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India added 40.9 GW more solar module manufacturing capacity than solar cell capacity in the first half of 2026, highlighting a widening imbalance in the domestic manufacturing chain even as the country rapidly expands its solar production base.
During January-June, 50.6 GW of solar module manufacturing capacity was added, compared with 9.7 GW of cell capacity, according to Mercom India’s State of Solar PV Manufacturing in India 1H 2026 report.
By the end of June, India’s cumulative solar module manufacturing capacity had climbed to 261.7 GW, while solar cell manufacturing capacity stood at just 36.6 GW.
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The sharp difference between module and cell capacity has emerged as a key pressure point for the industry, with domestic cell availability failing to keep pace with the rapid expansion in module manufacturing.
India’s imports of solar cells and modules consequently increased 18% in the first half of 2026 from the corresponding period of 2025. Solar cells accounted for as much as 81% of total imports, while modules made up the remaining 19%.
Manufacturing capacity also remained concentrated among a relatively small group of companies, with the top 10 manufacturers accounting for 60% of India’s total module manufacturing capacity.
Gujarat continued to dominate India’s solar manufacturing landscape. The state accounted for nearly 45% of the country’s module manufacturing capacity as of June, while Rajasthan and Tamil Nadu ranked second and third. Together, the two states accounted for nearly 19% of module capacity, according to the report.
In capacity terms, Rajasthan had 26.1 GW of module manufacturing capacity, followed by Tamil Nadu at 23.4 GW.
Gujarat also remained the largest base for solar cell manufacturing, accounting for about 37% of the country’s annual production capacity. Tamil Nadu and Telangana were the other leading states, with cell manufacturing capacities of 4.3 GW and 4.2 GW, respectively.
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The report also showed a strong overseas market for India’s solar exports. The US accounted for 92% of India’s total solar exports during the first half of 2026, remaining by far the country’s largest export destination.
The cumulative module capacity included in the Approved List of Models and Manufacturers stood at 225.5 GW, while listed solar cell capacity was nearly 35.5 GW.
The first-half additions underline the rapid scale-up of India’s solar manufacturing base, but also the wide gap between module and cell capacity. With 261.7 GW of module capacity against 36.6 GW of cell capacity, the domestic manufacturing chain remains heavily skewed towards modules, even as imports of cells continue to rise.
TOPICSSolarThis article was first uploaded on September twenty-eight, twenty twenty-six, at one minutes past one in the night. © IE Online Media Services (P) Ltd