Fitch rates Baoshan Iron, Angang Steel

Fitch Ratings said it upgraded the long-term foreign-currency issuer default ratings of Baoshan Iron & Steel Co. Ltd. and the long-term foreign-currency and local-currency issuer default ratings of Angang Steel Co. Ltd. The agency also said it has affirmed the foreign- and local-currency issuer default ratings of Wuhan Iron & Steel Co. and Aluminum Corp. of China Ltd. All short-term ratings also have been affirmed and the outlook is stable.

Baoshan Iron & Steel Co. Ltd.'s foreign long-term issuer default rating was upgraded to A- and its short-term issuer default rating was affirmed at F2. The outlook is stable.

Angang Steel Co. Ltd.'s foreign- and local-currency long-term issuer default rating was upgraded to BBB and its foreign- and local-currency short-term issuer default rating was affirmed at F3. The outlook is stable.

These actions follow a review of the financial position of the controlling shareholders of these Chinese metal and mining companies, Fitch said, and of the impact this might have on the credit quality of their listed subsidiaries.

The actions also factor in a reassessment of the potential support these controlling shareholders may receive from their ultimate owner, the government of China, the agency said.

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