MIRA INFORM REPORT
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Report No. : |
335494 |
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Report Date : |
08.08.2015 |
IDENTIFICATION DETAILS
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Name : |
Rizhao Steel
Holding Group Co., Ltd. |
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Registered Office : |
No. 600 Coastal Road, Lanshan District, Rizhao
City, Shandong Province, 276806 Pr |
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Country : |
China |
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Date of Incorporation : |
14.05.2003 |
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Com. Reg. No.: |
371100018050364 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Subject is
engaged in manufacturing and selling iron and steel products, and investing
and managing its subsidiaries and other related business. |
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No. of Employee : |
10,000 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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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 – March 31, 2015
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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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, growth of the private sector, development of stock markets and a modern banking system, 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 considered important to "economic security," explicitly looking to foster globally competitive industries. After keeping its currency tightly linked to the US dollar for years, in July 2005 China 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. In 2014 the People’s Bank of China (PBOC) doubled the daily trading band within which the RMB is permitted to fluctuate. 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 2014 stood as the largest economy in the world, surpassing the US that year... 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 consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (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 2014 more than 274 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.
Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.
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Source
: CIA |
Company
name name and address
Rizhao Steel Holding Group Co., Ltd.
NO. 600 coastal
ROAD, LANSHAN DISTRICT, RIZHAO CITY,
SHANDONG PROVINCE,
276806 PR CHINA
TEL: 86 (0)
633-6188060/6181888/2969808 FAX:
86 (0) 633-6180000
EXECUTIVE
SUMMARY
INCORPORATION DATE : MAY 14, 2003
REGISTRATION NO. : 371100018050364
REGISTERED LEGAL FORM : ONE-PERSON LIMITED LIABILITY COMPANY
STAFF STRENGTH :
10,000 (INCLUDING THE ONES IN ITS SUBSIDIARIES)
REGISTERED CAPITAL : CNY 800,000,000
BUSINESS LINE :
MANUFACTURE, INVESTMENT & MANAGEMENT
TURNOVER :
N/A
EQUITIES :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : N/A
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.212 = USD
Adopted abbreviations:
ANS – amount not stated NS – not stated SC – subject company (the company inquired by you)
NA – not available CNY – China Yuan Renminbi
SC was registered as a limited liabilities
company at local Administration for Industry & Commerce (AIC-The official
body of issuing and renewing business license) on May 14, 2003 and has been under present ownership
since 2006.
Company Status: One-person Limited Liability Company
Single person LLC refers to a limited liability company set up by only
one natural person or legal person as the single shareholder of it.
The minimum registered capital of Single person LLC is CNY100,000. The
shareholder’s capital contributes, as set out by the articles of associations
should be a lump-sum payment in full.
One natural person can only invest in and set up one limited liability
company, which is not permitted to invest in and set up a new Single person
LLC.
As to any one-person limited liability company, the sole-investor nature
of the natural person or legal person shall be indicated in the registration
documents of the company and shall be indicated in the business license thereof
as well.
The regulation of Single person LLC should be set up by the shareholder
The regulation of Single person LLC has no shareholder meeting.
SC’s registered
business scope includes electricity generation (the valid term is subject to the
permit); ferrous metal smelting, rolling, processing; manufacture and sales of
metallurgical products and by-products, metallurgical auxiliary materials, iron
alloy, hardware tools, coke; wholesale and operation of coal; sales of gold and
silver products, metal materials, building materials (excluding hazardous
chemicals), engineering machinery and equipment, automobile and accessories
(excluding cars with nine or fewer seats); manufacture and sales of ammonium
sulphate; import and export of general goods and technology, excluding those
prohibited or limited by the state (with permits if needed).
SC is mainly
engaged in manufacturing and selling iron and steel products, and investing and
managing its subsidiaries and other related business.
Mr. Du Shuanghua
has been legal representative and chairman of SC since 2003.
SC is known to have approx. 10,000 employees at present,
including the ones in its subsidiaries.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Rizhao. SC’s accountant
refused to release the detail information of the total premise. SC has an
office at No. 155 Qinghe Road, Haidian District, Beijing.
http://www.rizhaosteel.com/
The design is professional and the content is well organized. At present it is
in Chinese version.
Email: service@rizhaosteel.com
For the past two years there is no record of litigation.
Changes of its registered information:
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Date of change |
Item |
Before the change |
After the change |
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2003-07-21 |
Registered capital |
CNY 120,000,000 |
CNY 220,000,000 |
|
2003-10-22 |
Company name |
Rizhao Steel Holdings Co., Ltd. |
Rizhao Steel Holding Group Co., Ltd. |
|
Legal representative |
Yuan Xinhai |
Du Shuanghua |
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|
2006-12-29 |
Registered legal form |
Limited liabilities company |
One-person limited liability company |
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Unknown |
Registered capital |
CNY 220,000,000 |
CNY 800,000,000 |
SC is one of China's major steel producers, is outstanding enterprises
in the "Top 500 Chinese enterprises. In 2012, SC won the "2011 China AAA
Credit Enterprise" and the honorary title of "2011 AAAAA grade credit
pilot enterprise". SC has passed ISO9001, ISO14000, OHSAS18001, etc.
Organization Code:
750855956
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jinghua Rigang Holdings Group Co., Ltd. (In
Chinese Pinyin) 100
Legal representative: Du Shuanghua
Registration No.: 110108016446244
Legal form: Limited liabilities company
l Legal
representative, general manager and chairman:
Mr. Du Shuanghua, born in 1965. He is
currently responsible for the overall management of SC.
Working Experience(s):
From 2003 to present Working in SC as chairman and
legal representative.
At present Also working in SC as general
manager.
Also working in Jinghua Rigang Holdings
Group Co., Ltd., Hengshui Jinghua Pipe Co., Ltd., Tangshan Jinghua Pipe Co.,
Ltd., Chengdu Pengzhou Jinghua Pipe Co., Ltd., Guangzhou Jinghua Pipe Co.,
Ltd., and Laiwu Jinghua Pipe Co., Ltd. etc. as legal representative.
l Directors:
Wang Lifei
Xue Jian
l Supervisors:
Zhao Yongqin
Hu Wenming
Zhou Zhihong
SC is mainly
engaged in manufacturing and selling iron and steel products, and investing and
managing its subsidiaries and other related business.
SC’s products mainly include:
Steel:
H-shaped steel products series
Channel product line
Bar product line
Hot-rolled coil products series
Steel slab product line
Welded pipe product line
Etc.
Non-steel:
Cement
Mixed powder
Blast Furnace Slag
Converter slag powder
Blast furnace slag powder
Main Business:
investing and managing
SC sources its materials 20% from domestic
market, and 80% from overseas market. SC sells 50% of its products in domestic
market, and 50% 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, T/T, L/C and Credit of 30-60 days.
Note: SC’s
management refused to release its main suppliers and clients.
Hengshui
Jinghua Pipe Co., Ltd.
Tangshan
Jinghua Pipe Co., Ltd.
Chengdu
Pengzhou Jinghua Pipe Co., Ltd.
Guangzhou
Jinghua Pipe Co., Ltd.
Laiwu
Jinghua Pipe Co., Ltd.
Etc.
SC is known to have the following subsidiaries:
Rizhao Steel Co., Ltd.
Rizhao
Medium Section Mill Co., Ltd.
Rizhao
Steel Wire Co Ltd
Rizhao
Xuri Power Generation Co., Ltd.
Rizhao
Jinghua Energy Technology Development Co., Ltd.
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.
Rizhao Rural Commercial Bank
AC#：370100201090002821
Relationship:
Normal.
SC’s accountant
refused to release the financial information.
SC is considered large-sized in its line with a development history of
12 years. Due to lack of financial statements, we are unable to determine the
maximum credit limit for SC. Taking into consideration of all the factors
above, credit up to moderate amount appears acceptable.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.63.81 |
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UK Pound |
1 |
Rs.98.93 |
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Euro |
1 |
Rs.69.66 |
INFORMATION DETAILS
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Analysis Done by
: |
RAS |
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Report Prepared
by : |
ASH |
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 |
-- |
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.