Bluewater was formed on January 1, 2001 when the Government of Ontario amalgamated the townships of Hay and Stanley with the villages of Bayfield, Hensall and Zurich.

[3] Bluewater's western boundary is Lake Huron.

Its northern boundary is the Bayfield River between Lake Huron and Clinton.

Highway 4 is the eastern boundary, while Huron Road 83 and the Exeter urban boundary (in South Huron) form the southern boundary.

Bluewater includes the following communities: In the 2021 Census of Population conducted by Statistics Canada, Bluewater had a population of 7,540 living in 3,302 of its 4,882 total private dwellings, a change of 5.7% from its 2016 population of 7,136.