Steel Mills
February 25, 2014
BlueScope Steel Surprised by Dramatic Chinese Slowdown
Written by Sandy Williams
Australian company BlueScope Steel announced EBIT of AUD$48.7 million ($44 million) for its Hot Rolled Products North America segment for the first half of FY 2014 ending December 31, 2013. EBIT increased 48 percent from the same period in FY 2013. The segment includes a 50 percent interest in US-based North Star BlueScope Steel Ltd (NSBSL) and a 47.5 percent interest in Castrip, LLC, a thin strip casting technology joint venture with Nucor and IHI Ltd. Improved results were attributed to improved margin spread driven by strong volume, higher hot rolled coil prices (partially offset by higher scrap costs) and favorable exchange rates from a weaker Australian to US dollar.
The BlueScope share of shipments in the first half of FY 2014 for NSBSL was 489.9 thousand tonnes (540,000 net tons) and sales revenue was AUD$360.1 million ($325 million).
