Now Reading: India Seeks Probe Into Ethiopia Solar Cell Import Surge
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India Seeks Probe Into Ethiopia Solar Cell Import Surge
India Seeks Probe Into Ethiopia Solar Cell Import Surge
The Story in Brief
India’s renewable energy ministry has asked the finance and commerce ministries to examine a sharp rise in solar photovoltaic cell imports from Ethiopia. Imports reached $202 million in 2025-26, making up 81% of India’s imports from Ethiopia. They totalled $29.63 million in the current fiscal year through May. Officials suspect Chinese manufacturers could be using Ethiopia to avoid India’s 20% customs duty on imported solar cells.
The review will examine possible breaches of country-of-origin rules and benefits under trade arrangements. Ethiopia has attracted solar manufacturing with cheap hydropower and labour. The United States began a similar circumvention inquiry after imports from Ethiopia rose sharply. India allows some duty exemptions or deferrals for cells used in modules exported under the Advance Authorisation Scheme.
The Indian Opinion
The proposed examination is reasonable because the import rise is sudden and trade rules need consistent enforcement. However, the available information shows suspicion, not proof that Chinese firms are circumventing Indian duties. Claims about a deliberate Chinese strategy should therefore be treated cautiously until the ministries establish the origin of the cells and components. The inquiry may also clarify how India can protect domestic manufacturers without disrupting legitimate renewable energy trade.
Source: livemint.com
This story was synthesised by AI from the source linked above.
