Charles R. Goulding and Preeti Sulibhavi expain how BlueScope is leveraging 3D printing technology to innovate, reduce costs, and navigate the challenges posed by U.S. steel tariffs.
BlueScope, headquartered in Australia, employed 16,500 people in 2024 and raised US$17 billion in sales for the same fiscal year. It is the fifth largest steel producer in the US.
BlueScope has strategically leveraged advanced manufacturing technologies, including 3D printing to enhance its competitive edge in the U.S. market.
Navigating the Tariff Landscape
The Trump Administration’s imposition of a 25% tariff on imported steel significantly affected global steelmakers, including Australia’s BlueScope. These tariffs aimed to protect domestic industries but posed substantial challenges for international companies exporting steel to the U.S. In response, BlueScope sought exemptions and explored various strategies to maintain its market position.
Bluestone received a tariff exemption in the first Trump administration and has once again applied for an exemption from recently enacted steel tariff increases. Bluestone’s argument is that its imports go to its own U.S. operations where substantial value is added. BlueStone employs 5,000 people in the U.S., which includes a steel mill in Ohio that produces 3 million metric tons of steel a year. BlueStone has deferred a US$1.2 billion investment in a cold rolling and metal coating plant in the U.S. due to the tariff exemption uncertainty.
Embracing 3D Printing Technology
BlueScope has invested in 3D printing technology, integrating it into its manufacturing processes to reduce costs, enhance efficiency, and offer innovative solutions to customers. This adoption of additive manufacturing allows for rapid prototyping, customization, and the production of complex geometries that traditional methods cannot easily achieve.
Innovative 3D Printed Products
As 3D metal printing applications greatly increase, all steel industry developments are relevant. For companies like Bluestone, adding steel product applications where 3D printing is prominent will play a key role in its future success. BlueScope’s foray into 3D printing has led to the development of several innovative products:
- Aluminum Profile 3D Prototypes: BlueScope Distribution offers 3D printed aluminum prototypes, enabling customers to test component designs before mass production. This service minimizes errors in design and manufacturing, ensuring components meet exact specifications prior to large-scale investment.
- Customized Structural Components: Utilizing 3D printing, BlueScope produces bespoke structural components tailored to specific project requirements. This capability allows for the creation of complex shapes and designs that enhance architectural aesthetics and structural integrity.
- Advanced Roofing Solutions: Through its LYSAGHT® brand, BlueScope manufactures 3D printed roofing components that offer improved durability and design flexibility. These products cater to modern architectural trends and provide enhanced performance in various environmental conditions.
- Pre-Engineered Building Systems: The BUTLER® brand offers pre-engineered metal building systems with components optimized through 3D printing. This approach streamlines construction processes, reduces material waste, and allows for faster project completion.
- Protective Film Application Tools: BlueScope has developed 3D printed tools designed for the precise application of protective films on aluminum and stainless steel sheets. This innovation reduces processing quality risks, minimizes product wastage, and improves overall efficiency during manufacturing.
Strategic Advantages Amid Tariffs
By integrating 3D printing into its operations, BlueScope achieves several strategic benefits:
- Cost Reduction: Additive manufacturing reduces material waste and lowers production costs, offsetting the financial impact of tariffs.
- Supply Chain Optimization: In-house 3D printing capabilities decrease reliance on external suppliers, mitigating risks associated with supply chain disruptions and import tariffs.
- Market Responsiveness: The ability to rapidly prototype and produce components allows BlueScope to swiftly respond to market demands and customer needs, maintaining a competitive edge.
- Product Innovation: 3D printing fosters innovation by enabling the creation of complex designs and customized solutions, enhancing BlueScope’s product portfolio and market appeal.
The Research & Development Tax Credit
The now permanent Research and Development (R&D) Tax Credit is available for companies developing new or improved products, processes and/or software.
3D printing can help boost a company’s R&D Tax Credits. Wages for technical employees creating, testing and revising 3D printed prototypes are typically eligible expenses toward the R&D Tax Credit. Similarly, when used as a method of improving a process, time spent integrating 3D printing hardware and software can also be an eligible R&D expense. Lastly, when used for modeling and preproduction, the costs of filaments consumed during the development process may also be recovered.
Whether it is used for creating and testing prototypes or for final production, 3D printing is a great indicator that R&D Credit-eligible activities are taking place. Companies implementing this technology at any point should consider taking advantage of R&D Tax Credits.
Conclusion
BlueScope’s proactive adoption of 3D printing technology exemplifies its commitment to innovation. Hopefully, the second Trump Administration will again grant the company a steel tariff exemption.
