Why Vikram Solar Is Against Anti-Dumping Duties On Solar Cells

Indian solar module manufacturer Vikram Solar is against the imposition of anti-dumping duties on the import of cheaper solar cells. The top management of the company, in a recent investors’ call, claimed that they have approached the authorities concerned to mark their reservations against the move.

This comes days after the Directorate General of Trade Remedies (DGTR) recommended the imposition of anti-dumping duties against the alleged dumping of cheaper solar cells from countries like China. The recommendation was made after domestic solar companies, especially solar cell makers like Jupiter International, First Solar, Tata Power, and RenewSys, approached the forum seeking its intervention.

Dearth Of Domestic Cell Capacity

As per Vikram Solar, the country is now grappling with a capacity dearth for solar cells against the demand for solar modules. It also foresees an upsurge in clean energy generation being affected in light of such an action.

“Various companies, including Vikram Solar, have made representations to the Tax Research Unit of the Ministry of Finance that there's a huge capacity gap between the Indian cell and module manufacturing facilities and such levy would only add to the overall cost of power being generated without avoiding any of the alleged injury to the domestic cell manufacturers. There have been instances wherein recommendations of the DGTR have not been accepted by the Ministry of Finance in the larger public interest,” the top management of the firm told its investors.

It also added, “However, we would like to also mention that most of our orders do have a pass-through clause, which allows us to transfer this cost to the customers seamlessly. Similar proceedings with respect to levy of anti-dumping duty for import of encapsulants from China, South Korea, Thailand, and Vietnam is ongoing.”

ALMM-II At Sight 

This comes at a time when the government has planned to impose ALMM-II for solar cells, which mandates the use of only domestically produced solar cells for solar module production for most of the solar projects in the country.

The company, which is also set to start solar cell production from Tamil Nadu, currently sees good demand for non-DCR-compliant solar cells for C&I consumers and other large projects exempted from the ALMM mandate, indirectly hinting at the need for cheaper imported solar cells before the rollout of ALMM-II.

“These projects, as of 30th September 2025, stood at 104 gigawatt, being the total addressable market to us today. In practical terms, this means that these projects can continue to use modules manufactured with imported cells. We expect majority of this demand to come in the next 24 to 36 months, considering standard project commissioning timelines, ensuring a long runway for the non DCR market. This also ensures flexibility and continuity in the ongoing projects for the developers. Demand from C&I projects before the mandate of ALMM-II of 1st June 2026 is fully implemented shall be over and above this,” the management told investors.