India seen hoarding Chinese solar cells before safeguard duty kicks in

India’s plan to cut imports of Chinese solar cells and modules by imposing a safeguard duty may have the opposite effect in the short run, according to ICBC International Research Ltd.
Stockpiles could rise rapidly as Indian developers hoard more modules before the proposal to impose a 25 per cent safeguard tariff is expected to take effect in the next two to three months, ICBC’s Hong Kong-based analysts including Harry Wong said in an emailed note Thursday. The South Asian nation will continue to rely heavily on imports from China over the next one to two years as imports will remain cheaper than domestic production even with the tariff.