The United States and Japan have announced a $40 billion investment in nuclear energy projects following high-level talks in Washington between President Donald Trump and Japanese Prime Minister Sanae Takaichi.
The initiative will focus on constructing small modular reactors (SMRs) in Tennessee and Alabama. The announcement comes as part of a broader economic agreement under which Japan committed to investing $550 billion in the US economy by 2029.
In addition to the nuclear projects, both countries revealed plans to invest $33 billion in natural gas power facilities located in Pennsylvania and Texas.
The latest development builds on earlier commitments made in February, when the two nations unveiled $36 billion in funding for three major infrastructure projects under their joint investment framework.
According to a joint statement, the new projects are expected to boost economic growth, enhance energy security, and strengthen the long-standing alliance between the United States and Japan.
Officials highlighted the role of next-generation SMRs, to be developed by GE Vernova Hitachi, describing them as a reliable power source that could help stabilise electricity prices and reinforce both nations’ competitiveness in global technology.
The two countries also introduced a joint action plan to secure critical mineral supply chains, amid growing concerns over China’s dominance in the sector. The plan includes discussions on coordinated trade strategies and pricing mechanisms, particularly targeting key minerals essential for advanced technologies.
