India’s cumulative solar module manufacturing capacity reached 261.7 GW by June 2026, while cell capacity stood at 36.6 GW, says Mercom
Gujarat accounted for nearly 45% of India’s module manufacturing capacity in June 2026
Solar cell and module imports rose 18% YoY in H1 2026, with cells making up 81% of imports
India added 50.6 GW of solar PV module manufacturing capacity and 9.7 GW of cell capacity in H1 2026, as domestic solar manufacturing continued to expand. However, cell availability remained a constraint despite the growth in installed capacity, according to Mercom India Research.
In its report titled State of Solar PV Manufacturing in India 1H 2026, Mercom counts cumulative module manufacturing capacity of the country having reached 261.7 GW by June 2026, while cell manufacturing capacity stood at 36.6 GW.
However, the capacity listed under the government’s Approved List of Models and Manufacturers (ALMM) was lower. While ALMM List-I module capacity reached 225.5 GW, ALMM List-II cell capacity stood at nearly 35.5 GW as of the report’s release, says Mercom.
In terms of technology, TOPCon accounted for the largest share of ALMM-listed module manufacturing capacity as of June 2026, with an 80% share. Monocrystalline PERC/TOPCon accounted for 11%, followed by mono PERC at 4%. Heterojunction (HJT) represented 3%, while thin-film technology accounted for the remaining 2%, according to the report.
The concentration of manufacturing capacity is also significant, as the report specifies that the top 10 manufacturers accounted for 60% of India’s module manufacturing capacity.
Gujarat remained the largest location for module manufacturing, accounting for nearly 45% of capacity at the end of June 2026. Rajasthan and Tamil Nadu followed, with module manufacturing capacities of 26.1 GW and 23.4 GW, respectively.
Gujarat also had the largest share of India’s annual solar cell production capacity at 37%. Tamil Nadu and Telangana followed with 4.3 GW and 4.2 GW, respectively.
Mercom Capital Group CEO Raj Prabhu said domestic cell shortages had become a near-term challenge for India’s solar market. “Module capacity has expanded rapidly, but cell supply has not kept pace,” Prabhu said. He added that limited domestic cell availability was tightening supply and increasing prices for compliant modules.
According to Prabhu, installed solar cell capacity does not necessarily represent commercially available supply because new manufacturing lines can take months to reach stable production. Additionally, the introduction of ALMM List-II has increased dependence on domestic cells before sufficient capacity became commercially available.
The supply constraint is affecting manufacturers and project developers. Prabhu added, “Many module manufacturers are struggling to maintain production because of limited domestic cell availability.” On the other hand, developers are experiencing commissioning delays until commercially available cell supply catches up with demand.
India’s imports of solar cells and modules increased 18% in H1 2026 compared with the same period in 2025. Cells accounted for 81% of total imports, while modules made up the remaining 19%.
On the export side, the US remained India’s largest destination during the period, accounting for 92% of total solar cell and module exports.
The complete report can be purchased from Mercom’s website.
