India’s Solar Manufacturing Surge: Paving the Way for Global Leadership in Renewable Energy – EQ
In Short : India is boosting its solar manufacturing sector, doubling solar module capacity to 74 GW and tripling cell capacity to 25 GW by March 2025. Aiming for 280 GW by 2030, the country is investing in upstream manufacturing and expanding exports. Despite challenges like dependency on Chinese imports, India is positioning itself as a global leader in renewable energy production.
In Detail : India is rapidly advancing its solar manufacturing sector, aiming for self-reliance and positioning itself as a potential global supplier. By March 2025, the country’s solar module capacity had nearly doubled to 74 GW, while solar cell capacity has tripled to 25 GW. This growth is part of a broader strategy to meet ambitious renewable energy targets.
The Indian government has set a target of 280 GW of solar capacity by 2030, necessitating annual additions of 35-40 GW. To support this, India is focusing on strengthening its domestic manufacturing capabilities, including the establishment of its first 2 GW ingot-wafer facility. The country also plans to increase its solar module capacity to 125 GW and its solar cell capacity to 40 GW by 2030.
To accelerate growth, India has introduced policy measures such as the Production Linked Incentive (PLI) scheme and import duties on Chinese solar components. These efforts are designed to reduce dependency on imports and stimulate domestic manufacturing, thus fostering a more sustainable solar industry. Indian companies have started benefitting from these policies, with major manufacturers expanding their production capabilities.
Exports of solar modules from India have also increased, reaching \$782 million between April and November 2024. This growth in exports is primarily driven by markets like the U.S. Leading companies such as Waaree Energies and Adani Solar are at the forefront of this expansion, with some firms exporting over half of their production.
Despite these advancements, challenges remain. India still relies on imports from China for certain solar components, which could impact the sustainability of the sector. Additionally, the country faces a skills shortage in the renewable energy sector, which could pose hurdles to meeting future manufacturing and capacity goals.
Nevertheless, India’s commitment to expanding its solar manufacturing sector shows promising potential. With a strategic focus on increasing capacity, improving policy frameworks, and strengthening domestic production, the country is well on its way to becoming a significant player in the global renewable energy market.
