Shandong Shanshui Cement Group has defaulted on a CNY1bn (US$145m) bond, according to China Merchants Bank.

With a huge amount of debt due in 2017, China is facing rising default risks as growth moderates and Beijing switches to a tighter monetary policy.

Shanshui hasn't been able to raise enough money to fully repay the three-year debt, which was due 27 February, the underwriter said in a statement. Shanshui has already defaulted several times since 2015 due to liquidity strains, restricted financing channels an a series of lawsuits faced by the company, it added.

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Over CNY5.5trn of corporate debts are due in 2017.