China primary bond market:

China's ESG bond issuance was surpassed by Korea in May

• Offshore credit bonds new issuance: 43 Chinese issuers raised $13 billion of debt in the offshore market in May. ICBC was the largest issuer.
   
• Onshore credit bonds new issuance: 402 issuers raised 747 billion yuan of credit bonds in the China onshore market, with new issuance volume decreasing 50% compared with the previous month.
   

• Subscription rates for dollar bonds issued by Chinese entities were surpassed by entities from other Asia-Pacific ex-Japan markets excluding Hong Kong in May 2022, for the first time in 2022.
   

• The industrial sector is experiencing a drop but still dominates among industries in debut issue volumes.

Issuance amount across currencies ($ millions)

Source: Bloomberg Quant Platform (BQuant), Global Data

Offshore new issuance subscription by market of risk

Source: Bloomberg Quant Platform (BQuant), Global Data

 

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Debut issue volume by industry

Source: Bloomberg Quant Platform (BQuant), Global Data

China onshore new issuance monthly (CNY:MM)

Source: LEAG <GO>

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• APAC ESG bonds issuance: China's ESG bond issuance was surpassed by Korea in May 2022.
• China ESG bonds issuance: Green bonds continued to dominate ESG bond issuance in the Chinese market. However, the total volume of issuance has been falling since March 2022.
• China ESG bonds issuance by industry: The utilities sector's ESG bonds issuance volume was surpassed by the financial sector in May 2022.

ESG bonds issuance volume in APAC

Source: Bloomberg Quant Platform (BQuant), Global Data

ESG debt issue volume by theme in Chinese market

Source: Bloomberg Quant Platform (BQuant), Global Data

ESG debt issue volume by industry in Chinese Market

Source: Bloomberg Quant Platform (BQuant), Global Data