Xin Ke Yuan Steel Rejects Safety Test Results, Calls for Further Testing Amid Controversy of Bangkok Building Collapse

The ISIT’s inspection, conducted on Monday, which we reported here, concluded that the steel bars produced by Xin Ke Yuan Steel failed to meet Thailand’s safety standards for mass, chemical composition, and stress resistance. These bars were identified in the debris of the collapsed SAO building, a high-profile government project valued at over 2.1 billion baht. Xin Ke Yuan Steel is a Chinese-owned company, which has operated in Thailand since its establishment in 2011.

In a statement issued on Wednesday, April 2, Xin Ke Yuan Steel dismissed the ISIT’s findings, arguing that the tests were inconclusive and calling for additional analysis by the Thailand Automotive Institute (TAI). The company claims that TAI’s laboratory is better equipped to measure boron levels in its steel products, which it asserts are critical to determining their quality. “We stand by the integrity of our manufacturing process and believe that a more precise evaluation will vindicate our products,” a company spokesperson said.

The controversy comes at a sensitive time for Xin Ke Yuan Steel, which has faced prior regulatory challenges. In December 2024, the Thai Ministry of Industry alleged that multiple safety and environmental violations uncovered during an inspection by Industry Minister Akanat Promphan.

Thitipas Choddaechachainun, head of a working group at the Ministry of Industry, clarified that while Xin Ke Yuan Steel is permitted to request further testing, the company had previously submitted ISIT-approved results when applying for its factory license. “The process must be transparent and rigorous,” Thitipas said, adding that the ministry is working with the Department of Industrial Works and the Industrial Estate Authority of Thailand to ensure compliance across the steel sector.

Adding to the stakes, it was revealed that Xin Ke Yuan Steel also supplied materials for the China-Laos railway project, raising more questions. Thai government has vowed to take swift action, with Minister Akanat stating on March 31 that any manufacturer found responsible for substandard steel would face immediate factory closure, certification revocation, and legal proceedings under the Industrial Products Standards Act.

Meanwhile, the Ministry of Industry has widened its probe, seizing 2,441 tons of allegedly substandard steel valued at approximately 49.2 million baht from Xin Ke Yuan’s facilities. Meanwhile, the company’s call for TAI testing has drawn skepticism from industry experts, who note that boron levels, while important, are just one factor in steel quality and do not necessarily override the ISIT’s comprehensive findings.