India Solar Import & Export Activity Down In Q3/2020

COVID-19 Continues To Cast Its Shadow Over Indian Solar PV Industry As Solar Imports Into India During Q3/2020 Declined 77% & Exports 75% On Annual Basis, Says Mercom India Research
08:28 PM (Beijing Time) - 30. October 2020
Presentation1

As the global economic activity slowly comes on track reeling from the effects of the pandemic, the Indian solar industry saw its Q3/2020 imports and exports getting impacted negatively on annual basis. Fearing rising cases of COVID-19, some countries are considering another round of full or semi lockdown which might impact the Indian solar industry as well; however, China, the countries largest import trade partner currently is unaffected from COVID-19. (Source: Mercom India Research)

Key Takeaways

  • Mercom India Research says solar imports into India declined 77% in Q3/2020 compared to last year, with a total value of $598.1 million
  • China had the largest market share with 88% of all solar imports into India, increasing its clout from 77% in the previous quarter
  • The US was the largest export destination for Indian solar products with 71.8% shipped to the location, out of total exports of
  • Indian export activity was also a drop of 30% QoQ and 75% YoY in Q3/2020 with the US as its largest market

Referring to latest trade data, Mercom India Research says Indian solar import and export activity continued to suffer from the effects of COVID-19 pandemic during Q3/2020 when its imports during the quarter dropped 77%, on annual basis. It added up to $598.1 million.

A sequential comparison though shows the import activity went up 102% to $140.1 million in Q3/2020, mainly due to pandemic related restrictions being eased globally, including in India, Mercom added.

China continued to maintain its lion’s share in the Indian imports accounting for about 88%, growing its share from 77% compared to Q2/2020. Following China was Thailand whose imports dropped from 7.4% to 3.4% during the same period. Taiwan improved its share from 1.3% in the previous quarter to 3% in Q3/2020, whereas Vietnam and Singapore accounted for 2.2% and 1.7% import market share in India in the reporting quarter.

Exports

Total Indian solar exports in the 3rd quarter of 2020 dropped about 30% to $16.9 million, as against $24.1 million in Q2/2020 and on YoY basis these were around 75% less than $67.4 million in Q3/2019.

The largest market for Indian solar goods during Q3/2020 was the US taking 71.8% of the total exports in this segment, even though its share declined compared to 89% in the last quarter.

Other major markets for Indian products were Zambia (2.6%), South Africa (2%), the United Kingdom (1.9%) and Vietnam (1.8%). “In the preceding quarter, it exported 0.1%, 2.7%, to Zambia and South Africa, respectively, while the United Kingdom and Vietnam received no shipments,” stated Mercom.

During the period between January 2020 and September 2020, imports went down by 78% to $359.9 million compared to $1.6 billion a year back and exports fell 44% to $76.1 million, down from $135.6 million in 9M/2019 (see Solar Imports To India Declined 22% YoY In 9M/2019).

Anu Bhambhani

Anu Bhambhani is the Senior News Editor of TaiyangNews

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Anu Bhambhani