Bluescope Steel Invests in Two New Manufacturing Sites in China

Bluescope Steel Invests in Two New Manufacturing Sites in China

BlueScope Steel today announced investments in two new manufacturing facilities in China, both expected to be operational by mid calendar 2006.

A new facility will be constructed in Guangzhou to manufacture a range of BUTLER™ and LYSAGHT® quality branded products for customers in the growing building and construction markets in China's south. The new plant will incorporate a BUTLER™ manufacturing facility for PEBs (pre-Engineered Buildings) and will complement an existing LYSAGHT® rollforming plant in Guangzhou. Investment cost will be A$45 million.

In addition, the existing BlueScope Lysaght plant at Langfang, near Beijing, will be expanded at a total cost of A$16 million to produce architectural and sandwich panels for the China market. Architectural and sandwich panels are widely used in premium architectural building facade systems, and are expected to feature prominently in signature buildings to be constructed ahead of the Beijing Olympics.

BlueScope Steel CEO and Managing Director Kirby Adams said, "The further expansion of BlueScope Steel's manufacturing capability in China reflects strong demand in that country for our high quality branded building products, and our enthusiasm for China as a destination for manufacturing capital investment. The Guangzhou investment again demonstrates BlueScope Steel's strategy in action, and our commitment to expanding our network of operations supplying high quality BUTLER™ pre-Engineered Buildings and LYSAGHT® building solutions."

Each of the new operations will consume the ZINCALUME® and Clean COLORBOND® product to be manufactured at the new A$280 million metallic coating and paint line facility BlueScope Steel has under construction at Suzhou, west of Shanghai.

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