As the U.S. Investment Special Law (the Special Law for the Operation and Management of Strategic Investments between the Republic of Korea and the United States) is set to take effect, K-nuclear power companies are emerging as key beneficiaries. With the U.S. expanding investments in artificial intelligence (AI) data centers and advanced manufacturing to address rising energy demands, analysts suggest that the $350 billion investment agreement with the U.S. could lead to an expansion of nuclear power.
According to industry sources, the U.S. Investment Special Law will come into effect on June 18. This law provides the legal framework for implementing the $350 billion investment agreed upon by South Korea and the U.S., focusing on the establishment of the Korea-U.S. Strategic Investment Corporation and the Korea-U.S. Strategic Investment Fund. The government emphasizes that U.S. investments should be driven by commercial viability and should prioritize national interests, including economic development and industrial competitiveness.
While specific investment targets have not yet been disclosed, the increasing investments related to U.S. AI data centers position nuclear power as a strong candidate. As electricity demand rises and supply struggles to keep pace, stable power sources are becoming increasingly important. Relying solely on renewable energy to meet 24-hour electricity demands is challenging, making nuclear power and small modular reactors (SMRs) attractive as low-carbon baseload power sources.
In this context, Doosan Enerbility, a leading South Korean company capable of manufacturing essential nuclear components such as reactors and steam generators, is drawing attention. The company has established large forging facilities and automated welding systems dedicated to SMRs at its headquarters in Changwon, allowing it to begin production immediately upon design confirmation, thus enhancing its competitive edge.
Notably, the U.S. nuclear market is experiencing demand not only for new large reactors but also for SMRs, extending the lifespan of existing reactors, and reinforcing power infrastructure. Doosan Enerbility is involved in various next-generation nuclear technologies, including light-water-based SMRs, sodium-cooled fast reactors, high-temperature gas reactors, and maintenance technologies. Should U.S. investment projects expand into SMRs or next-generation nuclear power, analysts suggest that Doosan Enerbility could play a significant role in the supply chain based on its diverse portfolio.
Professor Jeong Beom-jin from Kyung Hee University’s Department of Nuclear Engineering stated, "One of the areas where South Korea can minimize losses during the U.S. investment process is nuclear energy investment. Our manufacturing sector has sufficient capabilities, and we can expect a reinvestment of funds back into the domestic economy." He added, "Doosan Enerbility is connected to over 800 partner companies, indicating that the benefits could extend to small and medium-sized suppliers as well."
* This article has been translated by AI.
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