Industry Rule Soon Enforce Prohibit Expansion of Reinforce-Steel Bar Plant.
30-1-2019—Mr.Somchai Harnhiran Vice Minister, acting Industry Minister disclosed that yesterday cabinet approved in principle the ministry rule draft to enforce five-year prohibition to stop the expansion and the new plant establishment of Reinforce Steel Bar for construction.
The ministry rule would be effective as soon as possible according to the legitimacy process to solve the business-risked problem of its long time over capacity and also to enforce the Small Bar plant to be operating under the stricter SOx and NOx emission level rule to prevent out-of-date technology to pollute more communities’ pollution.
The ministry rule will also control the iron’s rolled and small billet processing but not enforce the bar steel, cold rolled and hot rolled section steel.
The ministry rule is also aiming to prevent more pollution could be polluted by the expansion of the loss-closed old-tech Reinforce Steel Bar plants which its license were sold to foreign investor especially from China to have its production run further for their business in Thailand.
At present in Thailand have 45 Steel Bar plants in total with the average capacity utilization rate as of the year 2016 is 33.17%, while its total production was 3.45 million tons/year when its capacity utilization rate was 33.17%, according to The Office of Industrial Economics.
The ministry rule allow the machine improvement of Reinforce Small Bar production by the condition that it must not make any production expansion.
