MIRA
INFORM REPORT
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Report Date : |
22.05.2014 |
IDENTIFICATION DETAILS
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Name : |
SHANGHAI TENNECO EXHAUST SYSTEM CO., LTD. |
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Registered Office : |
No. 99 Yuanguo Road, Jiading District, Shanghai, 201814 PR |
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Country : |
China |
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Date of Incorporation : |
04.02.1999 |
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Com. Reg. No.: |
310000400211139 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
Subject is engaged in developing, manufacturing and selling vehicle
exhausting products and providing related services |
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No. of Employees : |
400 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
CHINA - ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, creation of a diversified banking system, development of stock markets, rapid growth of the private sector, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors it considers important to "economic security," explicitly looking to foster globally competitive national champions. After keeping its currency tightly linked to the US dollar for years, in July 2005 China revalued its currency by 2.1% against the US dollar and moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2012 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still, per capita income is below the world average. The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic demand; (b) sustaining adequate job growth for tens of millions of migrants and new entrants to the work force; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. In 2010-11, China faced high inflation resulting largely from its credit-fueled stimulus program. Some tightening measures appear to have controlled inflation, but GDP growth consequently slowed to under 8% for 2012. An economic slowdown in Europe contributed to China's, and is expected to further drag Chinese growth in 2013. Debt overhang from the stimulus program, particularly among local governments, and a property price bubble challenge policy makers currently. The government's 12th Five-Year Plan, adopted in March 2011, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent on exports in the future. However, China has made only marginal progress toward these rebalancing goals.
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Source
: CIA |
Company name & address
SHANGHAI TENNECO EXHAUST SYSTEM CO., LTD.
NO. 99 YUANGUO ROAD, JIADING DISTRICT, SHANGHAI, 201814 PR CHINA
TEL: 86
(0) 20-67072000/59501544
FAX: N/A
EXECUTIVE SUMMARY
INCORPORATION DATE :
FEB. 4, 1999
REGISTRATION NO. :
310000400211139
REGISTERED LEGAL FORM :
CHINESE-FOREIGN EQUITY JOINT VENTURE
ENTERPRISE
CHIEF EXECUTIVE :
WANG QINGYU (CHAIRMAN)
STAFF STRENGTH : 400
REGISTERED CAPITAL : USD 17,900,000
BUSINESS LINE :
DEVELOPING, MANUFACTURING, TRADING & SERVICES
TURNOVER :
N/A
EQUITIES :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
N/A
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
WELL-KNOWN
EXCHANGE RATE :
CNY 6.0488=USD 1
Adopted
abbreviations:
ANS - amount not stated NS - not stated SC - subject company (the company inquired by
you)
NA - not available CNY – China Yuan Ren Min Bi
Note: SC’s complete name shall be the heading one instead of the given
one (Shanghai Tenneco Exhaust System), and SC’s management refused to confirm
the (No. 1051 Yuangi Road, Jiading District, Shanghai 201814 China).
SC was registered as a Chinese-foreign
equity joint venture enterprise at local Administration for Industry
& Commerce (AIC-The official body of issuing and renewing business
license).
Company Status: Chinese-foreign equity joint venture
enterprise This form of business in PR
China is defined as a legal person. It is a limited co. jointly invested by
one or more foreign companies and one or more PR China controlled companies
within the territories of PR China according to a certain proportion of
capital investment. The investing parties exercise business management,
share profits and bear all risks and liabilities of the co. together. The
equity joint venture law requires that foreign party contribute not less
than 25% of the registered capital, with no maximum. The investing parties
are free to agree on method of profit distribution and liabilities bearing
according to the proportion of capital investment. Each investing parties
contributes funds, tangible assets, technology & etc. The board of
directors excises the high authority. The joint venture usually has a
limited duration of 10 to 50 years. Enterprise with large investment, long
construction periods, low investment returns, introducing of advanced
technology & advanced technology products that have good competition
position in international market may extend beyond the 50 years limit.
SC’s registered business scope includes developing, manufacturing vehicle
exhausting and flue gas exhausting control system and related spare parts,
selling own products; providing services such as designing, testing, R&D,
products engineer and other services about the above products. (with permit if
needed)
SC is mainly engaged in developing, manufacturing and selling vehicle
exhausting products and providing related services
Wang Qingyu is the legal
representative and chairman of SC at present.
SC is known to have approx. 400 employees at present.
SC is currently operating at the above stated address, and this address
houses its operating office and factory in the industrial zone of Shanghai.
Detailed premise information is unspecified.
www.tenneco.cn The web belongs
to Tenneco China. The design is professional and the content is well organized.
At present it is in Chinese version.
No significant changes were found during our checks with the local
Administration for Industry and Commerce.
Subject passed the annual inspection of 2012 with
Administration for Industry & Commerce.
Organization
Code: 607401417
Honor
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For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of shareholdings
Tenneco Automotive Operating Company Inc. (America) 55
Shanghai Tractor & Internal Combustion Engine
Co., Ltd. 45
Shanghai Tractor & Internal Combustion Engine Co., Ltd.
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Registration No.: 310110000435730
Legal representative: Zhang Haitao
Registered capital: CNY 1,181,060,000
Incorporation date: Oct. 20, 1989
Web: http://www.shanghaitn.com.cn/
Email: Sales@shanghaitn.com.cn
Add.: No. 303 Guoding East Road, Shanghai, PR China
Tel: 021-65480006
Legal Representative and Chairman:
Wang Qingyu is currently responsible for the overall management of SC.
Working
Experience(s):
At present Working in SC
as legal representative and chairman
Directors:
Guo Peng
Ma Ying
Yang Jingyi
Peter Klein
Zhou Xiao
Sng Yih
Supervisors:
Xing Jinzi
Xu Jianfei
SC is mainly engaged in developing, manufacturing and selling vehicle
exhausting products and providing related services
SC’s products mainly include induction exhaust manifold, catalytic
converter, silencer, diesel after-treatment system
SC sources its materials 40% from domestic market, and 60% from overseas
market. SC sells 60% of its products in domestic market, and 40% to overseas
market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, L/C, T/T, and Credit of 30-60 days.
Note: SC’s
management declined to release its major clients and suppliers.
Tenneco Lingchuan (Chongqing) Exhaust System Co.,
Ltd.
Tenneco (Suzhou) Exhausting System Co., Ltd. (literal
translation)
Tenneco
(Guangzhou) Co., Ltd.
Tenneco (Beijing) Exhaust System Co., Ltd.
Tenneco (Beijing) Ride Control Systems Co., Ltd.
Branches
Research Branch
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Reg. No.: 310000500199759
Principal: Fan Jian Qiang
Incorporation date: Aug. 8, 2007
Nanjing Branch
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Reg. No.: 320100500033460
Principal: Wang Bin
Incorporation date: Feb. 20, 2010
Overall payment appraisal: ( )
Excellent ( ) Good
(X) Average ( ) Fair
( ) Poor (
) Not yet determined The appraisal serves as a reference to reveal SC's payments
habits and ability to pay. It is based
on the 3 weighed factors: Trade payment
experience (through current enquiry with SC's suppliers), our delinquent
payment and our debt collection record concerning SC.
Trade payment experience: SC did not provide any name of
trade/service suppliers and we have no other sources to conduct the enquiry at
present.
Delinquent payment record: None in our database.
Debt collection record: No overdue amount owed by SC was placed to us for
collection within the last 6 years.
SC’s management declined to release its bank details.
SC’s management refused to release its financial information.
SC is considered medium-sized in its line with a development history of
15 years.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 58.77 |
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1 |
Rs. 99.01 |
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Euro |
1 |
Rs. 80.56 |
INFORMATION DETAILS
|
Report Prepared
by : |
DPT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.