India’s solar module and cell imports for the third quarter (Q3) of the calendar year (CY) 2024 totalled $986.5 million, reflecting a 19% year-over-year (YoY) decrease, according to the Department of Commerce. Despite this decline, imports showed a significant rise when compared to the previous quarter.
Increase in Imports on a Quarter-Over-Quarter (QoQ) Basis
On a quarter-over-quarter (QoQ) basis, solar imports rose by 27%. Notably, solar module imports surged by 39.6%, accounting for approximately 60% of total imports. The remaining imports were attributed to solar cells.
The increase in module imports can be attributed to the exemption of the Approved List of Models and Manufacturers (ALMM) order for projects with bid submission deadlines before April 10, 2021, as well as the growing demand for behind-the-meter solar projects.
Rising Demand for Solar Cells
Solar cell imports also saw a rise, increasing by 12.3% QoQ.
This uptick was mainly driven by the higher demand for Indian solar modules after the reimposition of the ALMM order in April 2024.
Market Dominance by China
China continued to dominate India’s solar imports, accounting for 89.5% of the total solar module and cell imports.
This marked a significant 68.2% increase QoQ. In contrast, imports from Vietnam dropped by 69.5% QoQ, contributing only 5.7% to the overall import total.
Other countries, including Thailand, Hong Kong, Cambodia, and Malaysia, collectively accounted for 4.7% of imports.
While imports from Thailand and Cambodia saw substantial declines (33.6% and 1,042.3%, respectively), imports from Hong Kong and Malaysia grew by 55.5% and 20.2%, respectively.
India’s Solar Exports in Q3 2024
India’s solar exports for Q3 2024 were valued at $208.6 million, representing a sharp 61.6% decrease QoQ.
The decline was mainly attributed to uncertainties surrounding U.S. import restrictions. Additionally, a rise in domestic demand for solar modules affected export levels.
Decline in Exports to the U.S.
Exports to the U.S., the largest destination for Indian solar exports, fell by 57.5% QoQ.
Despite this drop, the U.S. still accounted for 92.3% of India’s total solar exports for the quarter. However, exports to other countries showed positive growth.
Growth in Exports to Other Countries
Exports to Bangladesh, Canada, and Guyana rose by 59%, 308.7%, and 57.1%, respectively. Notably, India did not export solar modules to Thailand in the previous quarter, marking a change in export dynamics.
Year-to-Date Solar Imports and Exports
India’s solar module and cell imports for the first nine months of 2024 (9M 2024) amounted to $3.8 billion. This marks a 27.7% year-over-year (YoY) increase.
The surge was largely driven by the import of over 11 GW of solar modules in Q1 2024. This followed the suspension of the ALMM order for projects with bid submission deadlines before April 2021.
The exemptions granted to older projects continued to contribute to the rise in imports through Q2 and Q3.
As reported by knnindia.co.in, on the export front, India’s total solar exports for 9M 2024 reached USD 1.3 billion, showing a 9.9% YoY decline.
