New Delhi, Jan. 14 -- India is set to overtake the US as the world's second-largest solar market in 2026, a BloombergNEF report said on Wednesday while projecting 6% growth in the country's total solar capacity addition during the year.

The report said that while India's solar additions would exceed 50 Gigawatt (GW) in 2026, solar capacity addition in the US is expected to drop 14% to 44 GW during this period.

Government subsidies are seen supporting growth in residential rooftop solar systems in India. On the other hand, solar capacity addition in the US would be impacted by the One Big Beautiful Bill Act.

"Projects that begin construction after the end of 2025 must comply with foreign entity of concern rules to qualify for tax credit...