Xin Ke Yuan Steel, involved in the collapse of the State Audit Office (SAO) building, is permitted to resume operations by the Department of Industrial Works, prompting concerns over product quality.
The department announced on June 5 that the Chinese-backed manufacturer, that produces steel bars and structural steel, could restart production immediately. According to The Straits Times, the company is registered in Thailand and located in Rayong but has a majority of shareholders who are Chinese nationals.
Xin Ke Yuan Steel was suspended last year after the collapse of the SAO building, where its steel products had been supplied. Authorities at the time raised concerns about product quality, alongside pollution and safety issues at the plant.
During the suspension, the company was instructed to address deficiencies in its production processes. The Department of Industrial Works said inspections carried out in March and April found improvements, with the factory now meeting required standards.
Following the decision, United Thai Nation Party MP Atavit Suwanphakdee and representatives from the Thailand Structural Steel Society called for a review of the approval.
Atavit, who served on a committee investigating the SAO building collapse, said induction furnace (IF) steel production requires a ladle furnace to control quality. He stated that Xin Ke Yuan Steel did not have such equipment at the time of the investigation.
He questioned whether the facility has since installed a ladle furnace and raised concerns about the quality of newly produced steel, as well as materials remaining in stock from before the suspension.
Representatives from the Thailand Structural Steel Society urged the department to disclose details of the approval process and outline measures to monitor product quality and production standards following the reopening.
They also called on authorities to ensure the company does not repeat previous issues, and asked the Ministry of Industry to clarify inspection procedures, enforcement actions and penalties in case of future violations.
Atavit further proposed that authorities consider restricting the use of induction furnace steel in high-rise buildings and public infrastructure projects, citing safety concerns.
He said induction furnace steel generally has lower purity, which may increase brittleness and the risk of cracking. While more affordable, he noted it is typically suited to structures that do not bear heavy loads.
As of now, officials have not issued further clarification in response to the concerns raised.
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