Give the catfish steaks a good rinse. If the skin feels slimy, rub it with salt then rinse it off.
Make the Caramel Sauce
Before you begin, have all your ingredients ready and measured out. You will need to work fast when the caramel sauce is ready.
Heat the clay pot over medium-low heat. You can use a saucepan or small Dutch oven if you don't have a clay pot. Be sure the pot is large enough to fit the catfish in a single layer.
Add oil and sugar to the clay pot. Do not stir. Leave it alone and allow the sugar crystals to melt. Once the sugar has completely melted, begin stirring until the sauce transforms into a caramel color.
Add garlic, Thai chilis and fish sauce and give it a quick stir.
Braise the Catfish
Add the catfish steaks and turn them in the sauce to coat on all sides.
Add coconut water or water until the catfish is halfway submerged. Turn up the heat and allow it to come to a boil.
Cover and simmer over medium-low heat for 10 minutes. The sauce should be at a medium boil, with constant bubbles, not a full rolling boil. Halfway through cooking, carefully flip the catfish pieces over to simmer on the other side.
Remove the lid and turn the heat up to medium. Cook uncovered for another 15-20 minutes until the sauce has reduced to a syrupy consistency.
Top Ca Kho To with black pepper, fried shallots and chopped green onions.
Notes
IMPORTANT: Have your ingredients ready and measured out before you begin making the caramel sauce. It will go from perfect to bitter very quickly. You will need to add the rest of the ingredients to the caramel sauce quickly.