RAYONG, Thailand – Minister of Industry Akanat Promphan has ordered the seizure of 2,441 tons of substandard steel worth approximately 49.2 million baht. The steel, produced by Xin Ke Yuan Steel Company Limited, failed to meet industry standards and posed potential risks to structural integrity.
The action followed an investigation triggered by a December 18th fire at the company’s factory in Ban Khai District of Rayong Province. Inspectors found multiple safety and environmental violations, including the production of non-compliant rebar. Samples collected from the site confirmed the steel’s failure to meet strength requirements.
Tests conducted by the Ministry of Industry revealed critical deficiencies, including rib height issues affecting concrete bonding and chemical deviations such as excessive boron. The findings prompted the seizure and legal proceedings to protect public safety and maintain trust in Thailand’s steel industry.
The company, licensed by the Thai Industrial Standards Institute (TISI), was found sourcing raw materials from unregistered suppliers. It has been given 30 days to address production flaws or risk license suspension. The seized rebar, produced between October and December 2024, has been confiscated to prevent further distribution.
Legal action will be taken against the company’s directors. They face charges for manufacturing and distributing substandard goods and mislabeling standards. Penalties include imprisonment, fines, or both.
Authorities have also directed the company to recall all substandard steel already distributed. Failure to comply will result in additional seizures from retailers and further legal measures. (NNT)
