Substandard steel, deadly risks: Bangkok collapse a warning for PH

MANILA, Philippines—The collapse of a 30-story government building in Bangkok is again raising alarm about the dangers of substandard construction materials — and what they could mean for the Philippines when a major earthquake hits.

At least 15 people were killed and more than 70 remain missing after the State Audit Office building, still under construction, came crashing down on March 28. The collapse was triggered by a magnitude 7.7 earthquake that struck neighboring Myanmar but was strong enough to shake parts of Thailand.

READ: The ‘Big One’ and substandard rebars: A killer mix

Investigators later found that the building had used steel bars made by Xin Ke Yuan Steel Co., a Chinese manufacturer using induction furnace (IF) technology — a controversial process linked to weaker, lower-quality steel.

Tests by the Iron and Steel Institute of Thailand confirmed that the rebars used in the building failed basic quality checks. They didn’t meet standards for weight, chemical makeup, or strength. Thai authorities also revealed that the factory that supplied the steel had already been ordered closed months earlier for safety violations.

A regional trend — but PH lags behind

The collapse has prompted Thai authorities to crack down on local manufacturers using IF technology.

According to Thailand’s Industry Minister Akanat Promphan, seven steel factories that were found to be producing substandard steel have been shut down over the past six months — even before the Bangkok collapse. Investigations into three more plants are still ongoing.

These efforts have now intensified in light of the disaster, with the government also reviewing the quality certifications of IF-made rebars across the country.

In other parts of Asia, China banned IF steelmaking in 2017 after finding that the process caused severe pollution and often produced substandard steel. Since then, many Chinese-made furnaces have been shipped to Southeast Asia, including Indonesia and the Philippines.

Indonesia has seen a rise in IF use over the years. Industry leaders there have raised concerns, especially given the country’s earthquake risks, but no official ban has been implemented as of 2025.

Malaysia meanwhile imposed a two-year moratorium in 2023, suspending all new applications and expansions in the steel industry. The move, while not a full ban, was meant to give regulators time to reassess the sector under the government’s New Industrial Master Plan.

Japan and Taiwan — countries known for strict construction codes — require high-grade rebars for structural use. While there’s no public record of formal bans, there are no known IF plants producing construction steel in either country.