Credit Suisse downgrades China Shanshui Cement to Neutral vs Outperform, and cuts its target to HK$8.50 from HK$10.40, after the house cuts its FY12 earnings forecast by 12%, to reflect the weakening industry supply-demand outlook and downside risk in margins in 2012.

"We think supply pressure will put downside risk in Shandong and new expansions in Shanxi to slightly lower the average unit profit."
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