New Delhi [India], November 2 (ANI): Adjusting solar cell supply chains to evade US tariffs is not a sustainable strategy due to cost-effectiveness constraints, according to Chetan Shah, Chairman and Managing Director of Solex Energy Limited.
Shah said India possesses the necessary scale, cost advantage, and ecosystem to emerge as a global solar manufacturing hub.
“That’s not a sustainable way, just a temporary thing, because establishing units outside India and making them cost-effective is a big challenge. Countries like the Middle East, Qatar, and Turkey are trying, but India has unmatched potential. The kind of cost and scale we can bring is unique. In 2019, India’s module manufacturing capacity was six gigawatts, and with the ALMM scheme, that capacity has grown to 120 gigawatts in just three years,” Shah said while responding to solar companies recalibrating supply chains to maintain access to US markets.
Discussing global trade diversification, Shah noted that changing geopolitical dynamics have opened new opportunities for collaboration between India and Europe. “As an Indian, we see a lot of opportunity. We were inventors in the past; we lost it, and now it is time to regain it again,” he said.
Solex Energy recently signed a Memorandum of Understanding (MoU) with ISC Konstanz, Germany, for advanced research and technological collaboration in solar cell manufacturing.
Shah emphasized that the future success of Indian manufacturers will depend on balancing innovation with affordability.
Commenting on US tariffs, he described them as “temporary,” adding, “The US has no choice—they don’t have much domestic manufacturing. India stands to benefit from this environment, as people have grown accustomed to cost-effective products from China and India.”
Just a decade ago, India’s solar industry was still developing, with panels installed only on limited rooftops and desert fields. Today, India has become the world’s third-largest solar power producer, surpassing Japan.
According to the International Renewable Energy Agency (IRENA), India generated 108,494 GWh of solar energy, compared to Japan’s 96,459 GWh.
As of July 2025, India’s cumulative solar power capacity stood at 119.02 GW, comprising 90.99 GW from ground-mounted plants, 19.88 GW from rooftop systems, 3.06 GW from hybrid projects, and 5.09 GW from off-grid installations—demonstrating the nation’s diverse renewable energy expansion.
Aligned with its COP26 pledge, India is working toward achieving 500 GW of non-fossil fuel electricity capacity by 2030, a milestone seen as central to its clean energy transition and climate goals. (ANI)
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