Borosil Renewables Rallies After Government Extends Solar Glass Protection Measures

India has extended countervailing duties on solar glass imports from Malaysia for another five years, seeking to protect domestic manufacturers from subsidised overseas competition. The duties, ranging from 9.71% to 10.14% of the cost, insurance and freight (CIF) value, come after a government review found that removing the levy could hurt local producers and lead to a return of unfair pricing practices.

The announcement triggered a sharp rally in Borosil Renewables shares, India's largest solar glass maker. The stock jumped as much as 10% to an intraday high of ₹549.90 on Wednesday, taking its gains over the last two sessions to nearly 12%. Today at 11:27 AM, the stock was at ₹530.05, down 0.67%.

Why Has India Extended The Duty?

The decision follows a sunset review conducted by the Directorate General of Trade Remedies (DGTR). In its final findings released in March, the trade body concluded that ending the countervailing duty would likely result in the continuation or recurrence of subsidisation and injury to the domestic industry.

According to a finance ministry notification dated 2 June, imports of textured tempered glass, commonly known as solar glass, from Malaysian producers Xinyi Solar (Malaysia) Sdn. Bhd. and SBH Kibing Solar New Materials (M) SDN. BHD will attract a duty of 9.71% of CIF value. Imports from all other producers will face a 10.14% levy.

The latest order replaces an earlier duty imposed in March 2021 and will remain in force for five years unless modified or withdrawn before then.

Borosil Renewables Gains On Policy Support

Borosil Renewables welcomed the government's move, saying the duty would help counter the impact of subsidised imports and encourage fresh investment in domestic manufacturing capacity.

The company has also reported a strong financial performance. For the March quarter, Borosil posted a net profit of ₹169.1 crore, compared with a loss of ₹20 crore in the same period last year. Revenue rose 17.8% year-on-year to ₹440 crore, while earnings before interest, taxes, depreciation, and amortisation (EBITDA) surged to ₹136.4 crore from ₹15.5 crore. EBITDA margin expanded to 31% from 4.1% a year ago.

Push For A Stronger Solar Supply Chain

The duty extension is part of India's wider effort to strengthen local solar manufacturing and reduce reliance on imports. The government has already introduced stricter domestic sourcing requirements for solar cells under the Approved List of Models and Manufacturers (ALMM) framework from 1 June.

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Officials are also considering similar localisation requirements for upstream products such as solar ingots and wafers. With solar glass being a key component in photovoltaic modules, the latest measure is expected to support domestic capacity expansion while reinforcing India's clean energy ambitions.

Sources:

The Economic Times

Mint