India’s Solar Module Exports to US Surge

Mercom spoke to industry experts to find out the impact of the increased solar module exports from India to the U.S. due to the country’s recent ban on Chinese solar module and cell imports on the domestic market

By : Arjun Joshi

India recorded a massive jump in solar module exports to the United States in the last quarter, which is attributable primarily to the latter’s sanctions on Chinese imports. It has also coincided with Indian manufacturers’ push to ramp up capacity to meet domestic demand.

Solar module exports surged 642% at $157 million (~₹12.76 billion) in the July-September period year-over-year.

The data from the commerce ministry showed that the quarter-on-quarter sequential growth stood at 499%. Over 94% of the exports are to the U.S.

Like the rest of the world, Chinese solar modules have been dominating Indian solar projects over the years. But the imposition of a prohibitively high 40% basic customs duty (BCD) on imported modules earlier this year and the government-mandated Approved List of Models and Manufacturers

(ALMM) policy last year have spurred Indian manufacturers into action.

Speaking to Mercom, an industry source said, “Large quantities of Chinese solar modules have been detained in the United States as a consequence of the enforcement of the Uyghur Forced Labor Prevention Act, which prohibits the importation of goods produced by forced labor in Xinjiang. As a result, companies ensure that the modules they procure are ethically constructed and traceable. India, the biggest solar producer after China, would be the chosen supplier.”

India has seen over 9 GW of production lines commissioned in the previous two quarters.

New manufacturing lines with updated technologies have ensured that some module manufacturers can also bag export orders.

A module manufacturer commented, “We are also setting up larger production units to cater to this new demand. Even mono PERC cells are being manufactured in India.