Ministry seizes hazardous red dust at Xin Ke Yuan Steel factory

The factory, located in Rayong’s Ban Khai district, was ordered to close in December 2024 for producing substandard steel. 

The company is currently under scrutiny for its potential involvement in the collapse of the State Audit Office building in Bangkok following last week’s earthquake.

Chief of the Industry Minister’s working team, Thitipas Chotedechachainan, said the inspection at the factory was conducted after the team discovered that Xin Ke Yuan Steel had smuggled red dust into the facility.

Red dust is a hazardous industrial waste contaminated with heavy metals, resulting from the steel smelting process.

During the inspection, the Industry Ministry’s working team discovered 43,000 tonnes of red dust worth 1.7 billion baht—significantly more than the company’s claim of possessing only 2,245 tonnes from 2016 to 2022.

One of the company’s directors claimed that the discrepancy in data was due to frequent changes in data recording staff, making it impossible to identify the original data provider, Thitipas said.

In response, officials from the Department of Industrial Works and the Rayong Provincial Industry Office have suspended the removal of all red dust from the factory premises. 

They have seized and collected samples of the red dust for examination until the company can clearly explain its origin by April 10. Additionally, they are preparing to revoke the company’s permit for removing waste or unused materials from the factory.

“The excuse of data discrepancies due to staff changes is a common pretext used by grey companies to avoid providing factual explanations,” Thitipas said.

She warned that if the company fails to clarify the origin of the red dust, legal action will be taken. 

The case will be reviewed in collaboration with the Department of Special Investigation (DSI) and may be classified as a special case to ensure a swift and strict resolution, she added.