | (175) | 0 |
Other comprehensive loss | 1,800 | (2,940) |
Total other comprehensive income (loss) | ||
Equity holders of the parent | 1,785 | (2,857) |
Non-controlling interests | 15 | (83) |
Total comprehensive loss | 8,376 | (4,585) |
Total comprehensive income (loss) attributable to: | ||
Equity holders of the parent | 8,075 | (4,536) |
Non-controlling interests | $ 301 | $ (49) |
Condensed consolidated statem_6
Condensed consolidated statements of changes in equity - USD ($) shares in Millions, $ in Millions | Total | Equity attributable to the equity holders of the parent | Share capital | Treasury shares | Mandatorily convertible notes | Additional paid-in capital | Retained earnings | Foreign currency translation adjustments | Unrealized gains (losses) on derivative financial instruments | Unrealized gains (losses) on investments in equity instruments at FVOCI | Recognized actuarial losses | Non-controlling interests | |
Beginning balance (in shares) at Dec. 31, 2019 | [1],[2] | 1,012 | |||||||||||
Beginning balance at Dec. 31, 2019 | $ 40,483 | $ 38,521 | $ 364 | $ (602) | $ 0 | $ 34,826 | $ 22,883 | $ (16,125) | $ 235 | $ 180 | $ (3,240) | $ 1,962 | |
Changes in equity [abstract] | |||||||||||||
Net income (loss) (including non-controlling interests) | (1,645) | (1,679) | (1,679) | 34 | |||||||||
Other comprehensive loss | (2,940) | (2,857) | (2,399) | (341) | (117) | (83) | |||||||
Total comprehensive loss | (4,585) | (4,536) | (1,679) | (2,399) | (341) | (117) | (49) | ||||||
Offering of common shares (in shares) | 81 | ||||||||||||
Offering of common shares | 740 | 740 | $ 29 | 711 | |||||||||
Mandatorily convertible notes | 1,047 | 1,047 | 1,047 | ||||||||||
Recognition of share-based payments | 2 | 2 | 2 | 2 | (2) | ||||||||
Dividend (note 4) | (89) | (89) | |||||||||||
Ending balance (in shares) at Jun. 30, 2020 | [1],[2] | 1,093 | |||||||||||
Ending balance at Jun. 30, 2020 | 37,598 | 35,774 | $ 393 | (600) | 1,047 | 35,539 | 21,202 | (18,524) | (106) | 63 | (3,240) | 1,824 | |
Beginning balance (in shares) at Dec. 31, 2020 | [1],[2] | 1,081 | |||||||||||
Beginning balance at Dec. 31, 2020 | 40,237 | 38,280 | $ 393 | (538) | 840 | 35,247 | 22,097 | (17,053) | 229 | 583 | (3,518) | 1,957 | |
Changes in equity [abstract] | |||||||||||||
Net income (loss) (including non-controlling interests) | 6,576 | 6,290 | 6,290 | 286 | |||||||||
Other comprehensive loss | 1,800 | 1,785 | 165 | 1,049 | 524 | 47 | 15 | ||||||
Total comprehensive loss | 8,376 | 8,075 | 6,290 | 165 | 1,049 | 524 | 47 | 301 | |||||
Recognition of share-based payments | 21 | 21 | 18 | 3 | |||||||||
Share buyback (note 4) (in shares) | [1],[2] | (62) | |||||||||||
Shares buyback (note 4) | (1,744) | (1,744) | (1,744) | ||||||||||
Dividend (note 4) | (410) | (312) | (312) | (98) | |||||||||
Put option NSI (note 4) | (119) | (119) | |||||||||||
Divestment of Cleveland-Cliffs shares (note 7) | 0 | 267 | (267) | ||||||||||
Other movements | (36) | (36) | (36) | ||||||||||
Ending balance (in shares) at Jun. 30, 2021 | [1],[2] | 1,019 | |||||||||||
Ending balance at Jun. 30, 2021 | $ 46,325 | $ 44,165 | $ 393 | $ (2,264) | $ 840 | $ 35,250 | $ 28,187 | $ (16,888) | $ 1,278 | $ 840 | $ (3,471) | $ 2,160 | |
[1] | Excludes treasury shares | ||||||||||||
[2] | In millions of shares |
Condensed consolidated statem_7
Condensed consolidated statements of cash flows € in Millions, $ in Millions | 6 Months Ended | |
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | |
Operating activities: | ||
Net income (loss) (including non-controlling interests) | $ 6,576 | $ (1,645) |
Adjustments to reconcile net income (loss) to net cash provided by operations: | ||
Depreciation and amortization | 1,221 | 1,510 |
Impairment | 0 | 92 |
Interest expense | 199 | 261 |
Interest income | (32) | (34) |
Income tax expense (note 5) | 946 | 524 |
Income from associates, joint ventures and other investments | (1,043) | (127) |
Provisions on pension and OPEB | 100 | 212 |
Net gain on disposal of subsidiaries (note 3) | (104) | 0 |
Change in fair value adjustment on call option on Mandatory Convertible Bonds (note 7) | (37) | 117 |
Foreign exchange effects, write-downs of inventories to net realizable value, provisions and other non-cash operating expenses (net) | 757 | 681 |
Changes in assets and liabilities that provided (required) cash: | ||
Change in working capital | (3,535) | (501) |
Interest paid | (286) | (329) |
Interest received | 30 | 35 |
Cash contributions to plan assets and benefits paid for pensions and OPEB | (133) | (147) |
VAT and other amounts recoverable from public authorities | 53 | 536 |
Dividends received from associates, joint ventures and other investments | 115 | 35 |
Income tax paid | (821) | (197) |
Provision movements and other liabilities | (697) | (127) |
Net cash provided by operating activities | 3,309 | 896 |
Investing activities: | ||
Purchase of property, plant and equipment and intangibles | (1,188) | (1,251) |
Lease installments relating to ArcelorMittal Italia acquisition | (14) | (86) |
Disposal of net assets of subsidiaries, net of cash disposed of (4) and nil for the six months ended June 30, 2021 and June 30, 2020 respectively (note 3) | (4) | 0 |
Disposal of common shares in Cleveland-Cliffs (note 7) | 1,377 | 0 |
Proceeds from repayment of cash collateral for the TSR receivables retained in ArcelorMittal USA | 260 | 0 |
Proceeds from repayment of an outstanding short-term loan to Global Chartering Limited | 0 | 127 |
Other investing activities (net) | (45) | 91 |
Net cash provided by (used in) investing activities | 386 | (1,119) |
Financing activities: | ||
Proceeds from short-term and long-term debt | 229 | 399 |
Payments of short-term and long-term debt | (3,085) | (1,018) |
Share buyback (note 4) | (1,647) | 0 |
Equity offering | 0 | 740 |
Proceeds from mandatorily convertible subordinated notes | 0 | 1,237 |
Dividends paid | (366) | (110) |
Repayment of cash pooling liability to Acciaierie d'Italia (note 3) | (199) | 0 |
Payment of principal portion of lease liabilities and other financing activities | (100) | (118) |
Net cash (used in) provided by financing activities | (5,168) | 1,130 |
Net (decrease) increase in cash and cash equivalents | (1,473) | 907 |
Effect of exchange rate changes on cash | (59) | (144) |
Cash and cash equivalents: | ||
At the beginning of the period | 5,600 | 4,867 |
Reclassification of the period-end cash and cash equivalents from assets held for sale | 3 | 0 |
At the end of the period | $ 4,071 | $ 5,630 |
Condensed consolidated statem_8
Condensed consolidated statements of cash flows (Parenthetical) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of cash flows [abstract] | ||
Cash disposed | $ (4) | $ 0 |
BASIS OF PRESENTATION AND ACCOU
BASIS OF PRESENTATION AND ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2021 | |
General Information About Financial Statements [Abstract] | |
BASIS OF PRESENTATION AND ACCOUNTING POLICIES | BASIS OF PRESENTATION AND ACCOUNTING POLICIES Preparation of the condensed consolidated financial statements The condensed consolidated financial statements of ArcelorMittal and its Subsidiaries (“ArcelorMittal” or the “Company”) as of June 30, 2021 and for the six months then ended (the “Interim Financial Statements”) have been prepared in accordance with International Accounting Standard (“IAS”) 34, “Interim Financial Reporting”. They should be read in conjunction with the consolidated financial statements and the notes thereto in the Company’s Annual Report for the year ended December 31, 2020, which have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The Interim Financial Statements are unaudited and were authorized for issuance on July 30, 2021 by the Company’s Board of Directors. Significant accounting policies The Interim Financial Statements have been prepared on a historical cost basis, except for investments in equity instruments and trade receivables at fair value through other comprehensive income ("FVOCI"), financial assets at fair value through profit or loss ("FVTPL"), derivative financial instruments and biological assets, which are measured at fair value less cost to sell, inventories, which are measured at the lower of net realizable value or cost and the financial statements of the Company’s Venezuelan and Argentinian operations, for which hyperinflationary accounting is applied. Unless specifically described hereafter, the accounting policies used to prepare the Interim Financial Statements are the policies described in the consolidated financial statements for the year ended December 31, 2020. As from April 1, 2021, ArcelorMittal implemented changes to its organizational structure whereby primary responsibility for captive mining operations whose output is mainly consumed by their respective steel segments has been transferred to such segments. The Mining segment will retain primary responsibility for the operation of the seaborne oriented operations at ArcelorMittal Mining Canada G.P. and ArcelorMittal Infrastructure G.P. ("AMMC") and ArcelorMittal Liberia Ltd, and will continue to provide technical support to all mining operations within the Company. Accordingly, the Company modified the structure of its segment information in order to reflect changes in its approach to managing its operations and segment disclosures have been recast to reflect this new segmentation in conformity with IFRS. Only the seaborne-oriented operations of AMMC and ArcelorMittal Liberia Ltd are reported within the Mining segment. The results of all other mines are henceforth accounted for within the steel segment that it primarily supplies. The changed composition in reportable segments is presented in note 9. On January 1, 2021, the Company adopted amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 published by the IASB on August 27, 2020 and corresponding to Phase 2 of Interest Rate Benchmark Reform. These amendments did not have a material impact on the condensed consolidated financial statements of the Company. They complement those issued in 2019 and focus on the effects on financial statements when a company replaces the old interest rate benchmark with an alternative benchmark rate as a result of the reform. The amendments in this final phase relate to: • changes to contractual cash flows—a company will not have to derecognize or adjust the carrying amount of financial instruments for changes required by the reform, but will instead update the effective interest rate to reflect the change to the alternative benchmark rate; • hedge accounting—a company will not have to discontinue its hedge accounting solely because it makes changes required by the reform, if the hedge meets other hedge accounting criteria; and • disclosures—a company will be required to disclose information about new risks arising from the reform and how it manages the transition to alternative benchmark rates. Use of judgment and estimates |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
INVENTORIES | INVENTORIES Inventory, net of the allowance for slow-moving inventory, excess of cost over net realizable value and obsolescence as of June 30, 2021 and December 31, 2020, is comprised of the following: June 30, 2021 December 31, 2020 Finished products 4,755 3,403 Production in process 4,345 3,305 Raw materials 5,336 3,839 Manufacturing supplies, spare parts and other 1 1,850 1,781 Total 16,286 12,328 1. Manufacturing supplies, spare parts and other consist of spare parts of 1.4 billion and manufacturing and other of 0.5 billion as of June 30, 2021. Manufacturing supplies, spare parts and other consist of spare parts of 1.4 billion and manufacturing and other of 0.4 billion as of December 31, 2020. |
ASSETS HELD FOR SALE
ASSETS HELD FOR SALE | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of non-current assets held for sale and discontinued operations [Abstract] | |
ASSETS HELD FOR SALE | ASSETS HELD FOR SALE On April 14, 2021, pursuant to the investment agreement of December 10, 2020 forming a public-private partnership betwen Invitalia - Agenzia nazionale per l'attrazione degli investimenti e lo sviluppo d'impresa SpA ("Invitalia"), an Italian state-owned company, and AM InvestCo Italy SpA ("AM InvestCo"), ArcelorMittal's subsidiary party to the lease and purchase agreement for the Ilva business), Invitalia invested €400 million (476) of new equity into AM InvestCo, providing Invitalia with a 38% shareholding, equal voting and governance rights and therefore joint control. Going forward, Acciaierie d'Italia Holding (formerly AM InvestCo) will operate independently and as such will have its own funding plans. Its main operating subsidiary ArcelorMittal Italia was renamed Acciaierie d'Italia. Accordingly, as of April 14, 2021, as a result of loss of control, the Company derecognized assets (including 199 of cash pooling receivable from the Company and subsequently settled) and liabilities of 4,639 and 3,873, respectively, and accounted for its 62% interest in the joint venture under the equity method at its fair value of 1,205. The Company recognized in cost of sales a gain of 104 including the reclassification from other comprehensive income to the consolidated statements of operations of foreign exchange translation losses and other for 283. The fair value measurement was determined using a discounted cash flow model and Level 3 unobservable inputs. On June 17, 2021, the Company announced the discontinuation of its divestment process with respect to its plate operations in the Europe reportable segment following final offers received and a strategic review of growth opportunities as a producer of heavy plates with the lowest CO2 footprint in the industry and as a supplier of special plates needed for the energy transition in several of its end markets. Accordingly, the Company discontinued the classification of assets and liabilities of this business as held for sale as of June 30, 2021 and measured the recoverable amount on the basis of a value-in-use calculation which was the lower amount when compared to the carrying amount before the classification as held for sale adjusted for any depreciation or amortization that would have been recognized. The measurement based on the recoverable amount did not result in any adjustment to assets and liabilities reclassified from held for sale. The table below provides the details of the derecognition of Acciaierie d'Italia Holding and its subsidiaries at April 14, 2021. There were no assets classified as held for sale at June 30, 2021. Acciaierie d'Italia Current Assets: Cash and cash equivalents 4 Trade accounts receivable, prepaid expenses and other current assets 1,232 Inventories 1,214 Total Current Assets 2,450 Non-current Assets: Property, plant and equipment 1,875 Other assets 314 Total Non-current Assets 2,189 Total Assets 4,639 Current Liabilities: Trade accounts payables, accrued expenses and other liabilities 2,204 Total Current Liabilities 2,204 Non-current Liabilities: Long-term debt 19 Other long-term liabilities 1,650 Total Non-current Liabilities 1,669 Total Liabilities 3,873 Fair value of the joint venture 1,943 ArcelorMittal 62% interest 1,205 Derecognition of net assets (766) Goodwill allocation (52) Reclassification of foreign exchange loss and other (283) Net gain on derecognition 104 |
EQUITY AND NON-CONTROLLING INTE
EQUITY AND NON-CONTROLLING INTERESTS | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of classes of share capital [abstract] | |
EQUITY AND NON-CONTROLLING INTERESTS | EQUITY AND NON-CONTROLLING INTERESTS Authorized shares Authorized share capital remained at 485 represented by 1,361,418,599 ordinary shares without nominal value as of June 30, 2021 and December 31, 2020. Share capital There was no change in the aggregate number of shares issued and fully paid up which continues to amount to 1,102,809,772 as of June 30, 2021 and December 31, 2020. Dividends On June 8, 2021 at the annual general meeting of shareholders, the shareholders approved the Company’s dividend of $0.30 per share. The dividend amounted to 325 (312 net of dividends paid to subsidiaries holding treasury shares), and was paid on June 15, 2021. Share buyback On March 3, 2021, ArcelorMittal completed its first share buyback program and repurchased 27.1 million shares for a total amount of €537 million (650) at an average price per share of €19.79 (equivalent to $23.97). On June 17, 2021, ArcelorMittal completed its second share buyback program and repurchased 17.8 million shares for a total amount of €469 million (570) at an average price per share of €26.27 (equivalent to $31.94). On July 5, 2021, ArcelorMittal completed its third share buyback program and repurchased 24.5 million shares for a total amount of €630 million (750), of which 427 settled as of June 30, 2021 and 97 of repurchases completed as of June 30, 2021 and settled in July, at an average price per share of €25.77 (equivalent to $30.66). Treasury shares ArcelorMittal held 83.6 million and 22.1 million treasury shares as of June 30, 2021 and December 31, 2020, respectively. Put option NSI |
INCOME TAX
INCOME TAX | 6 Months Ended |
Jun. 30, 2021 | |
Major components of tax expense (income) [abstract] | |
INCOME TAX | INCOME TAX The tax expense for the period is based on an estimated annual effective rate, which requires management to make its best estimate of annual pre-tax income for the year. During the year, management regularly updates its estimates based on changes in various factors such as geographical mix of operating profit, prices, shipments, product mix, plant operating performance and cost estimates, including labor, raw materials, energy and pension and other post retirement benefits. The income tax expense was 946 and 524 for the six months ended June 30, 2021 and 2020, respectively. The income tax expense for the six months ended June 30, 2021 was driven by the worldwide positive results partially offset by recognition of deferred tax assets. |
SHORT-TERM AND LONG-TERM DEBT
SHORT-TERM AND LONG-TERM DEBT | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of detailed information about borrowings [abstract] | |
SHORT-TERM AND LONG-TERM DEBT | SHORT-TERM AND LONG-TERM DEBT Short-term debt, including the current portion of long-term debt, consisted of the following: June 30, 2021 December 31, 2020 Short-term bank loans and other credit facilities including commercial paper 1 1,044 1,647 Current portion of long-term debt 1,428 677 Lease obligations 167 183 Total 2,639 2,507 1. The weighted average interest rate on short-term borrowings outstanding was 1.5% and 1.3% as of June 30, 2021 and December 31, 2020, respectively. Short-term bank loans and other credit facilities include short-term loans, overdrafts and commercial paper. On April 8, 2020, ArcelorMittal amended a €300 million (341) term loan with a financial institution to extend the maturity to April 8, 2021. The facility was fully repaid on April 8, 2021. In 2014, ArcelorMittal entered into certain short-term committed bilateral credit facilities. The facilities were subsequently extended annually. One of the facilities was not extended in 2020 and several facilities were cancelled in 2021. As of June 30, 2021, the facilities, in total 0.3 billion, remain fully available. The Company has a commercial paper program enabling borrowings of up to €1.5 billion. As of June 30, 2021, the outstanding amount was 679. The Company’s long-term debt consisted of the following: Year of maturity Type of interest Interest rate 1 June 30, 2021 December 31, 2020 Corporate 5.5 billion Revolving Credit Facility 2023-2025 Floating — — €500 million Unsecured Notes 2021 Fixed 3.00 % — 350 €750 million Unsecured Notes 2022 Fixed 3.13 % 578 596 €500 million Unsecured Notes 2023 Fixed 0.95 % 435 448 €750 million Unsecured Notes 2023 Fixed 1.00 % 889 917 €1 billion Unsecured Notes 2024 Fixed 2.25 % 636 1,234 750 Unsecured Notes 2024 Fixed 3.60 % 289 747 500 Unsecured Notes 2025 Fixed 6.13 % 183 256 €750 million Unsecured Notes 2025 Fixed 1.75 % 885 913 750 Unsecured Notes 2026 Fixed 4.55 % 399 745 500 Unsecured Notes 2029 Fixed 4.25 % 494 494 1.5 billion Unsecured Bonds 2039 Fixed 7.25 % 671 671 1 billion Unsecured Notes 2041 Fixed 7.00 % 428 428 Other loans 2021 - 2022 Fixed 3.1% - 3.5% 143 218 EIB loan 2025 Fixed 1.16 % 260 304 Other loans 2021 - 2035 Floating 0.1% - 2.3% 825 1,204 Total Corporate 7,115 9,525 Americas Other loans 2021 - 2030 Fixed/Floating 0.0% - 9.5% 77 83 Total Americas 77 83 Europe, Asia & Africa EBRD Facility 2024 Floating 2.1% - 2.4% 105 129 Other loans 2021 - 2029 Fixed/Floating 0.0% - 6.2% 119 123 Total Europe, Asia & Africa 224 252 Total 7,416 9,860 Less current portion of long-term debt (1,428) (677) Total long-term debt (excluding lease obligations) 5,988 9,183 Long-term lease obligations 2 601 632 Total long-term debt, net of current portion 6,589 9,815 1. Rates applicable to balances outstanding at June 30, 2021, including the effect of decreases or increases following upgrades or downgrades, respectively. For debt that has been redeemed in its entirety during first half of 2021, the interest rate refers to the rates at the repayment date. 2. Net of current portion of 167 and 183 as of June 30, 2021 and December 31, 2020, respectively. See note 10 for further information regarding leases. Corporate Main credit facility On December 19, 2018, ArcelorMittal signed an agreement for a 5.5 billion revolving credit facility (the "Facility"). This Facility replaced the 5.5 billion revolving credit facility dated April 30, 2015, which was amended and extended on December 21, 2016. The agreement incorporated a single tranche of 5.5 billion maturing on December 19, 2023, with two one-year extension options (i.e. the options to extend are in the first and second years end of 2019 and end of 2020). During the fourth quarter of 2020, ArcelorMittal executed the second option to extend the facility to December 19, 2025 after having executed the first option in the fourth quarter 2019. The extension was completed for 5.4 billion of the available amount, with the 0.1 billion remaining with a maturity of December 19, 2023. On April 13, 2021 the revolving credit facility was amended so that the leverage ratio financial covenant will no longer be applicable in the event that the Company obtains an investment grade long-term credit rating (with a stable outlook) from two rating agencies. On April 27, 2021, the revolving credit facility was amended so that the margin payable increases or decreases depending on the Company’s performance against two metrics measured annually against pre-defined targets with respect to its environmental and sustainability performance (CO2 intensity of the Company’s European operations and the number of facilities which have been certified by ResponsibleSteel™). The Facility may be used for general corporate purposes. As of June 30, 2020, the 5.5 billion revolving credit facility was fully available. The Company makes drawdowns from and repayments on this Facility in the framework of its cash management. On September 30, 2010, ArcelorMittal entered into a 500 revolving multi-currency letter of credit facility (the “Letter of Credit Facility”). The Letter of Credit Facility is used by the Company and its subsidiaries for the issuance of letters of credit and other instruments. The terms of the letters of credit and other instruments contain certain restrictions as to duration. The Letter of Credit Facility was amended on October 26, 2012 and on September 30, 2014 to reduce its amount to 450 and to 350, respectively. On July 31, 2019, the Company refinanced its Letter of Credit Facility by entering into a 350 revolving multi-currency letter of credit facility, which matures on July 31, 2022. On June 25, 2021 the Letter of Credit Facility maturity was extended to July 31, 2024. Bonds On April 9, 2021, at maturity, ArcelorMittal repaid all of the outstanding €285 million (342) of its €500 million Fixed Rate Notes due 2021. On June 29, 2021, pursuant to a cash tender offer, ArcelorMittal repurchased €471 million (562) of its EUR denominated 2.25% Notes due 2024 for a total aggregate purchase price including accrued interest of €501 million (595). Following this purchase, €529 million (625) principal amount remained outstanding. On June 29, 2021, pursuant to a cash tender offer, ArcelorMittal repurchased 460 of its U.S. dollar denominated 3.60% Notes due 2024 for a total aggregate purchase price including accrued interest of 503, following which 290 principal amount remained outstanding. On June 29, 2021, pursuant to a cash tender offer, ArcelorMittal repurchased 73 of its U.S. dollar denominated 6.125% notes due 2025 for a total aggregate purchase price including accrued interest of 86, following which 183 principal amount remained outstanding. On June 29, 2021, pursuant to a cash tender offer, ArcelorMittal repurchased 349 of its U.S. dollar denominated 4.55% notes due 2026 for a total aggregate purchase price including accrued interest of 399, following which 401 principal amount remained outstanding. European Investment Bank (“EIB”) loan On June 2, 2021 ArcelorMittal signed a €280 million finance contract with the European Investment Bank for funding of research, development and innovation projects in Europe over the period of 2021-2023. This operation benefits from a guarantee from the European Union under the European Fund for Strategic Investments. As of June 30, 2021 the facility remained fully available. On December 16, 2016, ArcelorMittal signed a €350 million finance contract with the European Investment Bank in order to finance European research, development and innovation projects over the period 2017-2020 within the European Union, predominantly France, Belgium and Spain, but also in the Czech Republic, Poland, Luxembourg and Romania. This operation benefits from a guarantee from the European Union under the European Fund for Strategic Investments. As of June 30, 2021, €219 million (260) was outstanding. Other loans On July 7, 2021, the Company fully prepaid Schuldschein borrowings for a total of €450 million (532), of which €405 million (479) maturing originally on July 5, 2023 and €45 million (53) maturing originally on July 7, 2025. On December 21, 2018, the Company entered into a facility agreement with a group of lenders for €235 million to finance the construction of a new hot strip mill in Mexico. This facility became effective upon issuance of a guarantee by the Oesterreichische Kontrollbank AG in March 2019. The last installment under this agreement is due 8.5 years after the starting date of the credit facility (which means the earlier of (a) the date of issue of the provisional acceptance certificate for the hot strip mill and (b) June 30, 2021). The outstanding amount in total as of June 30, 2021 was €168 million (200). On May 21, 2019, ArcelorMittal entered into a bilateral term loan due May 20, 2022. On July 31, 2020, the bilateral term loan was extended for one year to May 19, 2023. The bilateral term loan of €125 million (142) was fully drawn on June 3, 2019. On March 4, 2021, the Company early repaid the bilateral term loan. On December 20, 2019, the Company entered into a bilateral loan due June 20, 2023. The bilateral term loan was fully drawn on January 30, 2020, for an amount of €100 million (110). This term loan could have been extended twice, each time for one On July 2, 2020, ArcelorMittal entered into an agreement for financing with a financial institution for net proceeds of CAD174 million (128) with repayment over several dates in 2021 and 2022. Europe, Asia and Africa On December 21, 2017, ArcelorMittal Kryvyi Rih entered into a 175 loan agreement with the European Bank for Reconstruction and Development (ERBD) in order to support the upgrade of its production facilities, energy efficiency improvement and environmental impact reduction. The loan agreement also provides for an additional 175 in loan facilities which are currently uncommitted. As of June 30, 2019, 175 was fully drawn. As of June 30, 2021, 105 was outstanding. On May 25, 2017, ArcelorMittal South Africa signed a 4.5 billion South African rand revolving borrowing base finance facility maturing on May 25, 2020. The facility was amended and extended on July 25, 2019 and now matures on July 25, 2022. Any borrowings under the facility are secured by certain eligible inventory and receivables, as well as certain other working capital and related assets of ArcelorMittal South Africa. The facility is used for general corporate purposes. The facility is not guaranteed by ArcelorMittal. As of June 30, 2021, 2.2 billion South African rand (150) was drawn. Other Certain debt agreements of the Company or its subsidiaries contain certain restrictive covenants. Among other things, these covenants limit encumbrances on the assets of ArcelorMittal and its subsidiaries, the ability of ArcelorMittal’s subsidiaries to incur debt and the ability of ArcelorMittal and its subsidiaries to dispose of assets in certain circumstances. Certain of these agreements also require compliance with a financial covenant. The other loans relate to various debt with banks and public institutions. Hedge of net investments A portion of the Company's of euro denominated debt (€3,725 million as of June 30, 2021) is designated as a hedge of certain euro denominated investments (€7,832 million as of June 30, 2021) in order to mitigate the foreign currency risk arising from certain euro denominated subsidiaries' net assets. The risk arises from the fluctuation in spot exchange rates between the U.S. dollar and euro, which causes the amount of the net investments to vary. The hedged risk in the hedge of net investments is a risk of a weakening euro against the U.S. dollar that will result in a reduction in the carrying amount of the Company's net investments in the subsidiaries subject to the hedge. The euro denominated debt is designated as a hedging instrument for the change in the value of the net investments that is attributable to changes in the euro/U.S. dollar spot rate. To assess hedge effectiveness, the Company determines the economic relationship between the hedging instrument and the hedge item by comparing changes in the carrying amount of the debt portfolio that are attributable to a change in the spot rate with changes in the net investments in the foreign operations due to movements in the spot rate. The remaining portion of the Company's euro denominated debt (€241 million as of June 30, 2021) is hedged with cross currency swaps in a cash flow hedge relationship. For the six months ended June 30, 2021, the Company recognized 208 f |
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of detailed information about financial instruments [abstract] | |
FINANCIAL INSTRUMENTS | FINANCIAL INSTRUMENTS The Company enters into derivative financial instruments to manage its exposure to fluctuations in interest rates, exchange rates and the price of raw materials, energy and emission rights allowances arising from operating, financing and investing activities. Fair value versus carrying amount The estimated fair value of certain financial instruments is determined using available market information or other valuation methodologies that require judgment in interpreting market data and developing estimates. The following table summarizes assets and liabilities based on their categories at June 30, 2021. Carrying amount in statements of financial position Non-financial assets and liabilities Assets/ Liabilities at amortized cost Fair value recognized in profit or loss Fair value recognized in OCI Derivatives ASSETS Current assets: Cash and cash equivalents 4,071 — 4,071 — — — Restricted cash and other restricted funds * 113 — 113 — — — Trade accounts receivable and other 5,586 — 5,052 — 534 — Inventories 16,286 16,286 — — — — Prepaid expenses and other current assets 3,344 968 1,111 — — 1,265 Total current assets 29,400 17,254 10,347 — 534 1,265 Non-current assets: Goodwill and intangible assets 4,557 4,557 — — — — Property, plant and equipment and biological assets 30,229 30,190 — 39 — — Investments in associates and joint ventures 9,090 9,090 — — — — Other investments 2,292 — — — 2,292 — Deferred tax assets 7,824 7,824 — — — — Other assets 2,032 277 797 136 — 822 Total non-current assets 56,024 51,938 797 175 2,292 822 Total assets 85,424 69,192 11,144 175 2,826 2,087 LIABILITIES AND EQUITY Current liabilities: Short-term debt and current portion of long-term debt 2,639 — 2,639 — — — Trade accounts payable and other 14,076 — 14,076 — — — Short-term provisions 659 644 15 — — — Accrued expenses and other liabilities 4,497 1,403 2,681 — — 413 Income tax liabilities 1,045 1,045 — — — — Total current liabilities 22,916 3,092 19,411 — — 413 Non-current liabilities: Long-term debt, net of current portion 6,589 — 6,589 — — — Deferred tax liabilities 1,958 1,958 — — — — Deferred employee benefits 4,528 4,528 — — — — Long-term provisions 1,952 1,947 5 — — — Other long-term obligations 1,156 296 786 — — 74 Total non-current liabilities 16,183 8,729 7,380 — — 74 Equity: Equity attributable to the equity holders of the parent 44,165 44,165 — — — — Non-controlling interests 2,160 2,160 — — — — Total equity 46,325 46,325 — — — — Total liabilities and equity 85,424 58,146 26,791 — — 487 *Restricted cash and other restricted funds of 113 include a cash deposit of 66 in connection with various environmental obligations and true sales of receivables programs in ArcelorMittal South Africa and 20 in connection with the mandatory convertible bonds as of June 30, 2021. The following tables summarize the bases used to measure certain assets and liabilities at their fair value. As of June 30, 2021 Level 1 Level 2 Level 3 Total Assets at fair value: Investments in equity instruments at FVOCI 2,250 — 42 2,292 Trade accounts receivable and other subject to TSR programs* — — 534 534 Derivative financial current assets — 1,265 — 1,265 Derivative financial non-current assets — 726 96 822 Total assets at fair value 2,250 1,991 672 4,913 Liabilities at fair value: Derivative financial current liabilities — 413 — 413 Derivative financial non-current liabilities — 74 — 74 Total liabilities at fair value — 487 — 487 * The fair value of TSR program receivables equals carrying amount due to the short time frame between the initial recognition and time of sale. As of December 31, 2020 Level 1 Level 2 Level 3 Total Assets at fair value: Investments in equity instruments at FVOCI 2,934 — 46 2,980 Trade accounts receivable and other subject to TSR programs* — — 373 373 Derivative financial current assets — 353 — 353 Derivative financial non-current assets — 265 59 324 Total assets at fair value 2,934 618 478 4,030 Liabilities at fair value: Derivative financial current liabilities — 208 — 208 Derivative financial non-current liabilities — 96 — 96 Total liabilities at fair value — 304 — 304 * The fair value of TSR program receivables equals carrying amount due to the short time frame between the initial recognition and time of sale. Investments in equity instruments at FVOCI classified as Level 1 refer to listed securities quoted in active markets. A quoted market price in an active market provides the most reliable evidence of fair value and is used without adjustment to measure fair value whenever available, with limited exceptions. The total fair value is either the price of the most recent trade at the time of the market close or the official close price as defined by the exchange on which the asset is most actively traded on the last trading day of the period, multiplied by the number of units held without consideration of transaction costs. On February 9, 2021 and June 18, 2021, the Company completed the sale of 40 million and 38.2 million common shares in Cleveland-Cliffs, respectively, as part of a combined primary and secondary public offering of Cleveland-Cliffs shares, for a total net proceed of 1,377. As the investment in Cleveland-Cliffs was classified at FVOCI, the related combined gain of 357 (267 net of tax) recognized in other comprehensive income was transferred to retained earnings. On July 28, 2021, ArcelorMittal received 1,235 in cash from Cleveland-Cliffs following the purported redemption of Cleveland-Cliffs preferred shares. Portfolio of derivatives Derivative financial current assets and liabilities classified as Level 2 refer to instruments to hedge fluctuations in interest rates, foreign exchange rates, raw materials (base metal), freight, energy, emission rights and others. The total fair value is based on the price a dealer would pay or receive for the security or similar securities, adjusted for any terms specific to that asset or liability. Market inputs are obtained from well-established and recognized vendors of market data and the fair value is calculated using standard industry models based on significant observable market inputs such as foreign exchange rates, commodity prices, swap rates and interest rates. The Company manages the counter-party risk associated with its instruments by centralizing its commitments and by applying procedures which specify, for each type of transaction and underlying, risk limits and/or the characteristics of the counter-party. The Company does not generally grant to or require from its counter-parties guarantees for the risks incurred. Allowing for exceptions, the Company’s counterparties are part of its financial partners and the related market transactions are governed by framework agreements (mainly the International Swaps and Derivatives Association agreements which allow netting only in case of counterparty default). Accordingly, derivative assets and derivative liabilities are not offset. The portfolio associated with derivative financial instruments classified as Level 2 as of June 30, 2021 is as follows: Assets Liabilities Notional Amount Fair Value Notional Amount Fair Value Interest rate instruments Other interest rate instruments 5 — 10 — Total interest rate instruments — — Foreign exchange rate instruments Forward purchase of contracts 5,122 93 1,350 (38) Forward sale of contracts 1,099 22 1,263 (31) Currency swaps sales 150 19 — — Currency swaps purchases 260 27 — — Exchange option purchases 2,439 18 1,694 (15) Exchange options sales 1,212 12 2,915 (14) Total foreign exchange rate instruments 191 (98) Raw materials (base metal), freight, energy, emission rights and others Term contracts sales 509 28 952 (265) Term contracts purchases 2,779 1,767 818 (52) Options sales/purchases 153 5 614 (72) Total raw materials (base metal), freight, energy, emission rights and others 1,800 (389) Total 1,991 (487) The portfolio associated with derivative financial instruments classified as Level 2 as of December 31, 2020 is as follows: Assets Liabilities Notional Amount Fair Value Notional Amount Fair Value Interest rate instruments Other interest rate instruments 22 — 10 — Total interest rate instruments — — Foreign exchange rate instruments Forward purchase of contracts 356 2 2,199 (113) Forward sale of contracts 847 24 371 (19) Currency swaps purchases 260 36 — — Exchange option purchases 2,938 18 1,176 (15) Exchange options sales 2,960 26 1,208 (23) Total foreign exchange rate instruments 106 (170) Raw materials (base metal), freight, energy, emission rights and others Term contracts sales 567 38 370 (46) Term contracts purchases 1,673 473 854 (87) Option sales/purchases 47 1 48 (1) Total raw materials (base metal), freight, energy, emission rights and others 512 (134) Total 618 (304) Derivative financial assets classified as Level 3 include the call option on the 1,000 mandatory convertible bonds. The fair valuation of Level 3 derivative instruments is established at each reporting date including an analysis of changes in the fair value measurement since the last period. ArcelorMittal’s valuation policies for Level 3 derivatives are an integral part of its internal control procedures and have been reviewed and approved according to the Company’s principles for establishing such procedures. In particular, such procedures address the accuracy and reliability of input data, the accuracy of the valuation model and the knowledge of the staff performing the valuations. ArcelorMittal calculates the fair value of the call option on the 1,000 mandatory convertible bonds through the use of binomial valuation models. Binomial valuation models use an iterative procedure to price options, allowing for the specification of nodes, or points in time, during the time span between the valuation date and the option’s expiration date. In contrast to the Black-Scholes model, which provides a numerical result based on inputs, the binomial model allows for the calculation of the asset and the option for multiple periods along with the range of possible results for each period. Observable input data used in the valuations include zero coupon yield curves, stock market prices, European Central Bank foreign exchange fixing rates and Libor interest rates. Unobservable inputs are used to measure fair value to the extent that relevant observable inputs are not available. Specifically, the Company computes unobservable volatility data based mainly on the movement of stock market prices observable in the active market over 90 working days. The following table summarizes the reconciliation of the fair value of the financial instruments classified as Level 3 as of June 30, 2021 and December 31, 2020: Call option on 1,000 mandatory convertible bonds Special payment in pellet purchase agreement Put option with ISP Total Balance as of December 31, 2019 127 (176) (125) (174) Change in fair value (117) (11) (1) (129) Balance as of June 30, 2020 10 (187) (126) (303) Change in fair value/ foreign exchange difference 49 17 (9) 57 Value of option at exercise date/divested balance — 170 135 305 Balance as of December 31, 2020 59 — — 59 Change in fair value 37 — — 37 Balance as of June 30, 2021 96 — — 96 |
PROVISIONS
PROVISIONS | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of other provisions [abstract] | |
PROVISIONS | PROVISIONS Provisions as of June 30, 2021 and December 31, 2020 are comprised of the following: June 30, 2021 December 31, 2020 Environmental 642 661 Emission rights 425 571 Asset retirement obligations 407 397 Site restoration 250 309 Staff related obligations 126 127 Voluntary separation plans 40 55 Litigation and contingencies (see note 12) 348 269 Tax claims 80 62 Other legal claims and contingencies 268 207 Commercial agreements and onerous contracts 23 25 Other 350 218 Total 2,611 2,632 Short-term provisions 659 935 Long-term provisions 1,952 1,697 Total 2,611 2,632 The increase in other provisions mainly includes 117 indemnification as a result of the Complementary Agreement Term signed on June 7, 2021 between ArcelorMittal Brasil, the Federal and State Prosecutor Offices, and the Commission representing affected people with respect to the precautionary evacuation of the communities close to the Serra Azul dam. |
SEGMENT AND GEOGRAPHIC INFORMAT
SEGMENT AND GEOGRAPHIC INFORMATION | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of operating segments [abstract] | |
SEGMENT AND GEOGRAPHIC INFORMATION | SEGMENT AND GEOGRAPHIC INFORMATION Reportable segments The Company is organized in five operating and reportable segments, which are components engaged in business activities from which they may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the Company), for which discrete financial information is available and whose operating results are evaluated regularly by the chief operating decision maker “CODM” to make decisions about resources to be allocated to the segment and assess its performance. The Company CODM is the Executive Office comprising the Executive Chairman, Mr. Lakshmi N. Mittal and the CEO, Mr. Aditya Mittal. ArcelorMittal's operating segments include the attributable goodwill, intangible assets, property, plant and equipment, and certain equity method investments. They do not include cash and short-term deposits, short-term investments, tax assets and other current financial assets. Attributable liabilities are also those resulting from the normal activities of the segment, excluding tax liabilities and indebtedness but including post retirement obligations where directly attributable to the segment. The treasury function is managed centrally for the Company and is not directly attributable to individual operating segments or geographical areas. ArcelorMittal’s segments are structured as follows: • NAFTA represents the flat, long and tubular facilities of the Company located in Canada, Mexico and the United States (on December 9, 2020, the Company divested ArcelorMittal USA). NAFTA produces flat products such as slabs, hot-rolled coil, cold-rolled coil, coated steel and plate. These products are sold primarily to customers in the following sectors: automotive, energy, construction, packaging and appliances and via distributors or processors. NAFTA also produces long products such as wire rod, sections, rebar, billets, blooms and wire drawing, and tubular products. The raw material supply of the NAFTA operations includes sourcing from iron ore captive mines in Mexico and iron ore and coal captive mines in the United States (until disposal of ArcelorMittal USA on December 9, 2020 as mentioned above) to supply the steel facilities. • Brazil includes the flat operations of Brazil, the long and tubular operations of Brazil and neighboring countries including Argentina, Costa Rica and Venezuela. Flat products include slabs, hot-rolled coil, cold-rolled coil and coated steel. Long products consist of wire rod, sections, bar and rebar, billets, blooms and wire drawing. The raw material supply of the Brazil operations includes sourcing from iron ore captive mines in Brazil. • Europe is the largest flat steel producer in Europe, with operations that range from Spain in the west to Romania in the east, and covering the flat carbon steel product portfolio in all major countries and markets. Europe produces hot-rolled coil, cold-rolled coil, coated products, tinplate, plate and slab. These products are sold primarily to customers in the automotive, general and packaging sectors. Europe also produces long products consisting of sections, wire rod, rebar, billets, blooms and wire drawing, and tubular products. In addition, it includes Downstream Solutions, primarily an in-house trading and distribution arm of ArcelorMittal. Downstream Solutions also provides value-added and customized steel solutions through further steel processing to meet specific customer requirements. The raw material supply of Europe operations includes sourcing from iron ore captive mines in Bosnia & Herzegovina. • ACIS produces a combination of flat, long and tubular products. Its steel facilities are located in South Africa, Ukraine and Kazakhstan. The raw material supply of the ACIS operations includes sourcing from iron ore captive mines in Kazakhstan and Ukraine and coal captive mines in Kazakhstan. • Mining segment comprises the mines owned by ArcelorMittal in Canada and Africa (Liberia). It provides the Company's steel operations with high quality and low-cost iron ore reserves and also sells mineral products to third parties. The following table summarizes certain financial data relating to ArcelorMittal’s operations in its different reportable segments: NAFTA Brazil Europe ACIS Mining Others* Elimination Total Six months ended June 30, 2021 Sales to external customers 5,755 4,861 19,990 4,170 751 9 — 35,536 Intersegment sales** 23 937 37 726 1,317 7 (3,047) — Operating income (loss) 936 1,742 1,861 1,458 1,287 (126) (85) 7,073 Depreciation and amortization 142 109 615 220 115 20 — 1,221 Capital expenditures 147 139 578 214 97 16 (3) 1,188 Six months ended June 30, 2020 Sales to external customers 7,023 2,398 13,428 2,440 524 7 — 25,820 Intersegment sales** 106 409 26 292 607 4 (1,444) — Operating (loss) income (452) 272 (654) (92) 415 (137) 42 (606) Depreciation and amortization 292 122 704 239 126 27 — 1,510 Impairment — — 92 — — — — 92 Capital expenditures 349 101 492 240 52 19 (2) 1,251 *Others include all other operational and non-operational items which are not segmented, such as corporate and shared services, financial activities, and shipping and logistics. **Transactions between segments are reported on the same basis of accounting as transactions with third parties. The reconciliation from operating income to net income is as follows: Six months ended June 30, 2021 2020 Operating income (loss) 7,073 (606) Income from investments in associates, joint ventures and other investments 1,043 127 Financing costs - net (594) (642) Income (loss) before taxes 7,522 (1,121) Income tax expense (946) (524) Net income (loss) (including non-controlling interests) 6,576 (1,645) Geographical segmentation Sales (by destination) Six months ended June 30, 2021 2020 Americas United States 1 3,342 5,466 Brazil 3,971 1,824 Canada 1,844 1,207 Mexico 1,151 778 Argentina 598 260 Others Americas 749 488 Total Americas 11,655 10,023 Europe Germany 3,019 2,008 France 2,489 1,447 Poland 2,328 1,550 Spain 2,041 1,343 Italy 2,667 1,495 Turkey 669 542 Czech Republic 598 371 United Kingdom 728 460 Belgium 877 693 Russia 863 377 Netherlands 628 447 Romania 228 154 Ukraine 394 191 Others Europe 2,200 1,499 Total Europe 19,729 12,577 Asia & Africa South Africa 1,202 651 Morocco 325 194 Egypt 26 80 Rest of Africa 456 340 China 397 763 Kazakhstan 370 195 South Korea 264 148 India 91 53 Rest of Asia 1,021 796 Total Asia & Africa 4,152 3,220 Total 35,536 25,820 1. Prior period include sales from ArcelorMittal USA, which was divested on December 9, 2020. Product segmentation The table below presents sales to external customers by product type. In addition to steel produced by the Company, amounts include material purchased for additional transformation and sold through distribution services. Others include mainly non-steel sales, manufactured and specialty steel products, and services. Sales (by products) Six months ended June 30, 2021 2020 Flat products 19,418 15,634 Long products 8,380 5,291 Tubular products 1,045 650 Mining products 839 654 Others 5,854 3,591 Total 35,536 25,820 Disaggregated revenue The tables below summarize the disaggregated revenue recognized from contracts with customers for the six months ended June 30, 2021 and 2020, respectively: Six months ended June 30, 2021 NAFTA Brazil Europe ACIS Mining Others Total Steel sales 5,594 4,588 17,874 3,470 — — 31,526 Non-steel sales 1 1 91 861 490 740 — 2,183 By-product sales 2 43 52 439 67 — — 601 Other sales 3 117 130 816 143 11 9 1,226 Total 5,755 4,861 19,990 4,170 751 9 35,536 Six months ended June 30, 2020 NAFTA Brazil Europe ACIS Mining Others Total Steel sales 6,669 2,221 12,212 2,085 — — 23,187 Non-steel sales 1 92 45 269 178 517 — 1,101 By-product sales 2 43 35 276 45 — — 399 Other sales 3 219 97 671 132 7 7 1,133 Total 7,023 2,398 13,428 2,440 524 7 25,820 1. Non-steel sales mainly relate to iron ore, coal, scrap and electricity; 2. By-products sales mainly relate to slag, waste and coke by-products; |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
LEASES | LEASES The Company's lease contracts relate to a variety of assets used in its operational and administrative activities through several units, such as land, buildings, vehicles, industrial machinery, logistic and commercial facilities and power generation facilities. There were no sale and lease back transactions, no subleases and no restrictions or covenants were imposed on the Company's currently effective lease contracts. Balances for the Company’s lease activities as of June 30, 2021 and December 31, 2020 and for the six month period ended June 30, 2021 and 2020 are summarized as follows: June 30, 2021 December 31, 2020 Lease liabilities 768 815 Right of-use assets: Land, buildings and improvements 729 761 Machinery, equipment and others 243 278 Total right-of-use assets 972 1,039 Six months ended June 30, 2021 Six months ended June 30, 2020 Depreciation and impairment charges: Land, buildings and improvements 57 59 Machinery, equipment and others 36 52 Total depreciation and impairment charges 93 111 Other lease related expenses: Interest expense on lease liabilities 17 34 Expenses of short-term leases 38 67 Expenses of leases of low-value assets 32 28 Expenses related to variable lease payments 48 31 Additions to right-of-use assets 58 49 Lease payments recorded as reduction of lease liabilities and cash outflow from financing activities 100 118 The decrease in the lease related expenses in the six months ended June 30, 2021 when compared with the same period of 2020 resulted mainly from the sale of ArcelorMittal USA occurred in December 2020. |
COMMITMENTS
COMMITMENTS | 6 Months Ended |
Jun. 30, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
COMMITMENTS | COMMITMENTS The Company’s commitments consist of the following: June 30, 2021 December 31, 2020 Purchase commitments 12,970 13,047 Guarantees, pledges and other collateral 7,917 8,632 Capital expenditure commitments 338 354 Other commitments 1,116 3,143 Total 22,341 25,176 Purchase commitments Purchase commitments consist primarily of major agreements for procuring iron ore, coking coal, coke and hot metal. The Company also has a number of agreements for electricity, industrial and natural gas, scrap and freight. In addition to those purchase commitments disclosed above, the Company enters into purchasing contracts as part of its normal operations which have minimum volume requirements, but for which there are no take-or-pay or penalty clauses included in the contract. The Company does not believe these contracts have an adverse effect on its liquidity position. Purchase commitments included commitments given to associates for 1,308 and 1,276 as of June 30, 2021 and December 31, 2020, respectively. Purchase commitments given to associates included 590 and 561 as of June 30, 2021 and December 31, 2020, respectively, related to the gas supply agreement signed in 2020 with Kryvyi Rih Industrial Gas. Purchase commitments included commitments given to joint ventures for 1,450 and 1,570 as of June 30, 2021 and December 31, 2020, respectively. Purchase commitments given to joint ventures included 674 and 737 related to Tameh and 563 and 604 related to Enerfos as of June 30, 2021 and December 31, 2020, respectively. Guarantees, pledges and other collateral Guarantees related to financial debt and credit lines given on behalf of third parties were 115 and 150 as of June 30, 2021 and December 31, 2020, respectively. Additionally, guarantees of 4,396 and 4,477 were given on behalf of joint ventures as of June 30, 2021 and December 31, 2020, respectively. Guarantees given on behalf of joint ventures included 265 and 226 for the guarantees issued on behalf of Calvert, 344 and 347 for the guarantees issued on behalf of ArcelorMittal Tubular Products Al Jubail ("Al Jubail") and 263 and 242 in relation to outstanding lease liabilities for vessels operated by Global Chartering Ltd as of June 30, 2021 and December 31, 2020, respectively. Guarantees given on behalf of joint ventures also included 3,088 as of June 30, 2021 and December 31, 2020 corresponding to ArcelorMittal's 60% guarantee of the 5.146 billion ten-year term loan agreement entered into by the AMNS India joint venture with various Japanese banks on March 16, 2020. As of June 30, 2021, pledges and other collateral mainly relate to (i) mortgages entered into by the Company’s operating subsidiaries and (ii) inventories and receivables pledged to secure the South African Rand revolving borrowing base finance facility for the amount drawn of 150 and ceded bank accounts to secure environmental obligations, true sale of receivables programs and the revolving borrowing base finance facility in South Africa of 78. Pledges of property, plant and equipment were 126 and 136 as of June 30, 2021 and December 31, 2020, respectively. Other sureties, first demand guarantees, letters of credit, pledges and other collateral included 348 and 407 commitments given on behalf of associates as of June 30, 2021 and December 31, 2020, respectively, and 343 and 173 commitments given on behalf of joint ventures as of June 30, 2021 and December 31, 2020, respectively. The increase in commitments given on behalf of joint ventures is mainly due to guarantees of 119 on behalf of Acciaierie d'Italia, which is accounted for as a joint venture since April 14, 2021 (see note 3). As of December 31, 2020, other sureties, first demand guarantees, letters of credit, pledges and other collateral included 260 with respect to a pledged cash collateral provided by the Company until collection of the TSR receivables retained in ArcelorMittal USA after disposal. As of June 30, 2021, the cash collateral was released. Capital expenditure commitments Capital expenditure commitments mainly relate to commitments associated with investments in expansion and improvement projects by various subsidiaries. In 2016, ArcelorMittal South Africa committed to an investment program in connection with the competition commission settlement. The remaining capital expenditure was 126 and 126 as of June 30, 2021 and December 31, 2020, respectively. Capital expenditure commitments also included 176 and 196 as of June 30, 2021 and December 31, 2020, respectively, for the 1 billion investment program at the Company's Mexican operations, which is focused on building ArcelorMittal Mexico's downstream capabilities. The main investment will be the construction of a new hot strip mill with capacity of approximately 2.5 million tonnes per year. Other commitments Other commitments given comprise mainly commitments incurred for gas supply to electricity suppliers. As of September 21, 2018 an Environmental Commitment Agreement ("ECA") has been executed between ArcelorMittal Brasil, local government and the Brazilian environment authorities. ArcelorMittal Brasil committed to carry out, over the next 5 years, a series of environmental operational and capital investments with the aim to reduce atmospheric emissions from the Company's Tubarão site. To comply with the ECA requirements, ArcelorMittal Brasil may need to acquire new equipment and change some of its current operating methods and processes. As of June 30, 2021, ArcelorMittal Brasil estimated the underlying costs to implement those investments at 108. The non-compliance with ECA would lead to fines amounting to a maximum of 20 and 19 as of June 30, 2021 and December 31, 2020, respectively. The decrease in other commitments is mainly related to Acciaierie d'Italia, which, as of December 31, 2020, included capital expenditure commitments of 1,357 focused on blast furnaces, steel shops and finishing lines and 583 environmental capital expenditure commitments. As of June 30, 2021, the Company discontinued the recognition of such commitments following the loss of control of Acciaierie d'Italia as of April 14, 2021. Commitments to sell In addition to the commitments presented above, the Company has firm commitments to sell for which it also has firm commitments to purchase included in purchase commitments for 266 and 211 as of June 30, 2021 and December 31, 2020, respectively, and mainly related to natural gas and electricity. |
CONTINGENCIES
CONTINGENCIES | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of contingent liabilities [abstract] | |
CONTINGENCIES | CONTINGENCIES ArcelorMittal may be involved in litigation, arbitration or other legal proceedings. Provisions related to legal and arbitral proceedings are recorded in accordance with the principles described in note 9 to the consolidated financial statements for the year ended December 31, 2020. Most of these claims involve highly complex issues. Often these issues are subject to substantial uncertainties and, therefore, the probabilities of loss and an estimate of damages are difficult to ascertain. Consequently, for a large number of these claims, the Company is unable to make a reliable estimate of the expected financial effect that will result from ultimate resolution of the proceeding. In those cases, the Company has disclosed information with respect to the nature of the contingency. The Company has not accrued a provision for the potential outcome of these cases. In cases in which quantifiable fines and penalties have been assessed or the Company has otherwise been able to reliably estimate the amount of probable loss, the Company has indicated the amount of such fine or penalty or the amount of provision accrued. In a limited number of ongoing cases, the Company is able to make a reliable estimate of the expected loss or range of possible loss and has accrued a provision for such loss, but believes that publication of this information on a case-by-case basis would seriously prejudice the Company’s position in the ongoing legal proceedings or in any related settlement discussions. Accordingly, in these cases, the Company has disclosed information with respect to the nature of the contingency, but has not disclosed the estimate of the range of potential loss nor the amount recorded as a loss. These assessments can involve a series of complex judgments about future events and can rely heavily on estimates and assumptions. These assessments are based on estimates and assumptions that have been deemed reliable by management. The Company believes that the aggregate provisions recorded for the above matters are adequate based upon currently available information. However, given the inherent uncertainties related to these cases and in estimating contingent liabilities, the Company could, in the future, incur judgments that could have a material effect on its results of operations in any particular period. The Company considers it highly unlikely, however, that any such judgments could have a material adverse effect on its liquidity or financial condition. The matters discussed below constitute the most significant developments since publication of the disclosures concerning legal proceedings in note 9.3 to the Company's consolidated financial statements for the year ended December 31, 2020. Tax claims Kazakhstan In November 2020, ArcelorMittal Temirtau filed a lawsuit in the Astana investment court against the State revenue committee. The dispute is related to a tax claim by the said committee resulting from an audit for the years 2013-2017. Court hearings started in February 2021 and resulted in a June 2021 judgment against ArcelorMittal Temirtau for 45 for tax and late payment interest as estimated by the authorities in their Notification of September 28, 2020. This decision will be appealed with the Court of second instance. If the judgment comes into force, an administrative penalty may be added which would increase the total to over 55. Other legal claims Italy On November 4, 2019, ArcelorMittal sent to the Commissioners governing the Ilva insolvency procedure (the “Commissioners”) a notice to withdraw from or terminate the lease agreement with a conditional obligation to purchase the business of Ilva and certain of its subsidiaries. This notice was based, among other things, on provisions of the agreement that allow withdrawal in the event that a new law affects it’s environmental plan for the Taranto plant in such a way that materially impairs the ability of ArcelorMittal Italia to operate the plant or implement its industrial plan; these provisions were triggered following the Italian Parliament’s removal, on November 3, 2019, of the legal protection necessary for ArcelorMittal Italia to implement its environmental plan without risk of criminal liability. In response, the Commissioners filed suit in Milan seeking an injunction to prevent ArcelorMittal's withdrawal and termination of the agreement. Following negotiation between the parties, on March 4, 2020, ArcelorMittal and the Commissioners entered into a settlement agreement whereby ArcelorMittal agreed to revoke its notice to withdraw from the original Ilva lease agreement and the Ilva Commissioners agreed to withdraw their request for an injunction. In addition, following a complaint filed by the Commissioners, in mid-November 2019, prosecutors in Milan and Taranto opened investigations into potential violations of numerous criminal laws. Following the (i) search decrees issued by the Milan and Taranto Prosecution Offices and ensuing seizures of documents in November 2019, and (ii) restitution decree issued by the Milan Prosecution Office in September 2020, ArcelorMittal Italia has not been notified of further developments in the criminal investigations and is therefore not in a position to assess its potential liability, if any. In February 2020, the Mayor of Taranto issued an order to ArcelorMittal Italia related to certain emissions events that appear to have occurred in August 2019 and on February 22 and 23, 2020 and that allegedly concerned the Taranto plant. The order required ArcelorMittal Italia to identify the responsible installations in 30 days and eliminate any anomalies within the subsequent 30 days or, if necessary, shut down certain installations relating to such emissions events (provided that, if no such identification was completed, the shut down would extend to substantially the entire "hot area" of the plant). The Mayor of Taranto further alleged that adequate responses concerning such emissions were not received from the Ministry of the Environment. In response to this order, ArcelorMittal Italia filed an appeal on the merits and an application for interim measures to stay the order with the Regional Administrative Court in Lecce. In April 2020, the court upheld ArcelorMittal Italia’s application for interim measures and suspended the Mayor of Taranto’s order until a further hearing in October 2020. The interim order further required the Ministry of the Environment to file reports concerning the emissions events which served as the basis for the Mayor of Taranto’s order. After the Ministry provided such reports, the October 2020 hearing was postponed until December 15, 2020, at which hearing the Court confirmed the suspension of the order and scheduled the hearing for the discussion of the merits for January 27, 2021. On February 13, 2021, the Court rejected ArcelorMittal Italia’s appeal. On February 18, 2021, ArcelorMittal Italia filed an appeal with the State Council (the highest appellate body in this case) on the merits and also requested an ex parte order to suspend the judgment pending a ruling on the merits. On February 19, 2021, the State Council (i) found that the 30-day period during which ArcelorMittal Italia would have to shut down installations had not yet started and would commence only on March 16, 2021, i.e., after the hearing to discuss the request for interim measures (which it set for March 11, 2021) and therefore found a lack at the time of demonstrable “extreme gravity and urgency” necessary for interim measures, and (ii) set a hearing date of May 13, 2021 in respect of the merits. On June 23, 2021, the judgment of the Council of State was published, upholding ArcelorMittal Italia’s appeal, setting aside the Mayor of Taranto’s order as unlawful on various grounds and thereby enabling ArcelorMittal Italia to continue operating the Taranto plant. France Certain subsidiaries of the ArcelorMittal group are parties to proceedings, dating from 2010, against Engie and Engie Thermique France which claim damages in the amount of 181 for an alleged wrongful termination of a contract for the transformation of steel production gas into electricity. The ArcelorMittal subsidiaries have filed a counterclaim in the amount of 225. The contract had been entered into in 2006 for a term of 20 years. ArcelorMittal Méditerranée terminated it in July 2010 on the basis that Engie was solely responsible for the delay in the commissioning of the power plant (which suffered from significant malfunctions) constructed for the transformation of steel production gas into electricity. Engie claims that ArcelorMittal was in breach of the contract at the time of the termination due to certain alleged issues with the furnishing and quality of its steel production gas, and therefore unable to terminate the contract based on the sole breaches of Engie. The case was heard before the Commercial Court of Nanterre. In November 2019, the Appeals Court of Versailles determined (having been asked to decide whether a decision by the Commercial Court of Nanterre was in fact an official, formal judgment) that the earlier decision of the Commercial Court of Nanterre was the official first instance decision of the court. As a result, ArcelorMittal was ordered to pay damages of 4 plus interest. In February 2020, Engie filed an appeal. A settlement agreement was signed in July 2021 bringing the litigation to an end. Other Brazil Pursuant to the Complementary Agreement Term signed on June 7, 2021 between ArcelorMittal Brasil and the Federal and State Prosecutor Offices, ArcelorMittal Brasil incurred the obligation to execute an action plan to ensure the stability, safety and decommissioning of the Serra Azul tailing dam. As of June 30, 2021, the Company concluded that given the specific characteristics of the project, which has a high degree of complexity and uncertainty, including for the type of remediation that will be performed, it could not yet determine a reliable estimate for the underlying costs to recognize a liability. The Company expects to be able to determine such an estimate during the second half of 2021 after approval of the detailed terms of the plan. |
BASIS OF PRESENTATION AND ACC_2
BASIS OF PRESENTATION AND ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
General Information About Financial Statements [Abstract] | |
Preparation of the condensed consolidated financial statements | Preparation of the condensed consolidated financial statements The condensed consolidated financial statements of ArcelorMittal and its Subsidiaries (“ArcelorMittal” or the “Company”) as of June 30, 2021 and for the six months then ended (the “Interim Financial Statements”) have been prepared in accordance with International Accounting Standard (“IAS”) 34, “Interim Financial Reporting”. They should be read in conjunction with the consolidated financial statements and the notes thereto in the Company’s Annual Report for the year ended December 31, 2020, which have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The Interim Financial Statements are unaudited and were authorized for issuance on July 30, 2021 by the Company’s Board of Directors. |
Significant accounting policies | Significant accounting policies The Interim Financial Statements have been prepared on a historical cost basis, except for investments in equity instruments and trade receivables at fair value through other comprehensive income ("FVOCI"), financial assets at fair value through profit or loss ("FVTPL"), derivative financial instruments and biological assets, which are measured at fair value less cost to sell, inventories, which are measured at the lower of net realizable value or cost and the financial statements of the Company’s Venezuelan and Argentinian operations, for which hyperinflationary accounting is applied. Unless specifically described hereafter, the accounting policies used to prepare the Interim Financial Statements are the policies described in the consolidated financial statements for the year ended December 31, 2020. As from April 1, 2021, ArcelorMittal implemented changes to its organizational structure whereby primary responsibility for captive mining operations whose output is mainly consumed by their respective steel segments has been transferred to such segments. The Mining segment will retain primary responsibility for the operation of the seaborne oriented operations at ArcelorMittal Mining Canada G.P. and ArcelorMittal Infrastructure G.P. ("AMMC") and ArcelorMittal Liberia Ltd, and will continue to provide technical support to all mining operations within the Company. Accordingly, the Company modified the structure of its segment information in order to reflect changes in its approach to managing its operations and segment disclosures have been recast to reflect this new segmentation in conformity with IFRS. Only the seaborne-oriented operations of AMMC and ArcelorMittal Liberia Ltd are reported within the Mining segment. The results of all other mines are henceforth accounted for within the steel segment that it primarily supplies. The changed composition in reportable segments is presented in note 9. On January 1, 2021, the Company adopted amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 published by the IASB on August 27, 2020 and corresponding to Phase 2 of Interest Rate Benchmark Reform. These amendments did not have a material impact on the condensed consolidated financial statements of the Company. They complement those issued in 2019 and focus on the effects on financial statements when a company replaces the old interest rate benchmark with an alternative benchmark rate as a result of the reform. The amendments in this final phase relate to: • changes to contractual cash flows—a company will not have to derecognize or adjust the carrying amount of financial instruments for changes required by the reform, but will instead update the effective interest rate to reflect the change to the alternative benchmark rate; • hedge accounting—a company will not have to discontinue its hedge accounting solely because it makes changes required by the reform, if the hedge meets other hedge accounting criteria; and • disclosures—a company will be required to disclose information about new risks arising from the reform and how it manages the transition to alternative benchmark rates. |
Use of judgment and estimates | Use of judgment and estimates The preparation of condensed consolidated financial statements in conformity with IFRS recognition and measurement principles requires the use of estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Management reviews its estimates on an ongoing basis using currently available information. Changes in facts and circumstances or obtaining new information or more experience may result in revised estimates, and actual results could differ from those estimates. |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Schedule of inventories | Inventory, net of the allowance for slow-moving inventory, excess of cost over net realizable value and obsolescence as of June 30, 2021 and December 31, 2020, is comprised of the following: June 30, 2021 December 31, 2020 Finished products 4,755 3,403 Production in process 4,345 3,305 Raw materials 5,336 3,839 Manufacturing supplies, spare parts and other 1 1,850 1,781 Total 16,286 12,328 1. Manufacturing supplies, spare parts and other consist of spare parts of 1.4 billion and manufacturing and other of 0.5 billion as of June 30, 2021. Manufacturing supplies, spare parts and other consist of spare parts of 1.4 billion and manufacturing and other of 0.4 billion as of December 31, 2020. |
ASSETS HELD FOR SALE (Tables)
ASSETS HELD FOR SALE (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of non-current assets held for sale and discontinued operations [Abstract] | |
Assets and liabilities classified as held for sale | The table below provides the details of the derecognition of Acciaierie d'Italia Holding and its subsidiaries at April 14, 2021. There were no assets classified as held for sale at June 30, 2021. Acciaierie d'Italia Current Assets: Cash and cash equivalents 4 Trade accounts receivable, prepaid expenses and other current assets 1,232 Inventories 1,214 Total Current Assets 2,450 Non-current Assets: Property, plant and equipment 1,875 Other assets 314 Total Non-current Assets 2,189 Total Assets 4,639 Current Liabilities: Trade accounts payables, accrued expenses and other liabilities 2,204 Total Current Liabilities 2,204 Non-current Liabilities: Long-term debt 19 Other long-term liabilities 1,650 Total Non-current Liabilities 1,669 Total Liabilities 3,873 Fair value of the joint venture 1,943 ArcelorMittal 62% interest 1,205 Derecognition of net assets (766) Goodwill allocation (52) Reclassification of foreign exchange loss and other (283) Net gain on derecognition 104 |
SHORT-TERM AND LONG-TERM DEBT (
SHORT-TERM AND LONG-TERM DEBT (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of detailed information about borrowings [abstract] | |
Schedule of detailed information about borrowings | Short-term debt, including the current portion of long-term debt, consisted of the following: June 30, 2021 December 31, 2020 Short-term bank loans and other credit facilities including commercial paper 1 1,044 1,647 Current portion of long-term debt 1,428 677 Lease obligations 167 183 Total 2,639 2,507 The Company’s long-term debt consisted of the following: Year of maturity Type of interest Interest rate 1 June 30, 2021 December 31, 2020 Corporate 5.5 billion Revolving Credit Facility 2023-2025 Floating — — €500 million Unsecured Notes 2021 Fixed 3.00 % — 350 €750 million Unsecured Notes 2022 Fixed 3.13 % 578 596 €500 million Unsecured Notes 2023 Fixed 0.95 % 435 448 €750 million Unsecured Notes 2023 Fixed 1.00 % 889 917 €1 billion Unsecured Notes 2024 Fixed 2.25 % 636 1,234 750 Unsecured Notes 2024 Fixed 3.60 % 289 747 500 Unsecured Notes 2025 Fixed 6.13 % 183 256 €750 million Unsecured Notes 2025 Fixed 1.75 % 885 913 750 Unsecured Notes 2026 Fixed 4.55 % 399 745 500 Unsecured Notes 2029 Fixed 4.25 % 494 494 1.5 billion Unsecured Bonds 2039 Fixed 7.25 % 671 671 1 billion Unsecured Notes 2041 Fixed 7.00 % 428 428 Other loans 2021 - 2022 Fixed 3.1% - 3.5% 143 218 EIB loan 2025 Fixed 1.16 % 260 304 Other loans 2021 - 2035 Floating 0.1% - 2.3% 825 1,204 Total Corporate 7,115 9,525 Americas Other loans 2021 - 2030 Fixed/Floating 0.0% - 9.5% 77 83 Total Americas 77 83 Europe, Asia & Africa EBRD Facility 2024 Floating 2.1% - 2.4% 105 129 Other loans 2021 - 2029 Fixed/Floating 0.0% - 6.2% 119 123 Total Europe, Asia & Africa 224 252 Total 7,416 9,860 Less current portion of long-term debt (1,428) (677) Total long-term debt (excluding lease obligations) 5,988 9,183 Long-term lease obligations 2 601 632 Total long-term debt, net of current portion 6,589 9,815 1. Rates applicable to balances outstanding at June 30, 2021, including the effect of decreases or increases following upgrades or downgrades, respectively. For debt that has been redeemed in its entirety during first half of 2021, the interest rate refers to the rates at the repayment date. |
FINANCIAL INSTRUMENTS (Tables)
FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of detailed information about financial instruments [abstract] | |
Disclosure of assets based on categories | The following table summarizes assets and liabilities based on their categories at June 30, 2021. Carrying amount in statements of financial position Non-financial assets and liabilities Assets/ Liabilities at amortized cost Fair value recognized in profit or loss Fair value recognized in OCI Derivatives ASSETS Current assets: Cash and cash equivalents 4,071 — 4,071 — — — Restricted cash and other restricted funds * 113 — 113 — — — Trade accounts receivable and other 5,586 — 5,052 — 534 — Inventories 16,286 16,286 — — — — Prepaid expenses and other current assets 3,344 968 1,111 — — 1,265 Total current assets 29,400 17,254 10,347 — 534 1,265 Non-current assets: Goodwill and intangible assets 4,557 4,557 — — — — Property, plant and equipment and biological assets 30,229 30,190 — 39 — — Investments in associates and joint ventures 9,090 9,090 — — — — Other investments 2,292 — — — 2,292 — Deferred tax assets 7,824 7,824 — — — — Other assets 2,032 277 797 136 — 822 Total non-current assets 56,024 51,938 797 175 2,292 822 Total assets 85,424 69,192 11,144 175 2,826 2,087 LIABILITIES AND EQUITY Current liabilities: Short-term debt and current portion of long-term debt 2,639 — 2,639 — — — Trade accounts payable and other 14,076 — 14,076 — — — Short-term provisions 659 644 15 — — — Accrued expenses and other liabilities 4,497 1,403 2,681 — — 413 Income tax liabilities 1,045 1,045 — — — — Total current liabilities 22,916 3,092 19,411 — — 413 Non-current liabilities: Long-term debt, net of current portion 6,589 — 6,589 — — — Deferred tax liabilities 1,958 1,958 — — — — Deferred employee benefits 4,528 4,528 — — — — Long-term provisions 1,952 1,947 5 — — — Other long-term obligations 1,156 296 786 — — 74 Total non-current liabilities 16,183 8,729 7,380 — — 74 Equity: Equity attributable to the equity holders of the parent 44,165 44,165 — — — — Non-controlling interests 2,160 2,160 — — — — Total equity 46,325 46,325 — — — — Total liabilities and equity 85,424 58,146 26,791 — — 487 |
Disclosure of liabilities based on categories | The following table summarizes assets and liabilities based on their categories at June 30, 2021. Carrying amount in statements of financial position Non-financial assets and liabilities Assets/ Liabilities at amortized cost Fair value recognized in profit or loss Fair value recognized in OCI Derivatives ASSETS Current assets: Cash and cash equivalents 4,071 — 4,071 — — — Restricted cash and other restricted funds * 113 — 113 — — — Trade accounts receivable and other 5,586 — 5,052 — 534 — Inventories 16,286 16,286 — — — — Prepaid expenses and other current assets 3,344 968 1,111 — — 1,265 Total current assets 29,400 17,254 10,347 — 534 1,265 Non-current assets: Goodwill and intangible assets 4,557 4,557 — — — — Property, plant and equipment and biological assets 30,229 30,190 — 39 — — Investments in associates and joint ventures 9,090 9,090 — — — — Other investments 2,292 — — — 2,292 — Deferred tax assets 7,824 7,824 — — — — Other assets 2,032 277 797 136 — 822 Total non-current assets 56,024 51,938 797 175 2,292 822 Total assets 85,424 69,192 11,144 175 2,826 2,087 LIABILITIES AND EQUITY Current liabilities: Short-term debt and current portion of long-term debt 2,639 — 2,639 — — — Trade accounts payable and other 14,076 — 14,076 — — — Short-term provisions 659 644 15 — — — Accrued expenses and other liabilities 4,497 1,403 2,681 — — 413 Income tax liabilities 1,045 1,045 — — — — Total current liabilities 22,916 3,092 19,411 — — 413 Non-current liabilities: Long-term debt, net of current portion 6,589 — 6,589 — — — Deferred tax liabilities 1,958 1,958 — — — — Deferred employee benefits 4,528 4,528 — — — — Long-term provisions 1,952 1,947 5 — — — Other long-term obligations 1,156 296 786 — — 74 Total non-current liabilities 16,183 8,729 7,380 — — 74 Equity: Equity attributable to the equity holders of the parent 44,165 44,165 — — — — Non-controlling interests 2,160 2,160 — — — — Total equity 46,325 46,325 — — — — Total liabilities and equity 85,424 58,146 26,791 — — 487 |
Disclosure of fair value measurement of assets | The following tables summarize the bases used to measure certain assets and liabilities at their fair value. As of June 30, 2021 Level 1 Level 2 Level 3 Total Assets at fair value: Investments in equity instruments at FVOCI 2,250 — 42 2,292 Trade accounts receivable and other subject to TSR programs* — — 534 534 Derivative financial current assets — 1,265 — 1,265 Derivative financial non-current assets — 726 96 822 Total assets at fair value 2,250 1,991 672 4,913 Liabilities at fair value: Derivative financial current liabilities — 413 — 413 Derivative financial non-current liabilities — 74 — 74 Total liabilities at fair value — 487 — 487 * The fair value of TSR program receivables equals carrying amount due to the short time frame between the initial recognition and time of sale. As of December 31, 2020 Level 1 Level 2 Level 3 Total Assets at fair value: Investments in equity instruments at FVOCI 2,934 — 46 2,980 Trade accounts receivable and other subject to TSR programs* — — 373 373 Derivative financial current assets — 353 — 353 Derivative financial non-current assets — 265 59 324 Total assets at fair value 2,934 618 478 4,030 Liabilities at fair value: Derivative financial current liabilities — 208 — 208 Derivative financial non-current liabilities — 96 — 96 Total liabilities at fair value — 304 — 304 Call option on 1,000 mandatory convertible bonds Special payment in pellet purchase agreement Put option with ISP Total Balance as of December 31, 2019 127 (176) (125) (174) Change in fair value (117) (11) (1) (129) Balance as of June 30, 2020 10 (187) (126) (303) Change in fair value/ foreign exchange difference 49 17 (9) 57 Value of option at exercise date/divested balance — 170 135 305 Balance as of December 31, 2020 59 — — 59 Change in fair value 37 — — 37 Balance as of June 30, 2021 96 — — 96 |
Disclosure of fair value measurement of liabilities | The following tables summarize the bases used to measure certain assets and liabilities at their fair value. As of June 30, 2021 Level 1 Level 2 Level 3 Total Assets at fair value: Investments in equity instruments at FVOCI 2,250 — 42 2,292 Trade accounts receivable and other subject to TSR programs* — — 534 534 Derivative financial current assets — 1,265 — 1,265 Derivative financial non-current assets — 726 96 822 Total assets at fair value 2,250 1,991 672 4,913 Liabilities at fair value: Derivative financial current liabilities — 413 — 413 Derivative financial non-current liabilities — 74 — 74 Total liabilities at fair value — 487 — 487 * The fair value of TSR program receivables equals carrying amount due to the short time frame between the initial recognition and time of sale. As of December 31, 2020 Level 1 Level 2 Level 3 Total Assets at fair value: Investments in equity instruments at FVOCI 2,934 — 46 2,980 Trade accounts receivable and other subject to TSR programs* — — 373 373 Derivative financial current assets — 353 — 353 Derivative financial non-current assets — 265 59 324 Total assets at fair value 2,934 618 478 4,030 Liabilities at fair value: Derivative financial current liabilities — 208 — 208 Derivative financial non-current liabilities — 96 — 96 Total liabilities at fair value — 304 — 304 Call option on 1,000 mandatory convertible bonds Special payment in pellet purchase agreement Put option with ISP Total Balance as of December 31, 2019 127 (176) (125) (174) Change in fair value (117) (11) (1) (129) Balance as of June 30, 2020 10 (187) (126) (303) Change in fair value/ foreign exchange difference 49 17 (9) 57 Value of option at exercise date/divested balance — 170 135 305 Balance as of December 31, 2020 59 — — 59 Change in fair value 37 — — 37 Balance as of June 30, 2021 96 — — 96 |
Disclosure of derivative financial instruments | The portfolio associated with derivative financial instruments classified as Level 2 as of June 30, 2021 is as follows: Assets Liabilities Notional Amount Fair Value Notional Amount Fair Value Interest rate instruments Other interest rate instruments 5 — 10 — Total interest rate instruments — — Foreign exchange rate instruments Forward purchase of contracts 5,122 93 1,350 (38) Forward sale of contracts 1,099 22 1,263 (31) Currency swaps sales 150 19 — — Currency swaps purchases 260 27 — — Exchange option purchases 2,439 18 1,694 (15) Exchange options sales 1,212 12 2,915 (14) Total foreign exchange rate instruments 191 (98) Raw materials (base metal), freight, energy, emission rights and others Term contracts sales 509 28 952 (265) Term contracts purchases 2,779 1,767 818 (52) Options sales/purchases 153 5 614 (72) Total raw materials (base metal), freight, energy, emission rights and others 1,800 (389) Total 1,991 (487) The portfolio associated with derivative financial instruments classified as Level 2 as of December 31, 2020 is as follows: Assets Liabilities Notional Amount Fair Value Notional Amount Fair Value Interest rate instruments Other interest rate instruments 22 — 10 — Total interest rate instruments — — Foreign exchange rate instruments Forward purchase of contracts 356 2 2,199 (113) Forward sale of contracts 847 24 371 (19) Currency swaps purchases 260 36 — — Exchange option purchases 2,938 18 1,176 (15) Exchange options sales 2,960 26 1,208 (23) Total foreign exchange rate instruments 106 (170) Raw materials (base metal), freight, energy, emission rights and others Term contracts sales 567 38 370 (46) Term contracts purchases 1,673 473 854 (87) Option sales/purchases 47 1 48 (1) Total raw materials (base metal), freight, energy, emission rights and others 512 (134) Total 618 (304) |
PROVISIONS (Tables)
PROVISIONS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of other provisions [abstract] | |
Disclosure of other provisions | Provisions as of June 30, 2021 and December 31, 2020 are comprised of the following: June 30, 2021 December 31, 2020 Environmental 642 661 Emission rights 425 571 Asset retirement obligations 407 397 Site restoration 250 309 Staff related obligations 126 127 Voluntary separation plans 40 55 Litigation and contingencies (see note 12) 348 269 Tax claims 80 62 Other legal claims and contingencies 268 207 Commercial agreements and onerous contracts 23 25 Other 350 218 Total 2,611 2,632 Short-term provisions 659 935 Long-term provisions 1,952 1,697 Total 2,611 2,632 |
SEGMENT AND GEOGRAPHIC INFORM_2
SEGMENT AND GEOGRAPHIC INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure of operating segments [abstract] | |
Schedule of segment reporting | The following table summarizes certain financial data relating to ArcelorMittal’s operations in its different reportable segments: NAFTA Brazil Europe ACIS Mining Others* Elimination Total Six months ended June 30, 2021 Sales to external customers 5,755 4,861 19,990 4,170 751 9 — 35,536 Intersegment sales** 23 937 37 726 1,317 7 (3,047) — Operating income (loss) 936 1,742 1,861 1,458 1,287 (126) (85) 7,073 Depreciation and amortization 142 109 615 220 115 20 — 1,221 Capital expenditures 147 139 578 214 97 16 (3) 1,188 Six months ended June 30, 2020 Sales to external customers 7,023 2,398 13,428 2,440 524 7 — 25,820 Intersegment sales** 106 409 26 292 607 4 (1,444) — Operating (loss) income (452) 272 (654) (92) 415 (137) 42 (606) Depreciation and amortization 292 122 704 239 126 27 — 1,510 Impairment — — 92 — — — — 92 Capital expenditures 349 101 492 240 52 19 (2) 1,251 *Others include all other operational and non-operational items which are not segmented, such as corporate and shared services, financial activities, and shipping and logistics. **Transactions between segments are reported on the same basis of accounting as transactions with third parties. |
Reconciliation of operating income to net income | The reconciliation from operating income to net income is as follows: Six months ended June 30, 2021 2020 Operating income (loss) 7,073 (606) Income from investments in associates, joint ventures and other investments 1,043 127 Financing costs - net (594) (642) Income (loss) before taxes 7,522 (1,121) Income tax expense (946) (524) Net income (loss) (including non-controlling interests) 6,576 (1,645) |
Schedule of geographical areas | Sales (by destination) Six months ended June 30, 2021 2020 Americas United States 1 3,342 5,466 Brazil 3,971 1,824 Canada 1,844 1,207 Mexico 1,151 778 Argentina 598 260 Others Americas 749 488 Total Americas 11,655 10,023 Europe Germany 3,019 2,008 France 2,489 1,447 Poland 2,328 1,550 Spain 2,041 1,343 Italy 2,667 1,495 Turkey 669 542 Czech Republic 598 371 United Kingdom 728 460 Belgium 877 693 Russia 863 377 Netherlands 628 447 Romania 228 154 Ukraine 394 191 Others Europe 2,200 1,499 Total Europe 19,729 12,577 Asia & Africa South Africa 1,202 651 Morocco 325 194 Egypt 26 80 Rest of Africa 456 340 China 397 763 Kazakhstan 370 195 South Korea 264 148 India 91 53 Rest of Asia 1,021 796 Total Asia & Africa 4,152 3,220 Total 35,536 25,820 1. Prior period include sales from ArcelorMittal USA, which was divested on December 9, 2020. |
Schedule of products and services | The table below presents sales to external customers by product type. In addition to steel produced by the Company, amounts include material purchased for additional transformation and sold through distribution services. Others include mainly non-steel sales, manufactured and specialty steel products, and services. Sales (by products) Six months ended June 30, 2021 2020 Flat products 19,418 15,634 Long products 8,380 5,291 Tubular products 1,045 650 Mining products 839 654 Others 5,854 3,591 Total 35,536 25,820 Disaggregated revenue The tables below summarize the disaggregated revenue recognized from contracts with customers for the six months ended June 30, 2021 and 2020, respectively: Six months ended June 30, 2021 NAFTA Brazil Europe ACIS Mining Others Total Steel sales 5,594 4,588 17,874 3,470 — — 31,526 Non-steel sales 1 1 91 861 490 740 — 2,183 By-product sales 2 43 52 439 67 — — 601 Other sales 3 117 130 816 143 11 9 1,226 Total 5,755 4,861 19,990 4,170 751 9 35,536 Six months ended June 30, 2020 NAFTA Brazil Europe ACIS Mining Others Total Steel sales 6,669 2,221 12,212 2,085 — — 23,187 Non-steel sales 1 92 45 269 178 517 — 1,101 By-product sales 2 43 35 276 45 — — 399 Other sales 3 219 97 671 132 7 7 1,133 Total 7,023 2,398 13,428 2,440 524 7 25,820 1. Non-steel sales mainly relate to iron ore, coal, scrap and electricity; 2. By-products sales mainly relate to slag, waste and coke by-products; |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Schedule of right-to-use assets and depreciation and impairment charges | Balances for the Company’s lease activities as of June 30, 2021 and December 31, 2020 and for the six month period ended June 30, 2021 and 2020 are summarized as follows: June 30, 2021 December 31, 2020 Lease liabilities 768 815 Right of-use assets: Land, buildings and improvements 729 761 Machinery, equipment and others 243 278 Total right-of-use assets 972 1,039 Six months ended June 30, 2021 Six months ended June 30, 2020 Depreciation and impairment charges: Land, buildings and improvements 57 59 Machinery, equipment and others 36 52 Total depreciation and impairment charges 93 111 Other lease related expenses: Interest expense on lease liabilities 17 34 Expenses of short-term leases 38 67 Expenses of leases of low-value assets 32 28 Expenses related to variable lease payments 48 31 Additions to right-of-use assets 58 49 Lease payments recorded as reduction of lease liabilities and cash outflow from financing activities 100 118 |
COMMITMENTS (Tables)
COMMITMENTS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Subclassifications of assets, liabilities and equities [abstract] | |
Disclosure of commitments | The Company’s commitments consist of the following: June 30, 2021 December 31, 2020 Purchase commitments 12,970 13,047 Guarantees, pledges and other collateral 7,917 8,632 Capital expenditure commitments 338 354 Other commitments 1,116 3,143 Total 22,341 25,176 |
INVENTORIES - Schedule of inven
INVENTORIES - Schedule of inventories (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Subclassifications of assets, liabilities and equities [abstract] | |||
Finished products | $ 4,755 | $ 3,403 | |
Production in process | 4,345 | 3,305 | |
Raw materials | 5,336 | 3,839 | |
Manufacturing supplies, spare parts and other | 1,850 | 1,781 | |
Total | 16,286 | 12,328 | |
Other inventories, spare parts | 1,400 | 1,400 | |
Other current inventories | 500 | $ 400 | |
Inventory write-down | $ 57 | $ 723 |
ASSETS HELD FOR SALE - Narrativ
ASSETS HELD FOR SALE - Narrative Assets Held for Sale (Details) € in Millions, $ in Millions | Apr. 14, 2021EUR (€) | Apr. 14, 2021USD ($) | Jun. 30, 2021USD ($) | Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) |
Disclosure Of Non-current Assets Held For Sale And Discontinued Operations [Line Items] | ||||||
Assets | $ 85,424 | $ 85,424 | $ 82,052 | |||
Total liabilities at fair value | 39,099 | 39,099 | 41,815 | |||
Investments in associates and joint ventures | $ 9,090 | 9,090 | $ 6,817 | |||
Adjustments for gain on disposal of investments in subsidiaries, joint ventures and associates | $ 104 | $ 0 | ||||
Acciaierie d'Italia Holding | ||||||
Disclosure Of Non-current Assets Held For Sale And Discontinued Operations [Line Items] | ||||||
Proportion of ownership interest in joint venture | 62.00% | |||||
AM Investco Italy S.p.A. | ||||||
Disclosure Of Non-current Assets Held For Sale And Discontinued Operations [Line Items] | ||||||
Proportion of ownership interest in subsidiary sold | 38.00% | 38.00% | ||||
Acciaierie d'Italia Holding | Disposal group, disposed of by sale, not discontinued operations | ||||||
Disclosure Of Non-current Assets Held For Sale And Discontinued Operations [Line Items] | ||||||
Cash and cash equivalents pooling balances | $ 199 | |||||
Assets | 4,639 | |||||
Total liabilities at fair value | 3,873 | |||||
Investments in associates and joint ventures | 1,205 | |||||
Adjustments for gain on disposal of investments in subsidiaries, joint ventures and associates | 104 | |||||
Reclassification of foreign exchange loss and other | (283) | |||||
Disposal groups classified as held for sale | AM Investco Italy S.p.A. | ||||||
Disclosure Of Non-current Assets Held For Sale And Discontinued Operations [Line Items] | ||||||
First investment, investment agreement | € 400 | $ 476 |
ASSETS HELD FOR SALE - Schedule
ASSETS HELD FOR SALE - Schedule of divestments (Details) - USD ($) $ in Millions | Apr. 14, 2021 | Jun. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||||||
Cash and cash equivalents | $ 4,071 | $ 4,071 | $ 5,630 | $ 5,600 | $ 4,867 | |
Inventories | 16,286 | 16,286 | 12,328 | |||
Total current assets | 29,400 | 29,400 | 27,973 | |||
Non-current assets: | ||||||
Property, plant and equipment | 30,229 | 30,229 | 30,622 | |||
Other assets | 2,032 | 2,032 | 1,482 | |||
Total non-current assets | 56,024 | 56,024 | 54,079 | |||
Total assets | 85,424 | 85,424 | 82,052 | |||
Current liabilities: | ||||||
Total current liabilities | 22,916 | 22,916 | 22,667 | |||
Non-current liabilities: | ||||||
Long-term debt | 6,589 | 6,589 | 9,815 | |||
Other long-term liabilities | 1,156 | 1,156 | 1,148 | |||
Total non-current liabilities | 16,183 | 16,183 | 19,148 | |||
Total liabilities | 39,099 | 39,099 | 41,815 | |||
ArcelorMittal 62% interest | $ 9,090 | 9,090 | $ 6,817 | |||
Derecognition of net assets | (1,377) | 0 | ||||
Net gain on derecognition | $ 104 | $ 0 | ||||
Acciaierie d'Italia Holding | ||||||
Disclosure Of Non-current Assets Held For Sale And Discontinued Operations [Line Items] | ||||||
Proportion of ownership interest in joint venture | 62.00% | |||||
Acciaierie d'Italia Holding | Disposal group, disposed of by sale, not discontinued operations | ||||||
Current assets: | ||||||
Cash and cash equivalents | $ 4 | |||||
Trade accounts receivable, prepaid expenses and other current assets | 1,232 | |||||
Inventories | 1,214 | |||||
Total current assets | 2,450 | |||||
Non-current assets: | ||||||
Property, plant and equipment | 1,875 | |||||
Other assets | 314 | |||||
Total non-current assets | 2,189 | |||||
Total assets | 4,639 | |||||
Current liabilities: | ||||||
Trade accounts payables, accrued expenses and other liabilities | 2,204 | |||||
Total current liabilities | 2,204 | |||||
Non-current liabilities: | ||||||
Long-term debt | 19 | |||||
Other long-term liabilities | 1,650 | |||||
Total non-current liabilities | 1,669 | |||||
Total liabilities | 3,873 | |||||
Fair value of the joint venture | 1,943 | |||||
ArcelorMittal 62% interest | 1,205 | |||||
Derecognition of net assets | (766) | |||||
Goodwill allocation | (52) | |||||
Reclassification of foreign exchange loss and other | (283) | |||||
Net gain on derecognition | $ 104 |
EQUITY AND NON-CONTROLLING IN_2
EQUITY AND NON-CONTROLLING INTERESTS (Details) € / shares in Units, $ / shares in Units, € in Millions, $ in Millions | Jul. 05, 2021USD ($)$ / sharesshares | Jul. 05, 2021EUR (€)€ / sharesshares | Jun. 17, 2021USD ($)$ / sharesshares | Jun. 17, 2021EUR (€)€ / sharesshares | Jun. 15, 2021USD ($) | Jun. 08, 2021$ / shares | Mar. 03, 2021USD ($)$ / sharesshares | Mar. 03, 2021EUR (€)€ / sharesshares | Jul. 31, 2021USD ($) | Jun. 30, 2021USD ($)shares | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($)shares | Dec. 31, 2019USD ($) |
Disclosure of classes of share capital [line items] | |||||||||||||
Authorised share capital | $ | $ 485 | $ 485 | |||||||||||
Shares authorized (in shares) | shares | 1,361,418,599 | 1,361,418,599 | |||||||||||
Number of shares issued (in shares) | shares | 1,102,809,772 | 1,102,809,772 | |||||||||||
Dividends (in USD per share) | $ / shares | $ 0.30 | ||||||||||||
Dividends paid, ordinary shares | $ | $ 325 | ||||||||||||
Dividends paid, net of dividends related to treasury shares | $ | $ 312 | ||||||||||||
Share buyback (in shares) | shares | 17,800,000 | 17,800,000 | 27,100,000 | 27,100,000 | |||||||||
Payments for repurchase of equity | $ 570 | € 469 | $ 650 | € 537 | $ 1,647 | $ 0 | |||||||
Treasury stock acquired, average cost per share (in Euro/USD per share) | (per share) | $ 31.94 | € 26.27 | $ 23.97 | € 19.79 | |||||||||
Treasury shares (in shares) | shares | 83,600,000 | 22,100,000 | |||||||||||
Equity | $ | $ 46,325 | $ 37,598 | $ 40,237 | $ 40,483 | |||||||||
Written put option | |||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||
Equity | $ | $ 119 | ||||||||||||
Nouvelles Sidérurgies Industrielles | |||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||
Proportion of ownership interest in subsidiary | 50.00% | ||||||||||||
Sonasid | Nouvelles Sidérurgies Industrielles | |||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||
Proportion of ownership interest in subsidiary | 64.86% | ||||||||||||
Major ordinary share transactions | |||||||||||||
Disclosure of classes of share capital [line items] | |||||||||||||
Share buyback (in shares) | shares | 24,500,000 | 24,500,000 | |||||||||||
Payments for repurchase of equity | $ 750 | € 630 | $ 97 | $ 427 | |||||||||
Treasury stock acquired, average cost per share (in Euro/USD per share) | (per share) | $ 30.66 | € 25.77 |
INCOME TAX - (Details)
INCOME TAX - (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Major components of tax expense (income) [abstract] | ||
Income tax expense | $ 946 | $ 524 |
SHORT-TERM AND LONG-TERM DEBT -
SHORT-TERM AND LONG-TERM DEBT - Composition of short-term debt (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Disclosure of detailed information about borrowings [line items] | ||
Short-term bank loans and other credit facilities including commercial paper | $ 1,044 | $ 1,647 |
Current portion of long-term debt | 1,428 | 677 |
Lease obligations | 167 | 183 |
Total | $ 2,639 | $ 2,507 |
Weighted average | ||
Disclosure of detailed information about borrowings [line items] | ||
Weighted average interest rate on short-term borrowings | 1.50% | 1.30% |
SHORT-TERM AND LONG-TERM DEBT_2
SHORT-TERM AND LONG-TERM DEBT - Short-term debt narrative (Details) € in Millions, $ in Millions | Jun. 30, 2021USD ($)facility | Jun. 30, 2021EUR (€)facility | Dec. 31, 2020USD ($) | Apr. 08, 2020USD ($) | Apr. 08, 2020EUR (€) |
Disclosure of detailed information about borrowings [line items] | |||||
Short-term bank loans and other credit facilities including commercial paper | $ 1,044 | $ 1,647 | |||
€300 million Bilateral term loan, due 2020 | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 341 | € 300 | |||
Short-term bilateral credit facility | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Number of facilities not extended | facility | 1 | 1 | |||
Undrawn borrowing facilities | $ 300 | ||||
Commercial paper | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, maximum capacity | € | € 1,500 | ||||
Short-term bank loans and other credit facilities including commercial paper | $ 679 |
SHORT-TERM AND LONG-TERM DEBT_3
SHORT-TERM AND LONG-TERM DEBT - Composition of long term debt (Details) | Jun. 30, 2021USD ($) | Jun. 30, 2021EUR (€) | Jun. 29, 2021USD ($) | Jun. 29, 2021EUR (€) | Dec. 31, 2020USD ($) |
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | € | € 241,000,000 | ||||
Less current portion of long-term debt | $ (1,428,000,000) | $ (677,000,000) | |||
Total non-current portion of non-current borrowings | 6,589,000,000 | 9,815,000,000 | |||
Total | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | 7,416,000,000 | 9,860,000,000 | |||
Total Corporate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | 7,115,000,000 | 9,525,000,000 | |||
5.5 billion Revolving Credit Facility | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | 5,500,000,000 | ||||
Borrowings outstanding | 0 | 0 | |||
€500 million Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | € | € 500,000,000 | ||||
Borrowings outstanding | $ 0 | 350,000,000 | |||
€500 million Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 3.00% | 3.00% | |||
€750 million Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | € | € 750,000,000 | ||||
Borrowings outstanding | $ 578,000,000 | 596,000,000 | |||
€750 million Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 3.13% | 3.13% | |||
€500 million Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | € | € 500,000,000 | ||||
Borrowings outstanding | $ 435,000,000 | 448,000,000 | |||
€500 million Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 0.95% | 0.95% | |||
€750 million Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | € | € 750,000,000 | ||||
Borrowings outstanding | $ 889,000,000 | 917,000,000 | |||
€750 million Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 1.00% | 1.00% | |||
€1 billion Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | € | € 1,000,000,000 | ||||
Borrowings outstanding | $ 636,000,000 | $ 625,000,000 | € 529,000,000 | 1,234,000,000 | |
€1 billion Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 2.25% | 2.25% | 2.25% | 2.25% | |
750 Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 750,000,000 | ||||
Borrowings outstanding | $ 289,000,000 | $ 290,000,000 | 747,000,000 | ||
750 Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 3.60% | 3.60% | 3.60% | 3.60% | |
500 Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 500,000,000 | ||||
Borrowings outstanding | $ 183,000,000 | $ 183,000,000 | 256,000,000 | ||
500 Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 6.13% | 6.13% | 6.125% | 6.125% | |
€750 million Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | € | € 750,000,000 | ||||
Borrowings outstanding | $ 885,000,000 | 913,000,000 | |||
€750 million Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 1.75% | 1.75% | |||
750 Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 750,000,000 | ||||
Borrowings outstanding | $ 399,000,000 | $ 401,000,000 | 745,000,000 | ||
750 Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 4.55% | 4.55% | 4.55% | 4.55% | |
500 Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 500,000,000 | ||||
Borrowings outstanding | $ 494,000,000 | 494,000,000 | |||
500 Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 4.25% | 4.25% | |||
1.5 billion Unsecured Bonds | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 1,500,000,000 | ||||
Borrowings outstanding | $ 671,000,000 | 671,000,000 | |||
1.5 billion Unsecured Bonds | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 7.25% | 7.25% | |||
1 billion Unsecured Notes | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Notional amount | $ 1,000,000,000 | ||||
Borrowings outstanding | $ 428,000,000 | 428,000,000 | |||
1 billion Unsecured Notes | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 7.00% | 7.00% | |||
Other loans | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 143,000,000 | 218,000,000 | |||
Other loans | Fixed interest rate | Bottom of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 3.10% | 3.10% | |||
Other loans | Fixed interest rate | Top of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 3.50% | 3.50% | |||
EIB loan | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 260,000,000 | € 219,000,000 | 304,000,000 | ||
EIB loan | Fixed interest rate | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 1.16% | 1.16% | |||
Other loans | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 825,000,000 | 1,204,000,000 | |||
Other loans | Floating interest rate | Bottom of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 0.10% | 0.10% | |||
Other loans | Floating interest rate | Top of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 2.30% | 2.30% | |||
Total long-term debt (excluding lease obligations) | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Total non-current portion of non-current borrowings | $ 5,988,000,000 | 9,183,000,000 | |||
Lease obligations | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Less current portion of long-term debt | (167,000,000) | (183,000,000) | |||
Total non-current portion of non-current borrowings | 601,000,000 | 632,000,000 | |||
Americas | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | 77,000,000 | 83,000,000 | |||
Americas | Other loans | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 77,000,000 | 83,000,000 | |||
Americas | Other loans | Fixed/Floating interest rates | Bottom of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 0.00% | 0.00% | |||
Americas | Other loans | Fixed/Floating interest rates | Top of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 9.50% | 9.50% | |||
Europe, Asia & Africa | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 224,000,000 | 252,000,000 | |||
Europe, Asia & Africa | EBRD Facility | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 105,000,000 | 129,000,000 | |||
Europe, Asia & Africa | EBRD Facility | Floating interest rate | Bottom of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 2.10% | 2.10% | |||
Europe, Asia & Africa | EBRD Facility | Floating interest rate | Top of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 2.40% | 2.40% | |||
Europe, Asia & Africa | Other loans | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings outstanding | $ 119,000,000 | $ 123,000,000 | |||
Europe, Asia & Africa | Other loans | Fixed/Floating interest rates | Bottom of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 0.00% | 0.00% | |||
Europe, Asia & Africa | Other loans | Fixed/Floating interest rates | Top of range | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Borrowings, interest rate | 6.20% | 6.20% |
SHORT-TERM AND LONG-TERM DEBT_4
SHORT-TERM AND LONG-TERM DEBT - Long-term debt narrative (Details) $ in Millions, R in Billions | Jul. 07, 2021USD ($) | Jul. 07, 2021EUR (€) | Jun. 29, 2021USD ($) | Jun. 29, 2021EUR (€) | Apr. 09, 2021USD ($) | Apr. 09, 2021EUR (€) | Jul. 31, 2020 | Dec. 20, 2019USD ($) | Dec. 19, 2018USD ($)extension_option | Jun. 30, 2021USD ($)ratingAgency | Jun. 30, 2020USD ($) | Jun. 30, 2021EUR (€)ratingAgency | Jun. 30, 2021ZAR (R)ratingAgency | Jun. 29, 2021EUR (€) | Jun. 02, 2021EUR (€) | Dec. 31, 2020USD ($) | Jul. 02, 2020USD ($) | Jul. 02, 2020CAD ($) | Dec. 20, 2019EUR (€) | Jul. 31, 2019USD ($) | Jun. 30, 2019USD ($) | Jun. 03, 2019USD ($) | Jun. 03, 2019EUR (€) | Dec. 21, 2018EUR (€) | Dec. 21, 2017USD ($) | May 25, 2017ZAR (R) | Dec. 16, 2016EUR (€) | Apr. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Oct. 26, 2012USD ($) | Sep. 30, 2010USD ($) |
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Number of credit rating agencies | ratingAgency | 2 | 2 | 2 | ||||||||||||||||||||||||||||
Repayments of borrowings, classified as financing activities | $ 3,085,000,000 | $ 1,018,000,000 | |||||||||||||||||||||||||||||
Borrowings outstanding | € | € 241,000,000 | ||||||||||||||||||||||||||||||
Foreign exchange gains arising on translation | 208,000,000 | ||||||||||||||||||||||||||||||
Hedges of net investment in foreign operations | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Hedging instrument, liabilities | € | 3,725,000,000 | ||||||||||||||||||||||||||||||
Hedged item, assets | € | 7,832,000,000 | ||||||||||||||||||||||||||||||
5.5 billion revolving credit facility, due 2023-2025 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Line of credit facility, maximum borrowing capacity | $ 5,500,000,000 | $ 5,500,000,000 | |||||||||||||||||||||||||||||
Borrowings, number of extension options | extension_option | 2 | ||||||||||||||||||||||||||||||
Borrowings, extension option term | 1 year | ||||||||||||||||||||||||||||||
Undrawn borrowing facilities | 5,500,000,000 | ||||||||||||||||||||||||||||||
Notional amount | 5,500,000,000 | ||||||||||||||||||||||||||||||
Borrowings outstanding | 0 | $ 0 | |||||||||||||||||||||||||||||
5.4 billion revolving credit facility, due 2024 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Line of credit facility, maximum borrowing capacity | 5,400,000,000 | ||||||||||||||||||||||||||||||
0.1 billion revolving credit facility, due 2023 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Line of credit facility, maximum borrowing capacity | 100,000,000 | ||||||||||||||||||||||||||||||
2010 Revolving multi-currency letter of credit facility, due 2022 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Line of credit facility, maximum borrowing capacity | $ 350,000,000 | $ 450,000,000 | $ 500,000,000 | ||||||||||||||||||||||||||||
Revolving multi-currency letter of credit facility, due 2022 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Line of credit facility, maximum borrowing capacity | $ 350,000,000 | ||||||||||||||||||||||||||||||
€600 million unsecured notes, due 2020 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Repayments of borrowings, classified as financing activities | $ 342,000,000 | € 285,000,000 | |||||||||||||||||||||||||||||
Notional amount | € | € 500,000,000 | ||||||||||||||||||||||||||||||
€1 billion Unsecured Notes | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Notional amount | € | € 1,000,000,000 | ||||||||||||||||||||||||||||||
Redemption of notes | $ 562,000,000 | € 471,000,000 | |||||||||||||||||||||||||||||
Interest paid, classified as investing activities | 595,000,000 | € 501,000,000 | |||||||||||||||||||||||||||||
Borrowings outstanding | $ 625,000,000 | $ 636,000,000 | € 529,000,000 | 1,234,000,000 | |||||||||||||||||||||||||||
€1 billion Unsecured Notes | Fixed interest rate | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, interest rate | 2.25% | 2.25% | 2.25% | 2.25% | 2.25% | ||||||||||||||||||||||||||
750 Unsecured Notes | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Notional amount | $ 750,000,000 | ||||||||||||||||||||||||||||||
Redemption of notes | $ 460,000,000 | ||||||||||||||||||||||||||||||
Interest paid, classified as investing activities | 503,000,000 | ||||||||||||||||||||||||||||||
Borrowings outstanding | $ 290,000,000 | $ 289,000,000 | 747,000,000 | ||||||||||||||||||||||||||||
750 Unsecured Notes | Fixed interest rate | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, interest rate | 3.60% | 3.60% | 3.60% | 3.60% | 3.60% | ||||||||||||||||||||||||||
500 Unsecured Notes | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Notional amount | $ 500,000,000 | ||||||||||||||||||||||||||||||
Redemption of notes | $ 73,000,000 | ||||||||||||||||||||||||||||||
Interest paid, classified as investing activities | 86,000,000 | ||||||||||||||||||||||||||||||
Borrowings outstanding | $ 183,000,000 | $ 183,000,000 | 256,000,000 | ||||||||||||||||||||||||||||
500 Unsecured Notes | Fixed interest rate | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, interest rate | 6.125% | 6.13% | 6.13% | 6.13% | 6.125% | ||||||||||||||||||||||||||
750 million Unsecured Notes | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Notional amount | $ 750,000,000 | ||||||||||||||||||||||||||||||
Redemption of notes | $ 349,000,000 | ||||||||||||||||||||||||||||||
Interest paid, classified as investing activities | 399,000,000 | ||||||||||||||||||||||||||||||
Borrowings outstanding | $ 401,000,000 | $ 399,000,000 | 745,000,000 | ||||||||||||||||||||||||||||
750 million Unsecured Notes | Fixed interest rate | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, interest rate | 4.55% | 4.55% | 4.55% | 4.55% | 4.55% | ||||||||||||||||||||||||||
EIB Loan, 2021 to 2023 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, maximum capacity | € | € 280,000,000 | ||||||||||||||||||||||||||||||
€350 million EIB Loan | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings outstanding | $ 260,000,000 | € 219,000,000 | 304,000,000 | ||||||||||||||||||||||||||||
Borrowings, maximum capacity | € | € 350,000,000 | ||||||||||||||||||||||||||||||
€350 million EIB Loan | Fixed interest rate | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, interest rate | 1.16% | 1.16% | 1.16% | ||||||||||||||||||||||||||||
Other loans | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings outstanding | $ 825,000,000 | $ 1,204,000,000 | |||||||||||||||||||||||||||||
Other loans | Repayment of borrowings | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Repayments of borrowings, classified as financing activities | $ 532,000,000 | € 450,000,000 | |||||||||||||||||||||||||||||
Other loans, due July 2023 | Repayment of borrowings | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Repayments of borrowings, classified as financing activities | 479,000,000 | 405,000,000 | |||||||||||||||||||||||||||||
Other loans, due July 2025 | Repayment of borrowings | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Repayments of borrowings, classified as financing activities | $ 53,000,000 | € 45,000,000 | |||||||||||||||||||||||||||||
€235 million facility agreement | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Notional amount | € | € 235,000,000 | ||||||||||||||||||||||||||||||
Borrowings outstanding | $ 200,000,000 | € 168,000,000 | |||||||||||||||||||||||||||||
Borrowings, installment period | 8 years 6 months | ||||||||||||||||||||||||||||||
€125 million bilateral term loan, due 2022 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, extension option term | 1 year | ||||||||||||||||||||||||||||||
Borrowings outstanding | $ 142,000,000 | € 125,000,000 | |||||||||||||||||||||||||||||
€100 million bilateral term loan, due 2023 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings, extension option term | 1 year | ||||||||||||||||||||||||||||||
Notional amount | $ 110,000,000 | € 100,000,000 | |||||||||||||||||||||||||||||
174 million CAD financing agreement, due 2021-2022 | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Notional amount | $ 128,000,000 | $ 174 | |||||||||||||||||||||||||||||
EBRD Facility | ArcelorMittal Kryvyi Rih | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Borrowings outstanding | $ 105,000,000 | $ 175,000,000 | |||||||||||||||||||||||||||||
Borrowings, maximum capacity | $ 175,000,000 | ||||||||||||||||||||||||||||||
Borrowings, maximum capacity, additional | $ 175,000,000 | ||||||||||||||||||||||||||||||
4.5 billion ZAR revolving borrowing base finance facility, due 2022 | ArcelorMittal South Africa Ltd. | |||||||||||||||||||||||||||||||
Disclosure of detailed information about borrowings [line items] | |||||||||||||||||||||||||||||||
Line of credit facility, maximum borrowing capacity | R | R 4.5 | ||||||||||||||||||||||||||||||
Borrowings outstanding | $ 150,000,000 | R 2.2 |
FINANCIAL INSTRUMENTS - Summary
FINANCIAL INSTRUMENTS - Summary of assets and liabilities based on categories (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||||
Cash and cash equivalents | $ 4,071 | $ 5,600 | $ 5,630 | $ 4,867 |
Restricted cash and other restricted funds | 113 | 363 | ||
Trade accounts receivable and other | 5,586 | 3,072 | ||
Inventories | 16,286 | 12,328 | ||
Prepaid expenses and other current assets | 3,344 | 2,281 | ||
Total current assets | 29,400 | 27,973 | ||
Non-current assets: | ||||
Goodwill and intangible assets | 4,557 | 4,312 | ||
Property, plant and equipment and biological assets | 30,229 | 30,622 | ||
Investments in associates and joint ventures | 9,090 | 6,817 | ||
Other investments | 2,292 | 2,980 | ||
Deferred tax assets | 7,824 | 7,866 | ||
Other assets | 2,032 | 1,482 | ||
Total non-current assets | 56,024 | 54,079 | ||
Total assets | 85,424 | 82,052 | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 2,639 | 2,507 | ||
Trade accounts payable and other | 14,076 | 11,525 | ||
Short-term provisions | 659 | 935 | ||
Accrued expenses and other liabilities | 4,497 | 4,197 | ||
Income tax liabilities | 1,045 | 464 | ||
Total current liabilities | 22,916 | 22,667 | ||
Non-current liabilities: | ||||
Long-term debt, net of current portion (note 6) | 6,589 | 9,815 | ||
Deferred tax liabilities | 1,958 | 1,832 | ||
Deferred employee benefits | 4,528 | 4,656 | ||
Long-term provisions | 1,952 | 1,697 | ||
Other long-term obligations | 1,156 | 1,148 | ||
Total non-current liabilities | 16,183 | 19,148 | ||
Equity: | ||||
Equity attributable to the equity holders of the parent | 44,165 | 38,280 | ||
Non-controlling interests | 2,160 | 1,957 | ||
Total equity | 46,325 | 40,237 | $ 37,598 | $ 40,483 |
Total liabilities and equity | 85,424 | $ 82,052 | ||
Restricted cash and cash equivalents environmental obligations | 66 | |||
Restricted cash and cash equivalents mandatory convertible bonds | 20 | |||
Non-financial liabilities | ||||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 0 | |||
Trade accounts payable and other | 0 | |||
Short-term provisions | 644 | |||
Accrued expenses and other liabilities | 1,403 | |||
Income tax liabilities | 1,045 | |||
Total current liabilities | 3,092 | |||
Non-current liabilities: | ||||
Long-term debt, net of current portion (note 6) | 0 | |||
Deferred tax liabilities | 1,958 | |||
Deferred employee benefits | 4,528 | |||
Long-term provisions | 1,947 | |||
Other long-term obligations | 296 | |||
Total non-current liabilities | 8,729 | |||
Equity: | ||||
Equity attributable to the equity holders of the parent | 44,165 | |||
Non-controlling interests | 2,160 | |||
Total equity | 46,325 | |||
Total liabilities and equity | 58,146 | |||
Financial liabilities | Liabilities at amortised cost | ||||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 2,639 | |||
Trade accounts payable and other | 14,076 | |||
Short-term provisions | 15 | |||
Accrued expenses and other liabilities | 2,681 | |||
Income tax liabilities | 0 | |||
Total current liabilities | 19,411 | |||
Non-current liabilities: | ||||
Long-term debt, net of current portion (note 6) | 6,589 | |||
Deferred tax liabilities | 0 | |||
Deferred employee benefits | 0 | |||
Long-term provisions | 5 | |||
Other long-term obligations | 786 | |||
Total non-current liabilities | 7,380 | |||
Equity: | ||||
Total liabilities and equity | 26,791 | |||
Financial liabilities | Derivatives | ||||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 0 | |||
Trade accounts payable and other | 0 | |||
Short-term provisions | 0 | |||
Accrued expenses and other liabilities | 413 | |||
Income tax liabilities | 0 | |||
Total current liabilities | 413 | |||
Non-current liabilities: | ||||
Long-term debt, net of current portion (note 6) | 0 | |||
Deferred tax liabilities | 0 | |||
Deferred employee benefits | 0 | |||
Long-term provisions | 0 | |||
Other long-term obligations | 74 | |||
Total non-current liabilities | 74 | |||
Equity: | ||||
Total liabilities and equity | 487 | |||
Non-financial assets | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | |||
Restricted cash and other restricted funds | 0 | |||
Trade accounts receivable and other | 0 | |||
Inventories | 16,286 | |||
Prepaid expenses and other current assets | 968 | |||
Total current assets | 17,254 | |||
Non-current assets: | ||||
Goodwill and intangible assets | 4,557 | |||
Property, plant and equipment and biological assets | 30,190 | |||
Investments in associates and joint ventures | 9,090 | |||
Other investments | 0 | |||
Deferred tax assets | 7,824 | |||
Other assets | 277 | |||
Total non-current assets | 51,938 | |||
Total assets | 69,192 | |||
Financial assets | Assets at amortized cost | ||||
Current assets: | ||||
Cash and cash equivalents | 4,071 | |||
Restricted cash and other restricted funds | 113 | |||
Trade accounts receivable and other | 5,052 | |||
Inventories | 0 | |||
Prepaid expenses and other current assets | 1,111 | |||
Total current assets | 10,347 | |||
Non-current assets: | ||||
Goodwill and intangible assets | 0 | |||
Property, plant and equipment and biological assets | 0 | |||
Investments in associates and joint ventures | 0 | |||
Other investments | 0 | |||
Deferred tax assets | 0 | |||
Other assets | 797 | |||
Total non-current assets | 797 | |||
Total assets | 11,144 | |||
Financial assets | Fair value recognized in profit or loss | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | |||
Restricted cash and other restricted funds | 0 | |||
Trade accounts receivable and other | 0 | |||
Inventories | 0 | |||
Prepaid expenses and other current assets | 0 | |||
Total current assets | 0 | |||
Non-current assets: | ||||
Goodwill and intangible assets | 0 | |||
Property, plant and equipment and biological assets | 39 | |||
Investments in associates and joint ventures | 0 | |||
Other investments | 0 | |||
Deferred tax assets | 0 | |||
Other assets | 136 | |||
Total non-current assets | 175 | |||
Total assets | 175 | |||
Financial assets | Fair value recognized in OCI | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | |||
Restricted cash and other restricted funds | 0 | |||
Trade accounts receivable and other | 534 | |||
Inventories | 0 | |||
Prepaid expenses and other current assets | 0 | |||
Total current assets | 534 | |||
Non-current assets: | ||||
Goodwill and intangible assets | 0 | |||
Property, plant and equipment and biological assets | 0 | |||
Investments in associates and joint ventures | 0 | |||
Other investments | 2,292 | |||
Deferred tax assets | 0 | |||
Other assets | 0 | |||
Total non-current assets | 2,292 | |||
Total assets | 2,826 | |||
Financial assets | Derivatives | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | |||
Restricted cash and other restricted funds | 0 | |||
Trade accounts receivable and other | 0 | |||
Inventories | 0 | |||
Prepaid expenses and other current assets | 1,265 | |||
Total current assets | 1,265 | |||
Non-current assets: | ||||
Goodwill and intangible assets | 0 | |||
Property, plant and equipment and biological assets | 0 | |||
Investments in associates and joint ventures | 0 | |||
Other investments | 0 | |||
Deferred tax assets | 0 | |||
Other assets | 822 | |||
Total non-current assets | 822 | |||
Total assets | $ 2,087 |
FINANCIAL INSTRUMENTS - Fair va
FINANCIAL INSTRUMENTS - Fair value hierarchy (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 | Dec. 09, 2020 |
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | $ 85,424 | $ 82,052 | |
Total liabilities at fair value | 39,099 | 41,815 | |
Level 3 | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | $ 305 | ||
Recurring fair value measurement | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 4,913 | 4,030 | |
Total liabilities at fair value | 487 | 304 | |
Recurring fair value measurement | Derivative financial current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 413 | 208 | |
Recurring fair value measurement | Derivative financial non-current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 74 | 96 | |
Recurring fair value measurement | Investments in equity instruments at FVOCI | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 2,292 | 2,980 | |
Recurring fair value measurement | Trade accounts receivable and other subject to TSR programs | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 534 | 373 | |
Recurring fair value measurement | Derivative financial current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 1,265 | 353 | |
Recurring fair value measurement | Derivative financial non-current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 822 | 324 | |
Recurring fair value measurement | Level 1 | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 2,250 | 2,934 | |
Total liabilities at fair value | 0 | 0 | |
Recurring fair value measurement | Level 1 | Derivative financial current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 0 | 0 | |
Recurring fair value measurement | Level 1 | Derivative financial non-current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 0 | 0 | |
Recurring fair value measurement | Level 1 | Investments in equity instruments at FVOCI | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 2,250 | 2,934 | |
Recurring fair value measurement | Level 1 | Trade accounts receivable and other subject to TSR programs | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 0 | 0 | |
Recurring fair value measurement | Level 1 | Derivative financial current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 0 | 0 | |
Recurring fair value measurement | Level 1 | Derivative financial non-current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 0 | 0 | |
Recurring fair value measurement | Level 2 | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 1,991 | 618 | |
Total liabilities at fair value | 487 | 304 | |
Recurring fair value measurement | Level 2 | Derivative financial current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 413 | 208 | |
Recurring fair value measurement | Level 2 | Derivative financial non-current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 74 | 96 | |
Recurring fair value measurement | Level 2 | Investments in equity instruments at FVOCI | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 0 | 0 | |
Recurring fair value measurement | Level 2 | Trade accounts receivable and other subject to TSR programs | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 0 | 0 | |
Recurring fair value measurement | Level 2 | Derivative financial current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 1,265 | 353 | |
Recurring fair value measurement | Level 2 | Derivative financial non-current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 726 | 265 | |
Recurring fair value measurement | Level 3 | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 672 | 478 | |
Total liabilities at fair value | 0 | 0 | |
Recurring fair value measurement | Level 3 | Derivative financial current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 0 | 0 | |
Recurring fair value measurement | Level 3 | Derivative financial non-current liabilities | |||
Disclosure of fair value measurement of assets [line items] | |||
Total liabilities at fair value | 0 | 0 | |
Recurring fair value measurement | Level 3 | Investments in equity instruments at FVOCI | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 42 | 46 | |
Recurring fair value measurement | Level 3 | Trade accounts receivable and other subject to TSR programs | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 534 | 373 | |
Recurring fair value measurement | Level 3 | Derivative financial current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | 0 | 0 | |
Recurring fair value measurement | Level 3 | Derivative financial non-current assets | |||
Disclosure of fair value measurement of assets [line items] | |||
Total assets at fair value | $ 96 | $ 59 |
FINANCIAL INSTRUMENTS - Narrati
FINANCIAL INSTRUMENTS - Narrative investments (Details) - Ordinary shares - Cleveland-Cliffs Inc. - USD ($) shares in Millions, $ in Millions | 6 Months Ended | |||
Jun. 30, 2021 | Jul. 28, 2021 | Jun. 18, 2021 | Feb. 09, 2021 | |
Disclosure of fair value measurement of assets [line items] | ||||
Number of shares divested (in shares) | 38.2 | 40 | ||
Consideration received | $ 1,377 | |||
Gain recognized in OCI, before tax | 357 | |||
Gain recognized in OCI, after tax | $ 267 | |||
Other disposals of assets [member] | ||||
Disclosure of fair value measurement of assets [line items] | ||||
Consideration received | $ 1,235 |
FINANCIAL INSTRUMENTS - Level 2
FINANCIAL INSTRUMENTS - Level 2 financial instruments (Details) - Level 2 - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 |
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, fair value | $ 1,991 | $ 618 | |
Derivative financial liabilities, fair value | (487) | (304) | |
Total foreign exchange rate instruments | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, fair value | 191 | 106 | |
Derivative financial liabilities, fair value | (98) | (170) | |
Other interest rate instruments | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 5 | $ 22 | |
Derivative financial assets, fair value | 0 | 0 | |
Derivative liability, notional amount | 10 | 10 | |
Derivative financial liabilities, fair value | 0 | 0 | |
Total interest rate instruments | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, fair value | 0 | 0 | |
Derivative financial liabilities, fair value | 0 | $ 0 | |
Forward purchase of contracts | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 5,122 | 356 | |
Derivative financial assets, fair value | 93 | 2 | |
Derivative liability, notional amount | 1,350 | 2,199 | |
Derivative financial liabilities, fair value | (38) | (113) | |
Forward sale of contracts | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 1,099 | 847 | |
Derivative financial assets, fair value | 22 | 24 | |
Derivative liability, notional amount | 1,263 | 371 | |
Derivative financial liabilities, fair value | (31) | (19) | |
Currency swaps sales | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 150 | ||
Derivative financial assets, fair value | 19 | ||
Derivative liability, notional amount | 0 | ||
Derivative financial liabilities, fair value | 0 | ||
Currency swaps purchases | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 260 | 260 | |
Derivative financial assets, fair value | 27 | 36 | |
Derivative liability, notional amount | 0 | 0 | |
Derivative financial liabilities, fair value | 0 | 0 | |
Exchange option purchases | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 2,439 | 2,938 | |
Derivative financial assets, fair value | 18 | 18 | |
Derivative liability, notional amount | 1,694 | 1,176 | |
Derivative financial liabilities, fair value | (15) | (15) | |
Exchange options sales | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 1,212 | 2,960 | |
Derivative financial assets, fair value | 12 | 26 | |
Derivative liability, notional amount | 2,915 | 1,208 | |
Derivative financial liabilities, fair value | (14) | (23) | |
Total raw materials (base metal), freight, energy, emission rights and others | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, fair value | 1,800 | 512 | |
Derivative financial liabilities, fair value | (389) | (134) | |
Term contracts sales | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 509 | 567 | |
Derivative financial assets, fair value | 28 | 38 | |
Derivative liability, notional amount | 952 | 370 | |
Derivative financial liabilities, fair value | (265) | (46) | |
Term contracts purchases | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 2,779 | 1,673 | |
Derivative financial assets, fair value | 1,767 | 473 | |
Derivative liability, notional amount | 818 | 854 | |
Derivative financial liabilities, fair value | (52) | (87) | |
Options sales/purchases | |||
Disclosure of fair value measurement of assets [line items] | |||
Derivative financial assets, notional amount | 153 | 47 | |
Derivative financial assets, fair value | 5 | 1 | |
Derivative liability, notional amount | 614 | 48 | |
Derivative financial liabilities, fair value | $ (72) | $ (1) |
FINANCIAL INSTRUMENTS - Fair _2
FINANCIAL INSTRUMENTS - Fair value of call options (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Dec. 09, 2020 | |
Disclosure of fair value measurement of equity [line items] | ||||
Number of working days over which stock market prices are observed | 90 days | |||
Reconciliation of changes in fair value measurement, assets [abstract] | ||||
Beginning balance, assets | $ 82,052 | |||
Value of option at exercise date/divested balance | 85,424 | $ 82,052 | ||
Ending balance, assets | 85,424 | 82,052 | ||
Reconciliation of changes in fair value measurement, liabilities [abstract] | ||||
Beginning balance, liabilities | (41,815) | |||
Value of option at exercise date/divested balance | 39,099 | 41,815 | ||
Ending balance, liabilities | (39,099) | (41,815) | ||
Level 3 | ||||
Reconciliation of changes in fair value measurement, liabilities [abstract] | ||||
Value of option at exercise date/divested balance | $ 305 | |||
Reconciliation of changes in fair value measurement, assets (liabilities) [Abstract] | ||||
Beginning balance, assets (liabilities) | 59 | (303) | $ (174) | |
Change in fair value | 37 | 57 | (129) | |
Value of option at exercise date/divested balance | 96 | 59 | (303) | |
Ending balance, assets (liabilities) | 96 | 59 | (303) | |
Call option on 1,000 mandatory convertible bonds | Level 3 | ||||
Reconciliation of changes in fair value measurement, assets [abstract] | ||||
Beginning balance, assets | 59 | 10 | 127 | |
Change in fair value | 37 | 49 | (117) | |
Value of option at exercise date/divested balance | 96 | 59 | 10 | 0 |
Ending balance, assets | 96 | 59 | 10 | |
Special payment in pellet purchase agreement | Level 3 | ||||
Reconciliation of changes in fair value measurement, liabilities [abstract] | ||||
Beginning balance, liabilities | 0 | (187) | (176) | |
Change in fair value | 0 | 17 | (11) | |
Value of option at exercise date/divested balance | 0 | 0 | 187 | 170 |
Ending balance, liabilities | 0 | 0 | (187) | |
Put option with ISP | Level 3 | ||||
Reconciliation of changes in fair value measurement, liabilities [abstract] | ||||
Beginning balance, liabilities | 0 | (126) | (125) | |
Change in fair value | 0 | (9) | (1) | |
Value of option at exercise date/divested balance | 0 | 0 | 126 | $ 135 |
Ending balance, liabilities | 0 | $ 0 | $ (126) | |
Mandatorily convertible unsecured unsubordinated bonds | ||||
Disclosure of fair value measurement of equity [line items] | ||||
Notional amount | $ 1,000 |
PROVISIONS - Provisions overvie
PROVISIONS - Provisions overview (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Disclosure of other provisions [line items] | ||
Other provisions | $ 2,611 | $ 2,632 |
Short-term provisions | 659 | 935 |
Long-term provisions | 1,952 | 1,697 |
Environmental | ||
Disclosure of other provisions [line items] | ||
Other provisions | 642 | 661 |
Emission rights | ||
Disclosure of other provisions [line items] | ||
Other provisions | 425 | 571 |
Asset retirement obligations | ||
Disclosure of other provisions [line items] | ||
Other provisions | 407 | 397 |
Site restoration | ||
Disclosure of other provisions [line items] | ||
Other provisions | 250 | 309 |
Staff related obligations | ||
Disclosure of other provisions [line items] | ||
Other provisions | 126 | 127 |
Voluntary separation plans | ||
Disclosure of other provisions [line items] | ||
Other provisions | 40 | 55 |
Litigation and contingencies (see note 12) | ||
Disclosure of other provisions [line items] | ||
Other provisions | 348 | 269 |
Tax claims | ||
Disclosure of other provisions [line items] | ||
Other provisions | 80 | 62 |
Other legal claims and contingencies | ||
Disclosure of other provisions [line items] | ||
Other provisions | 268 | 207 |
Commercial agreements and onerous contracts | ||
Disclosure of other provisions [line items] | ||
Other provisions | 23 | 25 |
Other | ||
Disclosure of other provisions [line items] | ||
Other provisions | 350 | $ 218 |
Indemnification | ||
Disclosure of other provisions [line items] | ||
Increase in other provisions | $ 117 |
SEGMENT AND GEOGRAPHIC INFORM_3
SEGMENT AND GEOGRAPHIC INFORMATION - Reportable segments (Details) $ in Millions | 6 Months Ended | |
Jun. 30, 2021USD ($)segment | Jun. 30, 2020USD ($) | |
Disclosure of operating segments [line items] | ||
Number of operating segments | segment | 5 | |
Number of reportable segments | segment | 5 | |
Disclosure of operating segments [abstract] | ||
Sales | $ 35,536 | $ 25,820 |
Operating income (loss) | 7,073 | (606) |
Depreciation and amortization | 1,221 | 1,510 |
Impairment | 92 | |
Capital expenditures | 1,188 | 1,251 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | 7,073 | (606) |
Income from investments in associates, joint ventures and other investments | 1,043 | 127 |
Financing costs - net | (594) | (642) |
Income (loss) before taxes | 7,522 | (1,121) |
Income tax expense | (946) | (524) |
Net income (loss) (including non-controlling interests) | 6,576 | (1,645) |
Operating segments | NAFTA | ||
Disclosure of operating segments [abstract] | ||
Sales | 5,755 | 7,023 |
Operating income (loss) | 936 | (452) |
Depreciation and amortization | 142 | 292 |
Impairment | 0 | |
Capital expenditures | 147 | 349 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | 936 | (452) |
Operating segments | Brazil | ||
Disclosure of operating segments [abstract] | ||
Sales | 4,861 | 2,398 |
Operating income (loss) | 1,742 | 272 |
Depreciation and amortization | 109 | 122 |
Impairment | 0 | |
Capital expenditures | 139 | 101 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | 1,742 | 272 |
Operating segments | Europe | ||
Disclosure of operating segments [abstract] | ||
Sales | 19,990 | 13,428 |
Operating income (loss) | 1,861 | (654) |
Depreciation and amortization | 615 | 704 |
Impairment | 92 | |
Capital expenditures | 578 | 492 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | 1,861 | (654) |
Operating segments | ACIS | ||
Disclosure of operating segments [abstract] | ||
Sales | 4,170 | 2,440 |
Operating income (loss) | 1,458 | (92) |
Depreciation and amortization | 220 | 239 |
Impairment | 0 | |
Capital expenditures | 214 | 240 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | 1,458 | (92) |
Operating segments | Mining | ||
Disclosure of operating segments [abstract] | ||
Sales | 751 | 524 |
Operating income (loss) | 1,287 | 415 |
Depreciation and amortization | 115 | 126 |
Impairment | 0 | |
Capital expenditures | 97 | 52 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | 1,287 | 415 |
Operating segments | Others | ||
Disclosure of operating segments [abstract] | ||
Sales | 9 | 7 |
Operating income (loss) | (126) | (137) |
Depreciation and amortization | 20 | 27 |
Impairment | 0 | |
Capital expenditures | 16 | 19 |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | (126) | (137) |
Intersegment sales | ||
Disclosure of operating segments [abstract] | ||
Sales | (3,047) | (1,444) |
Operating income (loss) | (85) | 42 |
Depreciation and amortization | 0 | 0 |
Impairment | 0 | |
Capital expenditures | (3) | (2) |
Reconciliation from operating income to net income [Abstract] | ||
Operating income (loss) | (85) | 42 |
Intersegment sales | NAFTA | ||
Disclosure of operating segments [abstract] | ||
Sales | 23 | 106 |
Intersegment sales | Brazil | ||
Disclosure of operating segments [abstract] | ||
Sales | 937 | 409 |
Intersegment sales | Europe | ||
Disclosure of operating segments [abstract] | ||
Sales | 37 | 26 |
Intersegment sales | ACIS | ||
Disclosure of operating segments [abstract] | ||
Sales | 726 | 292 |
Intersegment sales | Mining | ||
Disclosure of operating segments [abstract] | ||
Sales | 1,317 | 607 |
Intersegment sales | Others | ||
Disclosure of operating segments [abstract] | ||
Sales | $ 7 | $ 4 |
SEGMENT AND GEOGRAPHIC INFORM_4
SEGMENT AND GEOGRAPHIC INFORMATION - Sales by geographical area (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Disclosure of geographical areas [line items] | ||
Sales | $ 35,536 | $ 25,820 |
Americas | ||
Disclosure of geographical areas [line items] | ||
Sales | 11,655 | 10,023 |
United States | ||
Disclosure of geographical areas [line items] | ||
Sales | 3,342 | 5,466 |
Brazil | ||
Disclosure of geographical areas [line items] | ||
Sales | 3,971 | 1,824 |
Canada | ||
Disclosure of geographical areas [line items] | ||
Sales | 1,844 | 1,207 |
Mexico | ||
Disclosure of geographical areas [line items] | ||
Sales | 1,151 | 778 |
Argentina | ||
Disclosure of geographical areas [line items] | ||
Sales | 598 | 260 |
Others Americas | ||
Disclosure of geographical areas [line items] | ||
Sales | 749 | 488 |
Total Europe | ||
Disclosure of geographical areas [line items] | ||
Sales | 19,729 | 12,577 |
Germany | ||
Disclosure of geographical areas [line items] | ||
Sales | 3,019 | 2,008 |
France | ||
Disclosure of geographical areas [line items] | ||
Sales | 2,489 | 1,447 |
Poland | ||
Disclosure of geographical areas [line items] | ||
Sales | 2,328 | 1,550 |
Spain | ||
Disclosure of geographical areas [line items] | ||
Sales | 2,041 | 1,343 |
Italy | ||
Disclosure of geographical areas [line items] | ||
Sales | 2,667 | 1,495 |
Turkey | ||
Disclosure of geographical areas [line items] | ||
Sales | 669 | 542 |
Czech Republic | ||
Disclosure of geographical areas [line items] | ||
Sales | 598 | 371 |
United Kingdom | ||
Disclosure of geographical areas [line items] | ||
Sales | 728 | 460 |
Belgium | ||
Disclosure of geographical areas [line items] | ||
Sales | 877 | 693 |
Russia | ||
Disclosure of geographical areas [line items] | ||
Sales | 863 | 377 |
Netherlands | ||
Disclosure of geographical areas [line items] | ||
Sales | 628 | 447 |
Romania | ||
Disclosure of geographical areas [line items] | ||
Sales | 228 | 154 |
Ukraine | ||
Disclosure of geographical areas [line items] | ||
Sales | 394 | 191 |
Others Europe | ||
Disclosure of geographical areas [line items] | ||
Sales | 2,200 | 1,499 |
Total Asia & Africa | ||
Disclosure of geographical areas [line items] | ||
Sales | 4,152 | 3,220 |
South Africa | ||
Disclosure of geographical areas [line items] | ||
Sales | 1,202 | 651 |
Morocco | ||
Disclosure of geographical areas [line items] | ||
Sales | 325 | 194 |
Egypt | ||
Disclosure of geographical areas [line items] | ||
Sales | 26 | 80 |
Rest of Africa | ||
Disclosure of geographical areas [line items] | ||
Sales | 456 | 340 |
China | ||
Disclosure of geographical areas [line items] | ||
Sales | 397 | 763 |
Kazakhstan | ||
Disclosure of geographical areas [line items] | ||
Sales | 370 | 195 |
South Korea | ||
Disclosure of geographical areas [line items] | ||
Sales | 264 | 148 |
India | ||
Disclosure of geographical areas [line items] | ||
Sales | 91 | 53 |
Rest of Asia | ||
Disclosure of geographical areas [line items] | ||
Sales | $ 1,021 | $ 796 |
SEGMENT AND GEOGRAPHIC INFORM_5
SEGMENT AND GEOGRAPHIC INFORMATION - Sales by type of products (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Disclosure of products and services [line items] | ||
Sales | $ 35,536 | $ 25,820 |
Flat products | ||
Disclosure of products and services [line items] | ||
Sales | 19,418 | 15,634 |
Long products | ||
Disclosure of products and services [line items] | ||
Sales | 8,380 | 5,291 |
Tubular products | ||
Disclosure of products and services [line items] | ||
Sales | 1,045 | 650 |
Mining products | ||
Disclosure of products and services [line items] | ||
Sales | 839 | 654 |
Others | ||
Disclosure of products and services [line items] | ||
Sales | $ 5,854 | $ 3,591 |
SEGMENT AND GEOGRAPHIC INFORM_6
SEGMENT AND GEOGRAPHIC INFORMATION - Disaggregated revenue (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Disclosure of products and services [line items] | ||
Sales | $ 35,536 | $ 25,820 |
Other | ||
Disclosure of products and services [line items] | ||
Sales | 9 | 7 |
NAFTA | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 5,755 | 7,023 |
Brazil | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 4,861 | 2,398 |
Europe | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 19,990 | 13,428 |
ACIS | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 4,170 | 2,440 |
Mining | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 751 | 524 |
Steel sales | ||
Disclosure of products and services [line items] | ||
Sales | 31,526 | 23,187 |
Steel sales | Other | ||
Disclosure of products and services [line items] | ||
Sales | 0 | 0 |
Steel sales | NAFTA | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 5,594 | 6,669 |
Steel sales | Brazil | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 4,588 | 2,221 |
Steel sales | Europe | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 17,874 | 12,212 |
Steel sales | ACIS | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 3,470 | 2,085 |
Steel sales | Mining | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 0 | 0 |
Non-steel sales | ||
Disclosure of products and services [line items] | ||
Sales | 2,183 | 1,101 |
Non-steel sales | Other | ||
Disclosure of products and services [line items] | ||
Sales | 0 | 0 |
Non-steel sales | NAFTA | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 1 | 92 |
Non-steel sales | Brazil | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 91 | 45 |
Non-steel sales | Europe | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 861 | 269 |
Non-steel sales | ACIS | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 490 | 178 |
Non-steel sales | Mining | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 740 | 517 |
By-product sales | ||
Disclosure of products and services [line items] | ||
Sales | 601 | 399 |
By-product sales | Other | ||
Disclosure of products and services [line items] | ||
Sales | 0 | 0 |
By-product sales | NAFTA | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 43 | 43 |
By-product sales | Brazil | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 52 | 35 |
By-product sales | Europe | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 439 | 276 |
By-product sales | ACIS | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 67 | 45 |
By-product sales | Mining | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 0 | 0 |
Other sales | ||
Disclosure of products and services [line items] | ||
Sales | 1,226 | 1,133 |
Other sales | Other | ||
Disclosure of products and services [line items] | ||
Sales | 9 | 7 |
Other sales | NAFTA | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 117 | 219 |
Other sales | Brazil | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 130 | 97 |
Other sales | Europe | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 816 | 671 |
Other sales | ACIS | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | 143 | 132 |
Other sales | Mining | Operating segments | ||
Disclosure of products and services [line items] | ||
Sales | $ 11 | $ 7 |
LEASES - Right-of-use assets an
LEASES - Right-of-use assets and depreciation (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Disclosure of quantitative information about right-of-use assets [line items] | |||
Lease liabilities | $ 768 | $ 815 | |
Right of-use assets: | 972 | 1,039 | |
Depreciation and impairment charges for right-of-use assets | 93 | $ 111 | |
Other lease related expenses: | |||
Interest expense on lease liabilities | 17 | 34 | |
Expenses of short-term leases | 38 | 67 | |
Expenses of leases of low-value assets | 32 | 28 | |
Expenses related to variable lease payments | 48 | 31 | |
Additions to right-of-use assets | 58 | 49 | |
Lease payments recorded as reduction of lease liabilities and cash outflow from financing activities | 100 | 118 | |
Land, buildings and improvements | |||
Disclosure of quantitative information about right-of-use assets [line items] | |||
Right of-use assets: | 729 | 761 | |
Depreciation and impairment charges for right-of-use assets | 57 | 59 | |
Machinery, equipment and others | |||
Disclosure of quantitative information about right-of-use assets [line items] | |||
Right of-use assets: | 243 | $ 278 | |
Depreciation and impairment charges for right-of-use assets | $ 36 | $ 52 |
COMMITMENTS - Schedule of commi
COMMITMENTS - Schedule of commitments (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Subclassifications of assets, liabilities and equities [abstract] | ||
Purchase commitments | $ 12,970 | $ 13,047 |
Guarantees, pledges and other collateral | 7,917 | 8,632 |
Capital expenditure commitments | 338 | 354 |
Other commitments | 1,116 | 3,143 |
Total | $ 22,341 | $ 25,176 |
COMMITMENTS - Narrative (Detail
COMMITMENTS - Narrative (Details) t in Millions | Mar. 16, 2020USD ($) | Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2018USD ($)t |
Disclosure of commitments [line items] | ||||
Commitments in relation to associates | $ 1,308,000,000 | $ 1,276,000,000 | ||
Commitments in relation to joint ventures | 1,450,000,000 | 1,570,000,000 | ||
Provision of guarantees or collateral by entity, third party transactions | 115,000,000 | 150,000,000 | ||
Pledges of property, plant and equipment | 126,000,000 | 136,000,000 | ||
Supply commitment, remaining minimum amount committed | 266,000,000 | 211,000,000 | ||
Ilva S.p.A. | ||||
Disclosure of commitments [line items] | ||||
Industrial capital expenditure commitments | 1,357,000,000 | |||
Environmental capital expenditure commitments | 583,000,000 | |||
ArcelorMittal South Africa Ltd. (AMSA) | ||||
Disclosure of commitments [line items] | ||||
Contractual capital commitments | 126,000,000 | 126,000,000 | ||
ArcelorMittal México S.A. de C.V. | ||||
Disclosure of commitments [line items] | ||||
Contractual capital commitments | 176,000,000 | 196,000,000 | ||
Total amount of investment program | $ 1,000,000,000 | |||
Construction capacity of investment program (in tonnes) | t | 2.5 | |||
ArcelorMittal Brasil S.A. | ||||
Disclosure of commitments [line items] | ||||
Expected costs to be in compliance with the ECA | 108,000,000 | |||
Maximum fine for non-compliance with agreement | $ 20,000,000 | 19,000,000 | ||
5.146 billion 10-year term loan | ||||
Disclosure of commitments [line items] | ||||
Percent guaranteed | 60.00% | |||
Notional amount | $ 5,146,000,000 | |||
Borrowings, term | 10 years | |||
Asset-based revolving credit facility | South Africa | Operating subsidiaries | ||||
Disclosure of commitments [line items] | ||||
Debt instrument, collateral amount | $ 150,000,000 | |||
Debt instrument, ceded bank accounts to secure environmental obligations, true sale of receivables programs and revolving base finance facility | 78,000,000 | |||
Kryvyi Rih Industrial Gas | ||||
Disclosure of commitments [line items] | ||||
Commitments in relation to associates | 590,000,000 | 561,000,000 | ||
Joint ventures | ||||
Disclosure of commitments [line items] | ||||
Provision of guarantees or collateral to entity, related party transactions | 4,396,000,000 | 4,477,000,000 | ||
Commitments within sureties, guarantees, LOC, pledges, and other collateral | 343,000,000 | 173,000,000 | ||
Associates | ||||
Disclosure of commitments [line items] | ||||
Commitments within sureties, guarantees, LOC, pledges, and other collateral | 348,000,000 | 407,000,000 | ||
Tameh | ||||
Disclosure of commitments [line items] | ||||
Commitments in relation to joint ventures | 674,000,000 | 737,000,000 | ||
Enerfos | ||||
Disclosure of commitments [line items] | ||||
Commitments in relation to joint ventures | 563,000,000 | 604,000,000 | ||
Calvert | Joint ventures | ||||
Disclosure of commitments [line items] | ||||
Provision of guarantees or collateral to entity, related party transactions | 265,000,000 | 226,000,000 | ||
Al Jubail | Joint ventures | ||||
Disclosure of commitments [line items] | ||||
Provision of guarantees or collateral to entity, related party transactions | 344,000,000 | 347,000,000 | ||
Global Chartering Limited | ||||
Disclosure of commitments [line items] | ||||
Counter guarantees | 263,000,000 | 242,000,000 | ||
ArcelorMittal Nippon Steel India Limited | Joint ventures | ||||
Disclosure of commitments [line items] | ||||
Provision of guarantees or collateral to entity, related party transactions | 3,088,000,000 | 3,088,000,000 | ||
CACIB | ||||
Disclosure of commitments [line items] | ||||
Obligation to deliver follow-on funding | $ 260,000,000 | |||
Acciaierie d'Italia Holding | Joint ventures | ||||
Disclosure of commitments [line items] | ||||
Increase in commitments within sureties, guarantees, LOC, pledges, and other collateral | $ 119,000,000 |
CONTINGENCIES (Details)
CONTINGENCIES (Details) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jul. 31, 2021 | Jun. 30, 2021 | Jun. 30, 2021 | Dec. 31, 2011 | Dec. 31, 2010 | |
France | Wrongful termination of contract | |||||
Disclosure of other provisions [line items] | |||||
Loss contingency, litigation case, term of contract | 20 years | ||||
Other legal claims and contingencies | France | Wrongful termination of contract case, possible outcome one | |||||
Disclosure of other provisions [line items] | |||||
Loss Contingency, damages sought | $ 181 | ||||
Loss contingency, damages sought, counterclaim value | $ 225 | ||||
Losses on litigation settlements | $ 4 | ||||
ArcelorMittal Temirtau | Tax and late payment interest, tax years audit 2013-2017 | |||||
Disclosure of other provisions [line items] | |||||
Loss Contingency, damages sought | $ 45 | ||||
Loss contingency, tax penalty sought | $ 55 |