...Leverage to Remain High: Fitch Ratings expects the leverage of major Indian steel producers to remain high in 2016, and only decrease meaningfully by 2017. The debt levels of major Indian steel producers increased over the last three years due to capacity expansions; high levels of debt, along with profitability pressure, are likely to result in a deterioration of leverage in 2015. Fitch expects them to start deleveraging post 2H16 as most major capex are completed, and as their benefits start accruing. Weak Steel Prices: Fitch expects global steel prices to remain weak in 2016, driven by weak demand and overcapacity in the industry. Indian steel prices had fallen almost a quarter yoy as of end-September 2015, in line with global trends. A relatively stronger Indian rupee in 2015 to date, significant import increases and weak steel demand affected steel prices, and consequently, the profitability of steelmakers. Still, the imposition of a 20% duty on certain steel-product imports, effective...
