Two leading construction and industrial firms from India and China have this week signed a Memorandum of Understanding (MoU) for the development of a $300 million manufacturing unit at a port in India’s Gujarat state.
The project will be located at the Mundra special economic zone (which is owned by Adani) and, while the fab will not be exclusively built for solar manufacturing, PV power generation equipment will be produced at the site, alongside chemicals, aluminium and animal feed, the Indian Consulate in Shanghai has confirmed.
China’s East Hope Group views the unit as a key logistical link in its industrial integration chain, as more and more Chinese firms eye manufacturing opportunities in India.
India’s solar industry is heavily reliant on imported solar components from China, so much so that a petition to introduce anti-dumping (AD) tariffs on Chinese, Taiwanese and Malaysian-produced solar products has been lodged with the Ministry of New and Renewable Energy (MNRE).
Whether such a tariff is introduced or not, direct Chinese involvement in the Indian solar manufacturing industry was always expected to expand as local market demand for PV grew.
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