Thailand's Industry Ministry is proceeding to withdraw the certification of steel made from induction furnace (IF) technology on ground of recurring quality controls problems and environmental issues.

Industry Minister Akanat Promphan revealed that the ministry plans to look at the standards for steel that has been produced via the IF process, which is not very efficient in purifying molten steel of impurities. IF also works as open systems, producing more dust and harmful emissions than new processes.

Although IF technology can in theory make quality steel, the minister said that maintaining consistent quality is hard to achieve without high-quality raw materials and strict quality checks—conditions that producers have not always been able to meet.

Thailand has accepted IF-made steel rebar under the Thai Industrial Standard (TIS) since 2016, and SKY was certified in 2018. But because of the consistent discovery of inferior products from IF-based firms—such as SKY—the ministry has suspended their operations and confiscated their products.

Contrary to this, electric arc furnace (EAF) technology is superior in removing impurities, is a closed system, gives off fewer pollutants, and is more consistent in steel quality. With 4.3 million tonnes of current EAF capacity, which is far higher than the domestic demand of 2.8 million tonnes, the sector is viewed as having the potential to cater to national requirements without IF-based production.

After negotiations with the Federation of Thai Industries and the Iron and Steel Industry Association, there is widespread consensus on eliminating IF technology.

According to the Industrial Product Standards Act (TIS Act), the Thai Industrial Standards Committee has the authority to withdraw certification standards in cases of emergency. The Minister of Industry is authorized to make a formal announcement to update or withdraw certification according to provisions in the law.