March 18th: In calendar year 2025, 119 gigawatts (GW) of solar module manufacturing capacity and over 9 GW of solar cell manufacturing capacity were added in India, according to the recently released research report, State of Solar PV Manufacturing in India 2026, by Mercom India.
Manufacturing capacity additions in 2025 were driven by demand from India’s large utility-scale solar project pipeline, residential rooftop targets, the PM Surya Ghar program, and the ALMM List-II domestic cell mandate.
Cumulative module manufacturing capacity stood at around 210 GW, while cell manufacturing capacity was about 27 GW as of December 2025. Of this, module capacity under ALMM List-I stood at 173.1 GW, while cell capacity under ALMM List-II was nearly 26.5 GW as of this report’s release. ALMM-certified cell capacity currently accounts for only 15.3% of ALMM-certified module capacity.
“While 2026 is widely seen as the year domestic module and cell production will meet demand, our view is that alignment will occur later in the year. Domestic cell manufacturing capacity is expected to begin increasing after March based on commissioning timelines, and ahead of the ALMM domestic cell mandate taking effect in June. However, newly commissioned lines typically require around eight months to stabilize and achieve optimal yields. As a result, effective supply available to module manufacturers will increase more gradually,” said Raj Prabhu, CEO at Mercom Capital Group.
Monocrystalline technology accounted for more than 57% of the cell production capacity, followed by TOPCon (over 39%) and polycrystalline (~3.5%).
The top 10 manufacturers accounted for 44% of the module and 99.5% of the cell cumulative production capacity.
Approximately 70% of installed module manufacturing capacity was based on TOPCon technology, followed by monocrystalline technology, which accounted for over 25% as of the end of 2025. Polycrystalline and thin-film technologies accounted for around 2% each. Heterojunction (HJT) module manufacturing capacity, at about 1%, was included for the first time. The remaining share comprised a combination of HJT and TOPCon.
“Solar module manufacturing in India is ripe for consolidation. Declining mono PERC demand, lower utilization at smaller facilities, and rising capital requirements are shifting market share toward larger, integrated, and more efficient manufacturers,” added Prabhu.
As of December 2025, the largest amount of solar module manufacturing capacity was in Gujarat at 45%. Rajasthan and Tamil Nadu followed with module production capacities of 10% and 7%, respectively.
Similarly, Gujarat accounted for the largest share of annual solar cell production capacity at approximately 45%. Tamil Nadu and Karnataka followed with shares of 16% and 13%, respectively.
A total of 99 GW of solar modules and cells were imported in 2025. Modules accounted for 25% of imports, while cells accounted for 75%.
Domestic manufacturers exported approximately 5 GW of solar modules and 192 MW of cells in 2025. The United States accounted for 96.8% of the module exports in 2025 and 57% of cell exports was to the UAE.
Key Highlights from the Report:
- India added 119 GW of solar modules and 9 GW of cell capacity in 2025
- Cumulative module manufacturing capacity was around 210 GW, and cell manufacturing capacity was about 27 GW
- The top three states for module manufacturing were Gujarat, Rajasthan, and Tamil Nadu
- Gujarat, Tamil Nadu, and Karnataka were the leading states for solar cell manufacturing
- Domestic manufacturers exported 5 GW of solar modules and 192 MW of cells in 2025
- U.S. was the top export destination for modules and UAE for cells
Mercom’s State of Solar PV Manufacturing in India 2026 Report is 131 pages long and covers all facets of India’s solar PV manufacturing market, including an overview of demand and supply, top manufacturers, market outlook and projections, manufacturing trends, and other details. For the complete report, visit: https://www.mercomindia.com/product/state-solar-manufacturing-india-2026.
