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Audits Could Hurt Chinese Drug Makers' Revenue, Improve Governance

The stricter oversight, which aims to cut illegitimate selling and distribution expenses in the value chain, lower drug retail prices and encourage a shift towards innovation away from hospital-relationship management, should also improve drug makers' governance standards.

Chinese Non-Life Insurers to Seek Capital on Slower Surplus Growth

Chinese non-life insurers, especially those with small scale of operation, volatile underwriting margin and high growth dynamics, are likely to seek fresh capital. The liberalisation of commercial motor insurance premium rates will limit insurers' ability to improve their margins, leading to slower surplus growth. 

3D Printing May Disrupt Ports and Reduce US Imports from China

Ports may be most exposed to disruptive effects of 3D printing (3DP) on transportation infrastructure assets over the next 20 years. 3DP could reduce global trade, including reducing US imports from China by 10%-25%. Short- and medium-term risks are limited due to a still emerging technology uptake.

Limited Credit Impact from China's New Vehicle Classification for Toll Roads

The revisions, released by the Ministry of Transport on 31 May 2019, will take effect from 1 September 2019, replacing the old standards adopted in 2003. The new standards and the recent measure to remove physical tollbooths at provincial borders represent the authority's increasing efforts to deepen the sector's reforms and drive free-flowing traffic in the nation's toll-road system. 


Fitch’s Jamieson: Impact of a China slowdown on APAC Corporates

Matt Jamieson speaks with Malaysian radio station BFM 89.9 on how a severe economic slowdown in China would affect Asia-Pacific (APAC) corporates.

Fitch's hypothetical China slowdown scenario assumes a contraction sparked by additional US tariffs amplified by a separate investment shock.

Click here to listen to the interview

APAC Basic Materials, Oil & Gas Most Vulnerable to Severe China Slowdown

APAC corporates in the basic materials and oil & gas sectors would be most vulnerable in the case of a severe China slowdown scenario, followed by homebuilding, industrials and technology. There are 92 APAC issuers rated above 'B+', from different countries across the region, which could face pressure on their Issuer Default Ratings, or standalone credit profiles in the case of government-related entities.

Chinese Corporate Defaults to Peak in 2019, Credit Growth to Moderate

The number of Chinese corporate defaults by issuer count and principal amount is likely to reach new highs this year, from 45 issuers and CNY110.5 billion in 2018, due to rising refinancing pressure, sluggish industrial-sector growth and weaker investor sentiment caused by the ongoing trade dispute with the US. The credit cycle is likely to rebound in the next few months, but the improvement will be marginal, with no large-scale credit easing expected in the near term. 

Baoshang Seizure Highlights Risks at China's Small Banks

Chinese regulators' seizure of Baoshang Bank in order to deal with its "serious credit risk" is indicative of general vulnerabilities among the country's smaller banks. The decision to acknowledge and address Baoshang's financial problems publicly is a step forward in improving transparency and disclosure, but it is too early to conclude if such a "takeover" will ultimately lead to better governance at the weaker banks and reduce contagion risks to the system. 

2019 Late Cycle Roundtable - China’s Policy Response and Way Forward

In the second installment of our 2019 Late Cycle Roundtable series, Stephen Schwartz, head of Asia-Pacific Sovereign Ratings, and Andrew Fennell, director and primary China analyst, analyze China’s policy response to its slowed growth environment, its past economic cycle patterns, and other factors that may indicate future credit growth and capital market deepening.

What Investors Want to Know About China's LGFVs

Chinese central-government bodies including the National Development and Reform Commission and the Ministry of Finance have issued various policy directives since 2010 to control local government (LG) indebtedness. The government has a clear path, despite the slow progress.

rating action

Fitch Upgrades Shenzhen International to 'BBB'; Outlook Stable

SZIH's rating reflects the combined credit profile of its toll-road and logistics business. The Shenzhen-based company is a medium-sized infrastructure company with exposure to toll-road operations via its 51.56%-owned subsidiary, Shenzhen Expressway Company Limited (SZE) and development of high-standard logistics facilities.
RelatedFitch Upgrades Shenzhen Expressway to 'BBB' Following Parent Upgrade

Fitch Wins Best Rating Agency for Emerging Market Bonds at Global Capital Awards

We are pleased to announce we have been voted the Best Rating Agency for Emerging Market Bonds at this year's Global Capital Awards. "Analytical excellence is a core focus at Fitch and this further recognition from global market participants underlines the quality of our emerging market analysis and commentary, as well as our broader market outreach efforts," Brett Hemsley, Global Analytical Head for Fitch Ratings.

Learn more about Fitch and Emerging Markets

Scope of Huawei Ban to Dictate Global Supplier, Rival Impact

The breadth of the US ban on Huawei Technologies will likely determine the effect on the Chinese telecom firm's suppliers and competitors. Near-term credit effects should be minimal, despite significant exposure for some upstream US technology companies. We believe companies can divert sales to Huawei's Asian and European rivals that will likely benefit from Huawei's struggles.

bloomberg radio

No Quick Fix Likely on Trade

Brian Coulton, Chief Economist, Fitch Ratings, joined Rishaad Salamat and Doug Krizner on Daybreak Asia. He says we are firmly in escalation mode on trade. He goes onto the potential impact for his forecast on China’s growth and how China may respond.

Fitch on China Newsletter (April)

The temporary grounding of Boeing 737 MAX around the world has limited impact on Chinese lessors' standalone credit profile given their low level of exposure to this aircraft. The lessors' Issuer Default Ratings (IDRs) remain intact and continue to be underpinned by our view of an extremely high probability of support from their parent banks.

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Fitch Ratings Voted Best Agency for Chinese USD Bonds in 3 Categories

Fitch Ratings has been voted the "Outstanding Rating Agency for Chinese Companies' USD Bonds" in three categories by users of Wall Street Trader, a financial web application widely used by participants in China's debt capital markets. 

Fitch Ratings wins Best International Ratings Agency Award

Fitch Ratings has been named the Best International Ratings Agency in the FinanceAsia China Awards 2018.

Fitch Wins Its First Credit Rating Agency Award in China

Fitch Ratings has been voted the "Outstanding Rating Agency for Chinese Companies' Offshore Fixed Income Market" by users of Wall Street Trader, a financial web application that is widely followed and utilised by participants in China's debt capital markets.

Fitch Ratings Launches China Local Ratings Agency with Danny Chen as CEO

Fitch Ratings announced the launch of Fitch (China) Bohua Credit Ratings Ltd. (Fitch Bohua) which plans to serve China's onshore bond market, and has appointed Danny Chen as Fitch Bohua's chief executive officer. Set up in July 2018 in Beijing, Fitch Bohua is a 100% subsidiary of Fitch Ratings. The company is seeking regulatory approval to cover the financial institutions sector (including banks, non-bank financial institutions and insurers) as well as the structured finance sector in its initial phase of operations.


Andrew Fennell


Andrew Fennell


+852 22639925

Grace Wu


Grace Wu


+852 2263 9919

Jonathan Lee


Jonathan Lee


+886 2 8175 7601

Ying Wang


Ying Wang


+86 21 6898 7980

Jeffrey Liew


Jeffrey Liew


+852 2263 9939

Terry Gao

International Public Finance

Terry Gao


+852 2263 9972

Hilary Tan

Structured Finance

Hilary Tan


+852 2263 9904

Henry Hung

Greater China

Henry Hung


+86 21 6898 7988

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