Ministry moves to shut down illegal factories

Kingdom’s industrial landscape faces reckoning over unlawful foreign ventures, writes Apinya Wipayotin

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The surge of Chinese-owned industrial firms setting up in Thailand over the past several years has drastically reshaped the country’s investment landscape, one that is increasingly hostile to long-term economic sustainability.

Many of these businesses are engaged in unlawful practices, resulting in widespread harm to both the economy and the environment.

The crackdown on illegal factories, owned mainly by Chinese investors, led by Industry Minister Akanat Promphan and his “Sudsoi” team, has captured public attention. The Sud Soi (which means “all the way”) initiative signals the ministry's new, tougher stance on law enforcement and punishment against violators.

The move has received strong support from civil society and NGOs, who have long raised concerns about “grey businesses” operating with impunity under previous administrations.

Mr Akanat, now eight months into his role, stressed that this is not a new direction but rather a long-overdue return to proper governance.

“This isn’t a new policy. It's what should have been the norm,” he said.

The minister said foreign investors must abide by Thai laws, while state agencies have to enforce regulations strictly.

In reality, Thailand now faces major challenges in law enforcement, with powerful illicit industries threatening local businesses, the environment, and even public well-being, undermining the country’s prospects for sustainable growth.