What was the application? Chevy II? That metal is far to thin of a gauge to support much in the line of forces. It appears as though they had used a welded (not seamless tube) pipe to make the bushing support and welded the pipe with the seam next to the A-arm tube with the resulting added heat weakening the first weld.
Seamless steel tubing is plunged to form a tube out of round bar stock that is reheated to high temp then forged and quenched in dies to form a single strong piece of tubing or pipe. If you can see a seam it is rolled and welded mild steel.
I have used Hotchkiss in my '85 Impala and pushed the suspension to the edge of grip on the tires all of the time. I enjoyed driving that car not only in a straight line but on a road track or autocross parking lot rally. Never an issue. On my Nova builds of the seventies and eighties I used PST suspension parts as they were a Moog distributor and made their own bushings sway bars and Tubular arms to correct the bad caster and Ackerman steering issues found in first gen Camaros and Novas. Toe-in also changed with front end lift or falling so it was a wonder they handled as well as they did. The visible difference in quality between PST and Hotchkiss convinced me that Hotchkiss was worth the extra expense though I could never convince my customers of that.