The US announces $17.5 billion in loans for nuclear power supply chain expansion, marking one of the country’s largest financial commitments to revitalize its commercial nuclear industry. Announced by the U.S. Department of Energy (DOE), the conditional loan program aims to strengthen domestic nuclear manufacturing, accelerate reactor construction, and support the nation’s long-term energy security goals. The funding comes as the United States seeks to construct 10 new large-scale nuclear reactors by 2030, while President Donald Trump has set an ambitious target of expanding U.S. nuclear generating capacity to 400 gigawatts (GW) by 2050, nearly four times today’s installed capacity.

Rising electricity demand from artificial intelligence (AI), cloud computing, and data centres has further increased interest in reliable, carbon-free baseload power, placing nuclear energy back at the centre of America’s energy strategy.

DOE Launches Major Nuclear Financing Program

The Department of Energy said the $17.5 billion financing package will help utilities and energy companies secure critical “long-lead” components required for nuclear power plants, including reactor pressure vessels, steam generators, and other specialized equipment that often take several years to manufacture and deliver.

According to U.S. Energy Secretary Chris Wright, securing these components early could shorten construction timelines for advanced Westinghouse AP1000 reactors, potentially bringing the national reactor deployment schedule forward by as much as three years.

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Supporting America’s Nuclear Supply Chain

The financing will be managed through the DOE’s Office of Energy Dominance Financing, formerly known as the Loan Programs Office. The program is expected to support up to five separate loans, with each project financing two 1.1-GW Westinghouse reactors.

Westinghouse will partner with utilities and energy companies to purchase reactor equipment at fixed prices, helping developers reduce procurement delays and improve cost certainty. Secretary Wright confirmed that seven utilities have already expressed interest, although project locations have not yet been disclosed.

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AI Boom Driving Electricity Demand

One of the biggest drivers behind the initiative is the rapid expansion of artificial intelligence infrastructure. Wright noted that the loan program has attracted strong interest from data centre hyperscalers and energy companies seeking reliable electricity supplies for AI computing and cloud services.

Unlike intermittent renewable energy sources, nuclear power provides continuous baseload electricity, making it an attractive option for powering energy-intensive digital infrastructure.

The announcement follows an earlier $80 billion agreement between the Department of Energy and the owners of Westinghouse Electric, Cameco, and Brookfield Asset Management, to help finance future reactor deployments while supporting permitting and project development.

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Reviving the U.S. Nuclear Industry

The US announces $17.5 billion in loans for nuclear power supply chain expansion, representing a broader effort to rebuild America’s domestic nuclear manufacturing capabilities after years of slow project development and investment challenges. Previous projects, including Georgia’s Vogtle Nuclear Plant, experienced significant construction delays and cost overruns, highlighting the need for stronger supply chains and earlier procurement planning.

In parallel, three previously closed nuclear plants, Palisades (Michigan), Three Mile Island (Pennsylvania), and Duane Arnold (Iowa), are moving toward restart, further supporting the country’s nuclear revival.

Industry leaders believe the new financing program could serve as a catalyst for expanding U.S. nuclear capacity while improving energy security, supporting economic growth, and providing reliable low-carbon electricity for decades to come.

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