To address power shortages, the United States plans to add up to 10 new nuclear reactors, which may be paid for by Japan.

To address power shortages, the United States plans to add up to 10 new nuclear reactors, which may be paid for by Japan.

The US government plans to procure and own up to 10 newly built large nuclear reactors in response to the surge in electricity demand brought by data centers and the development of artificial intelligence.

On November 19, according to media reports, US Department of Energy Chief of Staff Carl Coe stated at an energy conference in the US, despite government intervention in the private market being contrary to convention, the current situation constitutes a “national emergency.”

Analysts believe this indicates that the Trump administration is attempting to use executive power to accelerate nuclear infrastructure construction to fill the energy gap.

In terms of funding, the plan may use the $550 billion investment previously promised by Japan. As part of the US-Japan trade agreement framework, Japan has agreed to invest approximately $332 billion into US energy projects, including investments in Westinghouse’s new AP1000 reactors and small modular reactors.

However, given Japan’s own fiscal situation, whether this funding will be fully in place, or if the US Treasury will need to fill the gap, remains uncertain.

This news has ignited high market attention to the nuclear sector, and is expected to bring a large influx of capital into the nuclear power supply chain. From reactor design and heavy manufacturing to uranium enrichment and safety monitoring equipment, leading companies in various sectors are considered potential beneficiaries.

Unconventional Intervention Under “National Emergency”

With the explosive growth in electricity demand from artificial intelligence data centers and the potential resurgence of domestic US manufacturing, the US power system is under significant pressure.

Previously, on his first day in office, President Trump declared an energy emergency and unlocked various domestic powers, including fast-track approvals, grid expansion, and bailouts for coal-fired plants.

Carl Coe stated bluntly at a conference hosted by the Tennessee Advanced Energy Business Council:

The government’s involvement in the private market is a sacred boundary—you normally don’t do this. But this is a national emergency.

Currently, the Department of Energy has not disclosed specific siting details. Coe said at the meeting, “We are deciding where to put them,” and expressed confidence about the successful implementation of the reactor projects.

In addition to directly purchasing reactors, earlier reports stated that the US will issue “hundreds of billions” in loans to the nuclear industry, including a $1 billion loan already issued to restart the Three Mile Island nuclear plant.

Potential Beneficiaries Across the Supply Chain

As the federal government plans to directly make purchases, the market speculates that numerous key players in the nuclear sector will benefit.

In reactor design and construction, Westinghouse, which owns the large reactor design (AP1000), is jointly held by Cameco and Brookfield Asset Management. Since this is the only large reactor design currently under discussion, these parties are already coordinating with the US government. Though GE-Hitachi owns boiling water reactor technology, it has focused in recent years on developing the small modular BWRX-300 reactor.

On the equipment and manufacturing side, BWX Technologies, the main nuclear contractor for the US government, may gain an increased role in heavy manufacturing.

Mirion Technologies, a leader in radiation safety and monitoring equipment, as well as Flowserve, a main supplier of nuclear pumps and valves, are both likely to receive a large number of orders. In its latest financial report, Flowserve noted a potential nuclear contract revenue stream of up to $10 billion.

In the fuel supply chain, Centrus Energy and Silex Systems’ expansions in low enriched uranium (LEU) and high-assay low enriched uranium (HALEU) production have attracted attention.

Additionally, US domestic uranium mining companies (such as UEC, EU, URG, UUUU) will also benefit from the federal government’s efforts to expand domestic uranium mining—this is not only for commercial expansion, but also for defense needs.

Revival After a Decade of Stagnation

Analysts believe that if this plan goes ahead, it will break the more than decade-long stalemate in US nuclear construction.

The last time the US began large-scale nuclear power plant construction was over ten years ago, and the industry suffered a blow due to Southern’s Vogtle project being $16 billion over budget and delayed by seven years, leading many energy companies to regard expensive large nuclear projects as no longer viable.

However, the AI boom has changed industry logic.

Xcel CEO Bob Frenzel stated earlier this year that large nuclear projects may become popular again.

With a red alert for electricity shortages, direct government intervention may be the critical push the industry needs to restart.

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