Lianhe Ratings Global Limited (“Lianhe Global”) has affirmed ‘BBB+’ global scale Long-term Issuer and Issuance Credit Rating of Taxing City Investment Development Group Co., Ltd. (“TCID” or “the company”); Issuer Rating Outlook is Stable
The Issuer Credit Rating reflects a high possibility that the People’s Government of Taixing City (“the Taixing government”) would provide very strong support to TCID if needed. This mainly considers the Taixing government’s indirect full ownership of TCID and TCID’s strategic importance as a core local investment and development company (“LIDC”) in Taixing. In addition, the linkage between the local government and TCID is strong, including management supervision, strategic alignment and ongoing operational and financial support. Moreover, the local government may face a significant negative impact on its reputation and financing activities if TCID encounters any operational and financial difficulties.
Taixing is a county-level city in Jiangsu that is managed by Taizhou City. It is one of the top 100 counties in China, with a GDP of RMB143,499 million in 2023. Taixing’s GDP grew steadily by 4.1% year-over-year in the first nine months of 2024 and realized budgetary revenue of RMB10,010 million in 2024, representing a year-over-year growth rate of 3.0%.
The Stable Outlook reflects our expectation that TCID’s strategic importance would remain intact while the Taixing government will continue to ensure TCID’s stable operation.
Lianhe Global has also affirmed ‘BBB+’ global scale Long-term Issuance Credit Rating of the senior unsecured CNY Bonds issued by TCID at the same time. A full list of affirmed issuance rating is included in this report.