9DECEMBER 2025VIKRAM SOLAR LAUNCHES 5 GW AUTOMATED MODULE PLANT IN TAMIL NADUCABINET APPROVES RS.7280 CR PUSH FOR RARE EARTH MAGNET MANUFACTURINGVikram Solar has rolled out a major expansion today with the commissioning of its new 5 GW solar module manufacturing facility in Vallam, Tamil Nadu.The move lifts the company's total production capacity to 9.5 GW and adds one of India's most advanced automated clean-energy sites to the country's manufacturing map.The new unit spans 27,000 square metres and operates as a fully automated, next-gen production hub. Robotics-The Union Cabinet today approved a bold move to boost rare earth permanent magnet (REPM) manufacturing in India, marking a major shift in the country's industrial strategy.With an outlay of Rs.7280 crore, the scheme aims to build 6,000 MTPA of integrated REPM capacity--India's first such setup.REPMs are among the strongest magnets used worldwide, powering electric vehicles, wind turbines, driven handling, in-line quality checks, and automated packaging systems shape the core of the plant, setting a strong benchmark for speed, accuracy and reliability in India's solar manufacturing landscape.Built on TOPCon technology, the Vallam factory is engineered for smooth upgrades to HJT and supports M10, G12 and G12R formats. According to Vikram Solar, this high level of automation is expected to deliver stronger module consistency, lower failure rates, reduced degradation and faster delivery schedules for customers across the sector.The commissioning also deepens the company's footprint in Tamil Nadu. The Vallam unit adds to its existing Oragadam facility and follows the foundation ceremony of its upcoming Gangaikondan plant, signalling a wider push to scale domestic clean-tech manufacturing."Vallam is a defining milestone for Vikram Solar and for India's solar manufacturing story. Commissioning this 5 GW facility within the year was a bold commitment, and delivering on it signals our readiness for the scale, speed, and innovation the next decade demands," said Vikram Solar Chairman and MD Gyanesh Chaudhary.Modules from the Vallam facility will serve utility-scale developers, commercial and industrial buyers, and distributed generation projects nationwide, strengthening India's growing solar value chain. electronics, aerospace systems, and defense technologies. Until now, India relied heavily on imports. This approval sets the stage for a domestic ecosystem where rare earth oxides will be turned into metals, then alloys, and finally into finished REPMs.Demand for rare earth permanent magnets in India is rising fast, expected to double by 2030 as EVs, renewable energy, and high-tech manufacturing scale up. The scheme positions Indian industry to meet this surge while strengthening the nation's strategic supply chain.Of the total outlay, Rs.6450 crore has been reserved as sales-linked incentives over five years, while Rs.750 crore will support capital investment. Capacity will be distributed among five beneficiaries, each receiving up to 1,200 MTPA through global competitive bidding.The scheme will run for seven years, including a two-year setup period and five years of incentive disbursement. Once operational, these facilities are expected to create jobs, boost self-reliance, and support India's journey toward Net Zero by 2070.This decision marks a crucial step toward building a competitive, technology-driven industrial base aligned with the vision of Viksit Bharat @2047, giving India a stronger foothold in the global REPM market.
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