The chief executive of BlueScope Steel said yesterday that he was “determined” to participate in the restructuring of Australia’s steel sector as the company’s two domestic rivals continue to pursue a A$1bn merger.

Australia’s largest steelmaker is trying to muscle in on a planned takeover by OneSteel of Smorgon. Last August BlueScope bought a 19.9 per cent stake in Smorgon for A$319m so it could set conditions on a takeover deal of its rivals. The move has made it hard for OneSteel/Smorgon to win the 75 per cent approval the deal required, unless it is backed by BlueScope. In December OneSteel and Smorgon Steel announced an alternative A$1bn merger plan aimed at appeasing the competition watchdog.