FXStreet (Bali) - According to Fitch Ratings-Singapore, Corporate defaults in China are likely to continue to become more common as the authorities move to develop the corporate bond market and issuance grows. Extract from Fitch's media release note Corporate defaults in China are likely to continue to become more common as the authorities move to develop the corporate bond market and issuance grows. Credit spread differentiation is already starting to emerge despite the relative lack of default precedence, with widening yield-to-maturity spreads between higher and lower-rated corporate bonds, as well as between bonds issued by state-owned enterprises (SOEs) and non-SOEs. Fitch downgraded China Shanshui Cement Group Limited's Issuer Default Rating to 'RD' from 'C' on 11 November following the company's announcement that it filed an application for the appointment of provisional liquidators on 10 November, which constituted a default for the USD500m in offshore notes due 2020. Despite this, Shanshui did not announce a halt to payments for its outstanding MTNs listed on the HY MTN index. As per the methodology of the index, Shanshui's notes remained on the index, though yields were estimated at 999% on 31 December. For more information, read our latest forex news.