In Short : Due to recently implemented 50% tariffs, Gujarat’s solar module exporters, who had exported modules valued at ₹10,000 crore (about 7 GW) yearly, are seeing a dramatic drop in U.S. demand. Of that export volume, about ₹7,000 crore—from Gujarat alone—is in jeopardy. Despite fierce competition from China, exporters are increasingly shifting their focus to domestic sales and investigating markets in Europe.
Encouraging Innovation and Strategic Growth
Increased investment in India’s solar environment may result from the move to the local market, which would pressure exporters to boost size and cost-effectiveness. In order to stay competitive globally, especially against well-established Chinese businesses, this shift may also encourage research and development of more efficient solar technology.
Impact and Significance of Clean Energy
The demand for renewable energy is growing globally as solar energy becomes more affordable than fossil fuels. India’s strong home market and expanding manufacturing capabilities may be able to make up for the export deficit, lessening the effect of tariffs and accelerating the country’s switch to renewable energy.
