Thailand's steel industry faces dual structural pressures: cheap Chinese steel imports (up 23% YoY, 65% of domestic consumption in H1 2026) and safety/quality concerns from Induction Furnace (IF) production, which lacks impurity removal efficiency compared to Electric Arc Furnaces (EAF). While China banned IF use in 2018, Thai SMEs face cost barriers to switching. Expert recommendation: implement a phased technology transition roadmap with government incentives (tax deductions, import duty exemptions, green financing) rather than immediate IF bans—balancing public safety, environmental standards, and SME viability.