The House committee on national security and border affairs will inspect a Xin Ke Yuan Steel Co steel factory in Rayong early next month, following allegations of illegal operations as well as concerns over environmental compliance.
Chutipong Pipobpinyo, the committee chairman and main opposition People's Party (PP) MP for Rayong, said the planned inspection on May 6 will be joined by a task force set up by Industry Minister Akanat Promphan.
He said the planned visit is to look into reports that the construction of a second factory of the Xin Ke Yuan Steel Company in Rayong's Pluak Daeng district has been completed despite a suspension order.
Xin Ke Yuan Steel Co has come under scrutiny since the collapse of the State Audit Office (SAO) building in Bangkok's Chatuchak district in the March 28 earthquake.
The skyscraper was being built by ITD-CREC, a joint venture between SET-listed Italian-Thai Development Plc and China Railway No.10 Thailand Co, with Xin Ke Yuan Steel Co supplying the steel for the SAO building project.
The Chinese firm also drew attention in December last year when its factory in Rayong was closed down due to an accident involving a gas tank leak.
Mr Chutipong's comments came after Mr Akanat met the committee on Thursday to clarify efforts made to stamp out the "zero-dollar industry", a term describing work that generates zero income and value for Thailand.
Citing the industry minister, investment privileges granted to foreign companies can be revoked if the firms are found to have broken rules, the PP MP said, adding that the process to revoke such privileges must be proposed by a ministry involved.
For example, in case of non-compliance with industrial standards, the Industry Ministry will propose revoking investment privileges to the Board of Investment (BoI).
Mr Chutipong said that BoI representatives informed the panel that the agency conducts inspections on foreign firms with investment privileges, but they fell short of saying how frequently these inspections are made.
The PP MP also noted the high number of Chinese technicians hired by these firms under the investment privilege scheme, which may not reflect the objective of a policy originally aimed at promoting job opportunities for Thais.
The number of Thai workers employed by Xin Ke Yuan Steel Co accounts for 9.4% of the workforce, with the rest being migrant workers, he said.
"What does Rayong province gain from granting investment privileges to these firms? What does it gain when they don't employ Thai people?" he asked.
Mr Chutipong said the committee would next follow up on the issue of the employment of Thai workers in companies granted BoI privileges.