Borosil Renewables Stock Sees Significant Gain Following Government's Extension of Solar Glass Import Duties
Government Imposes Trade Protection Measures on Solar Glass Imports from Malaysia
Shares of Borosil Renewables Ltd, India's largest solar glass manufacturer, surged nearly 9 per cent on Wednesday after the government imposed fresh trade protection measures on imports of solar glass from Malaysia. The company's stock rose as much as 8.93 per cent during intraday trade, marking its sharpest gain in about two months.
At 12:57 pm, the stock was trading at Rs 540.60, up Rs 39.25, or 7.83 per cent, on the NSE. The rally came after the Finance Ministry announced a five-year extension of countervailing duties on imports of textured tempered glass, commonly known as solar glass, from Malaysia. The duties range from 9.71 per cent to 10.14 per cent of the cost, insurance and freight (CIF) value of imports.
The government stated that cessation of countervailing duty is likely to lead to continuation or recurrence of subsidization and injury to the domestic industry. This move is part of a broader push by New Delhi to strengthen the domestic solar manufacturing ecosystem and reduce reliance on imports. India has already implemented customs duties and non-tariff measures to support local solar module production, while similar protections for solar cells came into effect this month.
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According to recent data, India currently produces around 2,500 tonnes of solar glass per day, compared with daily imports of about 7,000 tonnes. Borosil Renewables, which currently has manufacturing capacity of 1,000 tonnes per day at its Gujarat facility, plans to add another 600 tonnes of daily capacity by the end of 2026.
| Domestic Production | Daily Imports |
|---|---|
| 2,500 tonnes | 7,000 tonnes |
This decision is an indication to the domestic industry to continue reinvesting capital to expand capacity and reduce dependence on imports, according to Pradeep Kumar Kheruka, Executive Chairman of Borosil Renewables.
Investor Takeaway
Investors should take note of the government's extension of solar glass import duties, which may have a positive impact on Borosil Renewables' stock.
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