Borosil Renewables share price climbs 8% as govt imposes anti-dumping duty on solar glass imports

Stock Market Today: Shares of Borosil Renewables, a leading solar glass manufacturer and subsidiary of the Borosil Group, witnessed a significant surge during intraday trade on Friday, December 06, climbing 8% to ₹552.85 per share.

The rally comes after the Ministry of Finance (Department of Revenue) imposed a provisional anti-dumping duty on imports of solar glass from China and Vietnam. In its notification dated December 4, 2024, the Ministry of Finance announced the duty on Textured Tempered Coated and Uncoated Glass, effective for six months from the date of issuance, unless revoked, amended, or superseded earlier.

The product is also known by various names, such as solar glass or solar photovoltaic glass, in the market parlance.

Exporters from China/Vietnam have slashed the solar glass FOB prices by as much as 32% between June and September, bringing the domestic prices to unsustainable levels and endangering survival.

Earlier in November, the Ministry of Commerce recommended the imposition of an anti-dumping duty of up to USD 677 per tonne on imports of certain types of solar glass from China and Vietnam, aiming to protect domestic producers.

In its preliminary findings, the Directorate General of Trade Remedies (DGTR), a division of the ministry, concluded that ‘Textured Toughened (Tempered) Coated and Uncoated Glass” was being exported to India at prices below normal value, resulting in dumping.

The DGTR notification dated November 05, 2024, further stated that imports from these countries have caused material injury to the domestic industry. Meanwhile, India has already imposed anti-dumping duties on several products to address the influx of cheap imports from various countries, including China.

Stock up 22% in December

So far this month, the stock has surged 22%, recovering after a downward trajectory between August and November 2024, during which it lost 20% of its value.

Borosil Renewables, the first producer of solar glass in the country, plays a key role in the production of low iron, textured solar glass, which is used in the manufacturing of solar photovoltaic modules for the power sector.

With power demand on the rise, solar power has remained the largest source of new power capacity additions for the past seven years. The Indian government’s ambitious goal to achieve 280 GW of solar power installations by 2030, along with initiatives like the imposition of BCD and PLI schemes, as well as a preference for domestic solar modules, is driving a continuous increase in the demand for solar glass in India.

FY24 has witnessed the highest-ever annual solar installations of 15 GW. With clarity on ALMM, a hike in the module manufacturing capacity, low prices of solar cells/modules, and a strong focus on renewables, the pace of growth in installations is expected to accelerate significantly.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.