Chinese-Backed Construction Under Fire After Fatal Thai Building Collapse

Over 100 workers dead or missing as Thai authorities probe Chinese firms for safety lapses, illegal business practices, and possible corruption.

Bangkok, Thailand — April 25:
Chinese investments in Thailand are facing mounting scrutiny after a devastating building collapse linked to a Chinese construction firm claimed more than 100 lives. The incident has triggered widespread investigations into construction standards, material quality, and the legality of foreign business practices.

The collapse of a 30-story government audit building—reportedly the only major structure to fall during a 7.7-magnitude earthquake centered in Myanmar—has raised serious concerns across Thailand. Although the quake’s epicenter was 1,000 kilometers away, the collapse has drawn attention to the building’s structural integrity and oversight.

So far, 47 construction workers remain missing, while 47 fatalities have been confirmed and nine individuals have sustained injuries.

Authorities are currently investigating China Railway Number 10 (Thailand) Co., Ltd., a subsidiary of China Railway Engineering Corporation. The firm partnered with Thai giant Italian Thai but allegedly included unqualified Thai individuals as business proxies. The Department of Special Investigation (DSI) recently arrested Chuanling Zhang, an executive from the company, on charges of violating Thailand’s Foreign Business Act by using three Thai nominee shareholders to bypass foreign ownership limits.

Investigations have also spotlighted Xin Ke Yuan Steel, another Chinese firm, whose low-grade steel bars were found in the debris. Tests revealed the steel failed to meet safety standards, further fueling public outrage.

Under Thailand’s Foreign Business Act of 1999, foreign entities are allowed to enter joint ventures with Thai nationals, but their ownership cannot exceed 49%. Using nominees to circumvent this rule is illegal, yet remains a persistent issue.

Meanwhile, the State Audit Office, the project’s end-client, has remained largely silent apart from issuing public condolences. The building’s design plan—now publicly accessible—includes suspiciously overpriced features such as a 200-seat theater. Unverified insider claims suggest that bribery and corruption may have played a role during the bidding process.

As the investigation unfolds, questions continue to mount over the safety, legality, and ethical conduct behind foreign-backed infrastructure projects in Thailand.