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US Exits Solar Alliance: India's Solar Industry Unfazed
10 Jan
Summary
- US withdrawal from ISA has minimal impact on Indian solar firms.
- India's robust solar manufacturing capacity shields it from impact.
- Indian companies will target African markets with lower scale needs.
India's burgeoning solar sector is expected to weather the US withdrawal from the International Solar Alliance (ISA) with minimal disruption. Industry executives highlight that the nation's substantial solar manufacturing capacity, which stood at nearly 144 GW for modules and around 24-25 GW for cells as of November 2025, acts as a robust defense against external policy shifts. This domestic strength, bolstered by government initiatives like the Approved List of Models and Manufacturers (ALMM), reduces reliance on imports.
The International Solar Alliance, a collaboration initiated by India and France in 2015 at COP21, has over 100 member nations. However, the US's departure, aligning with President Trump's views on climate initiatives, is seen more as a diplomatic development than a market-altering event. Companies are confident that market fundamentals remain strong, with continued policy support for decarbonization and project pipelines in the US.
