Daily News - Friday, 21 February 2025

⁠India turns to Africa and West Asia for solar exports (mint)

⁠India is expanding its renewable energy footprint by engaging in direct government-to-government (G2G) discussions with African and West Asian nations to counter stagnating European demand and rising U.S. protectionism, while also reducing reliance on China, which controls 80% of the global solar module supply and 55% of Africa’s solar market. With 67 GW of solar module manufacturing capacity—targeting 100 GW by 2030—India has introduced production-linked incentives (PLI) to strengthen domestic manufacturing, yet Indian firms remain vulnerable to shifting global trade policies, making market diversification critical. In FY24, India exported $1.96 billion worth of solar modules, with 98% ($1.93 billion) going to the U.S., prompting the government to leverage embassies in Africa and West Asia to assess regulatory landscapes and unlock new opportunities for major players like Waaree Energies, Adani Solar, Tata Power Solar, and Vikram Solar. 

⁠India’s dependency on China upstream imports on the rise (The Business Standard)

⁠India’s growing reliance on Chinese imports, which increased by an average of 6% annually from 2017 to 2023—particularly in chemicals, machinery, and electronics like microprocessors and semiconductors (rising tenfold to $5 billion)—contrasts with its declining exports to China, which fell by 2% per year over the same period, creating an asymmetric trade relationship. This shift is partly due to India’s post-Galwan restrictions on Chinese FDI, which limited domestic manufacturing by Chinese firms, even as India strengthened trade ties with the US and Europe, where its exports grew at annualized rates of 8% and 9%, respectively. Meanwhile, China’s role in ASEAN trade is expanding, supplying 25% of the region’s total imports in 2023 (up from 20% in 2017), while ASEAN’s electronics exports to the US surged by 18% annually from 2017 to 2023, reinforcing its role as an intermediary in the evolving China-US trade dynamic. 

⁠Centre plans to lease over 10 airports under PPP mode, begins consultations (The Hindu)

The Centre has initiated consultations on leasing over 10 airports under the public-private partnership (PPP) model, with an inter-ministerial process underway to finalize the list and concession terms, potentially including key regional hubs like Amritsar, Varanasi, Bhubaneswar, Indore, Raipur, and Tiruchi. The government is also considering bundling profitable and non-profitable airports to attract bidders, with Kushinagar, Gaya, Hubli, Aurangabad, and Tirupati among those under review. This move aligns with the National Monetisation Pipeline (NMP) to leverage private sector expertise for infrastructure upgrades, enhance passenger experience, and stimulate economic growth. 

⁠Ministries to be sensitised to US tariffs and trade deal (Financial Express)

The Commerce Ministry is set to engage with three to four ministries next week to discuss aspects of the proposed India-US bilateral trade agreement (BTA) and President Trump’s reciprocal tariff measures, with negotiations expected to begin soon. India and the US aim to finalize the first phase of the agreement by fall 2025 and expand bilateral trade from the current $200 billion to $500 billion by 2030, despite US tariff hikes on steel, aluminum, autos, pharma, and semiconductors under its “Fair and Reciprocal Plan.” While India maintains that its tariffs are reasonable—with 80-90% of US imports taxed below 10%—both nations see the BTA as a strategic step forward, given their complementary trade structures, with Commerce Minister Piyush Goyal highlighting the potential for mutual duty reductions. 

⁠K’taka Aims to Add 38 GW RE Capacity by FY35 (The Economic Times)

⁠Karnataka aims to add 38 GW of renewable energy capacity by FY35, with nearly half expected by FY30, complementing its existing 23 GW, which already constitutes 68% of the state’s energy mix. To address transmission congestion and land acquisition challenges, the state plans to involve stakeholders in project execution, develop battery energy storage solutions, and bid out an additional 35 GW of transmission capacity for seamless integration. Karnataka, among India’s top five renewable energy states, is also prioritizing distributed renewable energy to ease transmission burdens while ensuring a steady expansion of green power.