Global Solar PV Market Growth in 2025: India Climbs to Second Place

According to the latest preliminary data from the International Energy Agency, the global solar photovoltaic market continued its robust expansion in 2025, reaching approximately 700 gigawatts of new capacity. This represents a 16 percent increase compared to the previous year, highlighting the persistent momentum in the global transition toward renewable energy.

China remains the undisputed leader in the solar sector, contributing approximately 415 gigawatts of new installations, which accounts for roughly 60 percent of the annual global additions. The market structure continues to be dominated by utility-scale power plants, which represent about 60 percent of the newly added capacity, with the remaining 40 percent coming from distributed solar systems.

A significant shift occurred in the global rankings this year as India surged to the second position with 55.9 gigawatts of new installations. This reflects India's aggressive pursuit of renewable energy targets and rapid scaling of its manufacturing and installation infrastructure. The United States followed in third place, with 43.2 gigawatts of new capacity.

While the market has seen consistent double-digit growth over the past five years, experts note a slight deceleration in the overall growth rate. This maturing phase of the industry shifts the focus from simple deployment volume to the challenges of system integration, grid infrastructure, and long-term economic sustainability. Nearly 40 countries installed at least one gigawatt of new solar capacity in 2025, demonstrating the geographical diversification of the energy transition.