Nichiha Corporation Faces Compliance Issues with Ministerial Specifications in Housing Construction

On April 17, 2023, the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) received a concerning report from Nichiha Corporation regarding non-compliance of eaves materials used in certain residential buildings. These materials were supplied by Nichiha over the years and are now under scrutiny as they fail to meet the ministerial specifications set forth by the MLIT, posing potential risks under the Building Standards Act. This revelation necessitated immediate action from the ministry, spurring directives for rectification and detailed investigation.

The issue surfaced on October 30, 2022, when the MLIT learned about the discrepancies between the actual specifications of the eaves materials and those required for a semi-fire-resistant structure. The Building Standards Act mandates that structures located in fire-prone areas implement specific fire resistance measures to prevent the spread of flames during typical fire incidents. Unfortunately, it was found that 423 units—constructed using Nichiha’s eaves materials—were at risk of violating these legal standards, with 127 homes potentially affected by the housing performance labeling system under the Housing Quality Assurance Act.

Through an immediate investigation, the MLIT instructed Nichiha to undertake necessary assessments and corrective actions. The findings revealed that the materials supplied differed from those certified by the minister, thereby shocking stakeholders involved in these constructions.

In response, Nichiha has committed to rectifying the issue expeditiously by collaborating with relevant parties including construction companies and property owners. They will ensure that affected structures are upgraded to comply with the mandated regulations. The MLIT has also publicly outlined five key actions for Nichiha:
1. Provide thorough explanations to stakeholders and affected property owners.
2. Report findings to relevant administrative bodies.
3. Implement rapid corrective measures.
4. Investigate the root cause of the issue and compile plans for prevention of future occurrences.
5. Establish a consultation desk to handle inquiries from concerned citizens.

Additionally, the MLIT has initiated communication with pertinent administrative authorities to ensure that they are informed of the identified issues and can take necessary actions regarding the properties in question.

For further inquiries, Nichiha has set up a customer service desk dedicated to addressing concerns from homeowners affected by this situation. Individuals can reach out at 0120-834-700 on weekdays from 9:00 AM to 5:00 PM. Additionally, the Housing Remodeling and Dispute Processing Support Center is available at 03-3556-5147, excluding weekends and holidays.

As this situation develops, the industry and consumers alike will be closely watching Nichiha's response and the measures taken by the MLIT. Ensuring building safety and integrity remains a priority, and compliance with government standards is crucial for this goal. Enhanced communication and transparency from Nichiha will be vital in rebuilding trust among consumers and stakeholders in the construction sector.

Topics Consumer Products & Retail)

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