# BlueScope

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{{Short description|Australian steel producer}}
{{Use dmy dates|date=November 2019}}
{{More citations needed|date=September 2012}}
{{Infobox company
| name = 
| type = 
| traded_as = {{ASX|BSL}}
| logo = BlueScope_Logo.svg
| former_name = BHP Steel
| industry = [Steel](/source/Steel)
| founded = 15 July 2002
| founder = [BHP](/source/BHP)
| defunct = 
| hq_location_city = Level 24, 181 William Street, [Melbourne](/source/Melbourne)
| hq_location_country = Australia
| location = Melbourne, Victoria
| num_locations = 
| area_served = Asia<br>Australia<br>New Zealand<br>North America
| key_people = Jane McAloon (Chair)<br>Mark Vassella ([CEO](/source/Chief_Executive_Officer))
| products = Steel
| revenue = $12.9 billion
| revenue_year = 2021
| operating_income = 1.34 Billion
| income_year = 2024
| net_income = $806 million
| net_income_year = 2024
| num_employees = 16,500
| num_employees_year = 2024
| divisions = 
| subsidiaries = [New Zealand Steel](/source/New_Zealand_Steel)<br>[Orrcon Steel](/source/Orrcon_Steel)
| website = [https://www.bluescope.com/ www.bluescope.com]
| footnotes = https://www.bluescope.com/content/dam/bluescope/corporate/bluescope-com/investor/documents/2024_BlueScope_FY_Results_Investor_Presentation.pdf
}}

'''BlueScope Steel Limited''' is an Australian flat product [steel](/source/steel) producer that was [spun-off](/source/Corporate_spin-off) from [BHP Billiton](/source/BHP) in 2002.

==History==
BlueScope was formed when [BHP Billiton](/source/BHP) [spun-off](/source/Corporate_spin-off) its [steel](/source/steel) assets on 15 July 2002 as '''BHP Steel'''.<ref>[https://www.asx.com.au/asx/v2/statistics/displayAnnouncement.do?display=text&issuerId=4873&announcementId=494977&documentDate=2002-07-15&documentNumber=192354 BHP Steel Limited makes its debut on ASX] [BHP](/source/BHP) 15 July 2002</ref> It was renamed BlueScope on 17 November 2003.<ref>[https://www.asx.com.au/asxpdf/20030627/pdf/00367529.pdf BHP Steel Limited (BSL) Confirms Intention to Change its Name] BHP Steel 27 June 2003</ref>

Early in 2004, BlueScope merged with the American firm Butler Manufacturing.<ref name=":1">{{Cite news|url=https://newspapers.com/clip/42438600/butler_steel_plan_acquired_by_australia/|title=Butler steel plant acquired by Australia-based company|last=Morales|first=Melinda|date=April 30, 2004|work=Visalia Times-Delta|access-date=16 Jan 2020|publisher=Gannett|issue=261|location=Visalia, California|volume=145|page=C1|via=Newspapers.com}}</ref> Such a merger was considered a strategic move for both companies as they were similar in character and non-overlapping in the markets they operated in, such that acquisition of Butler, based in [Kansas City](/source/Kansas_City), [Missouri](/source/Missouri), would provide BlueScope with access to United States and Chinese markets.<ref name=":0">{{Cite news|url=https://newspapers.com/clip/42438076/butler_on_block_for_204million/|title=Butler on block for $204M|last=Brown|first=Sandi Lynn|date=February 20, 2004|work=[Lebanon Daily News](/source/Lebanon_Daily_News)|access-date=16 Jan 2020|publisher=Garden State Newspapers|location=Lebanon, Pennsylvania|page=3A|via=Newspapers.com}}</ref> Butler was founded in 1901, operated in sixteen countries and focused on non-residential building and building component construction.<ref name=":1" /> At the time of the merger, Butler had a dozen production facilities across the United States, China and Mexico.<ref>{{Cite news|url=https://newspapers.com/clip/42439727/pending_plant_sale_adds_to_galesburg/|title=Pending plant sale adds to Galesburg's economic jitters|date=19 February 2004|work=The Dispatch and The Rock Island Argus|access-date=16 Jan 2020|publisher=Moline Dispatch Publishing|agency=Associated Press|issue=203|department=Jobs & Money|location=Moline, Illinois|volume=126|page=C7|via=Newspapers.com}}</ref>

In 2007, the company acquired four companies consisting of most of the United States holdings of the Argentinian firm [Ternium](/source/Ternium), those being Steelscape, ASC Profiles, Varco Pruden Buildings; and Metl-Span, which was acquired by [NCI Building Systems](/source/NCI_Building_Systems)<ref>{{Cite web|date=21 December 2012|title=2012 Annual Report|url=https://www.cornerstonebuildingbrands.com/pdf/annual%20reports/2000s/2017AR-WEB.pdf|access-date=16 Jan 2020|website=Annual Reports & Proxies|publisher=NCI Building Systems|page=3}}</ref><ref name="Olson 2007">{{Cite news|last=Olson|first=Erik|date=20 December 2007|title=Australian firm buys Steelscape|volume=85|pages=A1, A4|work=[The Daily News](/source/The_Daily_News_(Longview))|publisher=Lee Enterprises|issue=262|location=Longview, Washington|url=https://newspapers.com/clip/42441417/australian_firm_buys_steelscape_part_1/|access-date=16 Jan 2020|via=Newspapers.com}} Part 2 of the article appears at https://newspapers.com/clip/42441447/australian_firm_buys_steelscape_part_2/ .</ref> in 2012. The four companies had been held by the Mexican Grupo IMSA prior to their purchase by Ternium.<ref name="Olson 2007" /> Steelscape originated in 1996 as BHP Coated Steel and was originally owned by BlueScope.<ref name="Olson 2007" />

In March 2012 a new coated steel manufacturing plant was inaugurated in [Jamshedpur](/source/Jamshedpur), [India](/source/India).<ref name="Tata BlueScope PR1">{{cite press release|title=Tata BlueScope Steel inaugurates state-of-the-art Coated Steel Manufacturing facility at Jamshedpur|publisher=Tata BlueScope Steel|date=6 March 2012|url=http://www.tatabluescopesteel.com/news/listnews.aspx?idnews=13|access-date=14 September 2012|url-status=dead|archive-url=https://web.archive.org/web/20120508053500/http://www.tatabluescopesteel.com/news/listnews.aspx?idnews=13|archive-date=8 May 2012}}</ref>

In February 2014, BlueScope purchased [Orrcon Steel](/source/Orrcon_Steel) from [Hills](/source/Hills_Limited).<ref>https://www.asx.com.au/asxpdf/20140228/pdf/42n32d8clc01ch.pdf Completion of Fieldings and Orrcon Steel Sales] [Hills](/source/Hills_Limited) 28 February 2014</ref><ref>{{Cite web|title=History|url=https://www.orrconsteel.com.au/about-us/history|access-date=2020-09-01|website=www.[Orrcon Steel](/source/Orrcon_Steel)}}</ref> Its products included RHS, SHS and CHS structural tubular steel, hot-rolled structural steel and fencing, roofing and building accessories.

Because of lower energy prices in the United States than in Australia, BlueScope in 2019 decided to expand its investment in America by $1 billion.<ref>{{Cite web|url=https://www.2gb.com/bluescope-invests-1-billion-in-the-us-amid-concerns-of-australian-energy-prices/|archive-url = https://web.archive.org/web/20191213033641/https://www.2gb.com/bluescope-invests-1-billion-in-the-us-amid-concerns-of-australian-energy-prices/|archive-date = 13 December 2019|title = BlueScope invests $1 billion in the US amid concerns of Australian energy prices|date = 19 August 2019}}</ref>

==Operations==
[[File:13 Industry of Australia - Steelworks of BlueScope Steel Limited company in Port Kembla, Australia.jpg|thumb|[Port Kembla](/source/Port_Kembla%2C_New_South_Wales) steelworks]]
The corporate [headquarters](/source/headquarters) are located at Level 24, 181 William Street, [Melbourne](/source/Melbourne).

The company has 16,000 personnel. Its largest operating plant, an integrated steelworks, is located at [Port Kembla, New South Wales](/source/Port_Kembla%2C_New_South_Wales). In October 2011, No.6 Blast furnace, one of two at Port Kembla, was shut down, reducing the plant's production capacity by 50% after the company decided to exit the export market.

Major products include steel slab, hot rolled coil, steel plate, automotive steel, [galvanised](/source/galvanization) steel, [corrugated galvanised iron](/source/corrugated_galvanised_iron), Zincalume brand (55% [aluminium](/source/aluminium), 43.5% [zinc](/source/zinc), 1.5% [silicon](/source/silicon)) coated steel, and Colorbond brand [pre-painted steel](/source/PPGI). Tinplate production ceased in March 2007.

Orrcon Steel supplies steel, tube and pipe to steel fabricators, furniture and trailer body manufacturers, housing and construction companies and pipeline and infrastructure engineering firms.

It has distribution centres in [Melbourne](/source/Melbourne), [Sydney](/source/Sydney), [Brisbane](/source/Brisbane), [Perth](/source/Perth) and [Adelaide](/source/Adelaide).

==Controversy==
In August 2019, the [Australian Competition & Consumer Commission](/source/Australian_Competition_%26_Consumer_Commission) launched a civil case against BlueScope and its former general manager of sales and marketing Jason Ellis for engaging in [cartel](/source/cartel) conduct, alleging that they tried to induce competitors to enter contracts to fix prices for flat steel products between 2013 and 2014. BlueScope denied the allegations, stating "we do not believe that BlueScope, or any current or former employees, have engaged in cartel conduct".<ref>{{Cite web|date=2019-08-29|title=ACCC alleges BlueScope in cartel conduct|url=https://www.afr.com/companies/manufacturing/accc-alleges-bluescope-in-cartel-conduct-20190830-p52mbc|access-date=2021-05-29|website=[Australian Financial Review](/source/Australian_Financial_Review)|language=en}}</ref> In December 2020, Ellis was sentenced to eight months imprisonment and fined $10,000 after pleading guilty to obstructing the investigation, inciting two employees to give false information.<ref>{{Cite web|date=2020-12-15|title=Ex BlueScope GM Jason Ellis convicted and sentenced for obstructing ACCC cartel investigation|url=https://www.accc.gov.au/media-release/ex-bluescope-gm-jason-ellis-convicted-and-sentenced-for-obstructing-accc-cartel-investigation|access-date=2021-05-29|website=[Australian Competition & Consumer Commission](/source/Australian_Competition_%26_Consumer_Commission)|language=en}}</ref> In December 2022 the Australian Federal Court found that BlueScope and Ellis had attempted to induce eight steel distributors in Australia and an overseas manufacturer to enter agreements to fix and/or raise the level of pricing for flat steel products. BlueScope was ordered to pay a $57.5 million penalty, the highest penalty ever imposed for cartel conduct in Australia.<ref>{{Cite web|date=2023-08-29|title=Ex BlueScope GM Jason Ellis convicted and sentenced for obstructing ACCC cartel investigation|url=https://www.accc.gov.au/media-release/record-575-million-penalty-for-bluescope%E2%80%99s-attempted-price-fixing|access-date=2024-07-17|website=[Australian Competition & Consumer Commission](/source/Australian_Competition_%26_Consumer_Commission)|language=en}}</ref>

On 6 May 2020, a 59-year-old man was killed at BlueScope's Port Kembla facility after becoming trapped between a car and a crane on a wharf, resulting in the wharf being temporarily shut.<ref>{{Cite web|date=2020-05-06|title='Shocked the whole site': Man dies in Port Kembla steelworks accident|url=https://www.abc.net.au/news/2020-05-06/man-killed-port-kembla-steelworks-bluescope-confirms/12221240|access-date=2021-05-29|website=www.abc.net.au|language=en-AU}}</ref>

On 14 May 2020, BlueScope was the subject of a cyberattack that forced its production systems to be temporarily halted company-wide after ransomware was discovered in one of its systems.<ref>{{Cite web|date=2020-05-15|title=Cyber attack halts production systems in Australia's largest steelworks|url=https://www.abc.net.au/news/2020-05-15/bluescope-steel-cyber-attack-shut-down-kembla-ransomware/12251316|access-date=2021-05-29|website=www.abc.net.au|language=en-AU}}</ref>

In July 2020, BlueScope was fined $30,000 by the [New South Wales Environment Protection Authority](/source/New_South_Wales_Environment_Protection_Authority) for failing to comply with dioxin air emission limits on six occasions between March and April 2020. In response, BlueScope completed air emissions modelling and engaged an independent consultant to undertake a health assessment of the elevated emissions.<ref>{{Cite web|title=EPA fines BlueScope Steel for exceeding air quality limit|url=https://www.epa.nsw.gov.au/news/media-releases/2020/epamedia200727-epa-fines-bluescope-steel-for-exceeding-air-quality-limit|access-date=2021-05-29|website=[New South Wales Environment Protection Authority](/source/New_South_Wales_Environment_Protection_Authority)|language=en}}</ref>

== Major manufacturing facilities ==
* [Port Kembla, New South Wales](/source/Port_Kembla%2C_New_South_Wales)
* Western Port in [Hastings, Victoria](/source/Hastings%2C_Victoria)
* [New Zealand Steel](/source/New_Zealand_Steel), [Glenbrook](/source/Glenbrook%2C_New_Zealand)
* Orrcon Brisbane Mill, [Salisbury, Queensland](/source/Salisbury%2C_Queensland)
* Orrcon Precision Tubing Mill, [Adelaide](/source/Adelaide), [South Australia](/source/South_Australia)

Finished products are transported around Australia by rail freight operator [Pacific National](/source/Pacific_National). In February 2007 Pacific National secured Australia's largest ever rail freight contract ($1 billion) with BlueScope Steel and [OneSteel](/source/Arrium), to carry approximately three million tonnes of steel product each year for seven years.<ref>{{cite web |title=PN wins steel deal |date=February 2007 |work=World Cargo News |url=http://www.worldcargonews.com/htm/n20070324.849053.htm |access-date=24 April 2009 |archive-url=https://web.archive.org/web/20120220031702/http://www.worldcargonews.com/htm/n20070324.849053.htm |archive-date=2012-02-20 |url-status=dead }}</ref> The contract was renewed for a further seven years from January 2015.<ref>[https://web.archive.org/web/20210313075319/https://www.fullyloaded.com.au/logistics-news/1207/asciano-secures-steel-deal Asciano secures steel deal] ''Australian Transport News'' 20 July 2012</ref> In January 2022, [Qube Holdings](/source/Qube_Holdings) and [SCT Logistics](/source/SCT_Logistics) will take over from Pacific National.<ref>SCT confirmed for Bluescope steel east-west contract, Qube wins north-south work ''[Railway Digest](/source/Railway_Digest)'' June 2020 page 6</ref>

==References==
{{Reflist}}

==External links==
*[http://www.bluescopesteel.com.au/ Company website]

{{BHP}}
{{S&P/ASX 200}}
{{Illawarra region topics}}
{{Authority control}}

Category:BHP
Category:Companies based in Melbourne
Category:Companies listed on the Australian Securities Exchange
Category:Companies in the S&P ASX 50
Category:Multinational companies headquartered in Australia
Category:Manufacturing companies established in 2002
Category:Steel companies of Australia
Category:2002 establishments in Australia

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Adapted from the Wikipedia article [BlueScope](https://en.wikipedia.org/wiki/BlueScope) by Wikipedia contributors ([contributor history](https://en.wikipedia.org/wiki/BlueScope?action=history)). Available under [Creative Commons Attribution-ShareAlike 4.0 International](https://creativecommons.org/licenses/by-sa/4.0/). Changes may have been made.
