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Substandard steel blamed for under-construction tower collapse in Bangkok earthquake

Xin Ke Yuan Steel is facing scrutiny from the Thai authorities as a result of the disaster.

aranyamondal April 02 2025

The contractors responsible for the under-construction tower that collapsed in Bangkok, Thailand, during the earthquake late last month allegedly utilised substandard steel bars produced by a factory that had previously been closed by Thai authorities, reported Bloomberg.

Samples of steel bars of two different sizes taken from the site reportedly did not meet the standards set by the Iron and Steel Institute of Thailand, failing tests related to their mass, chemical composition, and capacity to endure stress before failure.

According to Thitipas Choddaechachainun, head of a working group at the domestic Ministry of Industry, the metal in question was produced by a company whose factory has been closed since December 2024. Choddaechachainun did not disclose the name of this business.

However, photos of the steel bars issued by the ministry and local media showed the brand 'Sky', manufactured by Xin Ke Yuan Steel, which operated a facility in Rayong province, Thailand.

The Thai authorities shut down the factory due to safety concerns following an incident involving a gas tank leak, resulting in the seizure of more than 2,400 tonnes of steel.

The collapsed 30-storey building, intended to accommodate Thailand's State Audit Office, was the only structure to collapse in the Thai capital following the 7.7-magnitude earthquake that struck Myanmar on 28 March. The disaster resulted in the deaths of at least a dozen workers and left nearly 80 individuals trapped.

Xin Ke Yuan Steel has become the second Chinese company to face scrutiny from Thai authorities.

The skyscraper was being constructed by a joint venture between Italian-Thai Development and China Railway Number 10 Thailand.

A representative from the Xin Ke Yuan Steel plant confirmed that operations at the facility remain suspended while attempts to contact the company's executives were unsuccessful, reported the publication.

According to Thailand’s Ministry of Commerce database, the company was established in 2011, with nine Chinese nationals holding an 80% ownership stake. A spokesperson for Italian-Thai was also unavailable for comment at this time, according to the media outlet.

The building was approximately 45% complete.

Choddaechachainun announced that the government will take measures against the steel factory in accordance with Thailand's Industrial Products Standards Act.

Meanwhile, China's embassy in Bangkok urged Chinese companies operating overseas to adhere to local regulations.

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