India reimposes restrictions on imported solar modules, targeting China

Jingyue Hsiao, DIGITIMES Asia, Taipei 0

Credit: AFP

After an exemption of a year, the Indian government reimposed restrictions on imported solar modules starting in April, which may be targeting Chinese-made solar products.

According to an office memorandum by the Ministry of New and Renewable Energy of India, the Approved Models and Manufacturers of Solar Photovoltaic Modules (ALMM), which was held in abeyance for fiscal 2023 (April 2022 to March 2023), would come into effect from April 1, 2024.

The latest ALMM list was announced in August 2023 to boost domestic manufacturing in India. Only the models and manufacturers included in the ALMM list are eligible for various solar projects, including government projects, government-assisted projects, and projects under government schemes and programs.

The Economic Times quoted an unnamed source as saying that India is bringing back the order because it believes its domestic capabilities have emerged and need to be supported.

State-controlled Chinese media Global Times reported that India imposed various measures, including the ALMM list and basic customs duties of up to 40%, to curb imports from China. The report cited data showing that China's solar product exports to India rose from US$155 million in the first two months of 2023 to US$787 million in January-February 2024, underscoring the negative impacts of the ALMM list on the India-China solar product trade.

Global Times quoted Zhao Gancheng, a research fellow at the Shanghai Institute for International Studies, saying that India heavily relied on solar product imports from China, and these restrictive measures will harm Indian importers and India's green energy development.