EM ASIA CREDIT: India: Steelmaker ratings headroom to shrink
Mar-18 05:51By: Eric Sharper
TATAIN+ 2
"*Fitch Ratings: Indian Steelmakers' Rating Headroom Narrows amid Cheap Imports, Tariff Risks" - BBG
- In summary, Fitch highlights that U.S. Tariffs on China steel products will lead to more of the product being available, and more cheaply, in Asia.
- This will negatively impact Indian domestics steel makers, including JSW Steel and Tata Steel.
- The agency expects both JSW Steel and Tata Steel to breach their rating thresholds for leverage of 3.7x and 3.0x respectively in FY'25 with limited headroom for FY'26 .
