Korea’s Next-Generation Nuclear Technology Reshapes the Global Clean Energy Market

As of November 2025, the global nuclear energy market is undergoing fundamental changes due to technological innovations by Korean companies. According to the latest report by the International Atomic Energy Agency (IAEA), the global SMR market size is projected to grow from $6.9 billion in 2024 to $23 billion by 2030, with Korean companies rapidly expanding their share. Particularly, the next-generation nuclear technologies developed by Korea Hydro & Nuclear Power (KHNP) and Doosan Enerbility are gaining attention in the U.S., Europe, and Middle East markets, emerging as new growth drivers. These changes play a crucial role not only in technological advancement but also in achieving global energy security and carbon neutrality goals.

Korea’s nuclear technology superiority is based on over 40 years of accumulated experience in design, construction, and operation. Currently, Korea records the highest nuclear plant operation rate in the world at 95.3%, surpassing the U.S. at 92.8% and France at 90.1%. Notably, Korea’s APR1400 (Advanced Power Reactor 1400MW) technology has proven its safety and economic efficiency through the Barakah nuclear power project in the United Arab Emirates (UAE). Since its commercial operation began in 2020, Barakah Unit 1 has been producing 14 billion kWh of electricity annually, accounting for 25% of the UAE’s total power demand. The success of this project has significantly boosted the international credibility of Korean nuclear technology, achieving a total contract value of $20 billion.

In the SMR sector, Korea’s technological edge is even more pronounced. The SMART (System-integrated Modular Advanced ReacTor) being developed by KHNP is a 100MW class integrated small reactor, offering advantages such as reducing construction time by 50% and initial investment costs by 40% compared to traditional large reactors. As of 2025, demonstration projects for SMART technology are underway in Saudi Arabia and Argentina, with contracts valued at $1.5 billion and $800 million, respectively. The Saudi Arabia project, in particular, aims to commence construction in 2026, marking the first commercial SMR case in the Middle East.

Doosan Enerbility holds the number one global market share in SMR core components. The reactor pressure vessels and steam generators produced by the company are supplied to over 60% of SMR projects worldwide, with a total order backlog of $3.4 billion as of the first half of 2025. Compared to NuScale Power in the U.S. and Rolls-Royce SMR in the UK, Doosan Enerbility’s technology shows superiority in manufacturing efficiency and cost competitiveness. While NuScale’s VOYGR system requires $5.8 billion in construction costs per 77MW module, Korea’s SMART technology offers 100MW output at $3.5 billion, with construction costs about 40% lower per kW.

Commercialization Race for Fourth-Generation Nuclear Technology

In the field of fourth-generation nuclear technology, Korea is accelerating its technological development. The Very High Temperature Reactor (VHTR) technology being developed by the Korea Atomic Energy Research Institute (KAERI) can achieve a thermal efficiency of 50% at an operating temperature of 950°C, significantly improved from the 33% of existing light water reactors. This technology is versatile, suitable for power generation, hydrogen production, seawater desalination, and industrial process heat supply. Korea is currently pursuing the construction of a demonstration plant capable of producing 200,000 tons of clean hydrogen annually, with a total project cost of $1.2 billion.

Internationally, the U.S.’s TerraPower is competing to commercialize Sodium-cooled Fast Reactor (SFR) technology, while China is working on High Temperature Gas-cooled Reactor (HTR-PM) technology. TerraPower’s Natrium reactor aims for commercial operation by 2028 with a 345MW output, backed by a $1 billion investment from Breakthrough Energy, founded by Bill Gates. Although China’s HTR-PM began commercial operation in 2021, its 200MW output shows economic limitations. In contrast, Korea’s VHTR technology aims to develop a 600MW commercial model, expected to achieve economies of scale.

Korea’s technological innovation in nuclear fuel is also noteworthy. The Accident Tolerant Fuel (ATF) developed by Korea Nuclear Fuel can maintain safety even in extreme situations like the Fukushima nuclear accident. This fuel uses chromium-coated or SiC composite materials instead of traditional zirconium cladding, suppressing hydrogen generation at temperatures above 1200°C. Compared to ATF being developed by the U.S.’s Westinghouse and France’s Framatome, Korean technology simplifies the manufacturing process by 20% and reduces production costs by 15%. Korea Nuclear Fuel currently has an annual production capacity of 1,400 tons of ATF and plans to start full-scale commercial supply by 2026.

Korean companies are also leading the digital transformation of the nuclear industry. The digital nuclear design platform developed by Korea Electric Power Corporation Engineering & Construction (KEPCO E&C) utilizes AI and big data to reduce design time from 36 months to 24 months and cut design errors by over 90%. This platform integrates virtual reality (VR) technology, allowing pre-verification through 3D simulation at all construction stages, identifying and resolving potential issues in advance. Although global engineering firms like France’s EDF and the U.S.’s Bechtel are developing similar digital tools, Korean technology holds an advantage in database completeness based on APR1400 design experience.

Geopolitical Shifts in the Global Nuclear Market

As of 2025, the geopolitical landscape of the global nuclear market is undergoing significant changes. With Western countries’ policies to reduce dependence on Russian energy, new suppliers are emerging from a structure where Russia’s Rosatom dominated over 50% of the global nuclear construction market. This shift presents unprecedented opportunities for the Korean nuclear industry. The European Union reclassified nuclear energy as a clean energy source as part of the 2024 REPowerEU plan, setting a goal to expand nuclear capacity by 150GW by 2030. This represents a market opportunity worth approximately €300 billion, creating an environment conducive to active entry by Korean companies.

Poland is a representative example of this change. The Polish government announced plans to construct a total of six nuclear plants by 2033, with the first project selecting the U.S.’s Westinghouse AP1000 technology. However, from the second project onwards, Korea’s APR1400 technology is being considered a strong candidate. According to a Polish Ministry of Energy official, Korean technology scores high in predictability of construction schedules and cost efficiency, with the successful operation of the UAE Barakah plant being positively evaluated. The Polish nuclear market is estimated at $40 billion, and if Korea secures more than 50% of the share, it could expect contract effects exceeding $20 billion.

The Czech Republic and Slovakia are in similar situations. The Czech Republic is promoting the construction of two new nuclear plants through the Dukovany expansion project, with a consortium of KHNP and Doosan Enerbility competing against France’s EDF and the U.S.’s Westinghouse. In a technical evaluation conducted by the Czech Ministry of Industry and Trade, Korean technology scored the highest with 95 points in safety and 92 points in economic efficiency. The project is valued at $17 billion, with the final contractor selection scheduled for December 2025. Slovakia’s Bohunice Units 3 and 4 project is also valued at $9 billion, with Korean companies showing strong competitiveness.

Interest in Korean nuclear technology is also rising in the Asia-Pacific region. The Philippines has decided to resume nuclear construction after 40 years, planning to build two 600MW SMRs at the Bataan site. The Philippine Department of Energy has designated Korea’s SMART technology as a priority for consideration, representing a $4.5 billion project. Vietnam has also announced plans to construct 4GW of nuclear capacity by 2030, discussing cooperation plans with Korean companies. The Vietnamese government highly values Korea’s technology transfer and local workforce training programs, which serve as differentiated competitive advantages over Chinese or Russian technology.

In the Middle East, additional contract opportunities are expanding based on the success of the UAE Barakah plant. The UAE plans to construct an additional 14.4GW of nuclear capacity by 2050, aiming to pursue this through long-term partnerships with Korean companies. Saudi Arabia plans to construct 2.8GW of nuclear capacity by 2032, along with SMR-based desalination plants. The Saudi Ministry of Energy highly values Korea’s nuclear-desalination linkage technology, providing a market opportunity worth a total of $15 billion. Egypt and Turkey are also planning to construct 4.8GW and 4.5GW of nuclear capacity, respectively, significantly expanding the growth potential of the Korean nuclear industry throughout the Middle East.

However, along with these opportunities come challenges. First, the complexity of the global supply chain is increasing. The supply chain for key components such as special steel for reactor pressure vessels, nuclear fuel, and control systems is exposed to geopolitical risks, directly impacting project schedules and costs. Second, regulatory requirements in each country are becoming increasingly stringent. Strengthened safety regulations and environmental assessment procedures following the Fukushima accident are extending licensing periods, increasing business risks. Third, competition with renewable energy is intensifying. As the costs of solar and wind power continue to decline, the economic advantage of nuclear energy is weakening. As of 2025, the cost of solar power is at 3-5 cents per kWh, maintaining a competitive edge over new nuclear plants at 7-9 cents.

To address these challenges, the Korean nuclear industry is pursuing technological innovation and diversification of business models. KHNP is set to fully implement the ‘Nuclear Plus’ strategy from the second half of 2025, developing integrated solutions that package nuclear construction with additional services such as desalination, hydrogen production, and data center power supply. This strategy is analyzed to potentially enhance the economic efficiency of nuclear power by 20-30%, with the advantage of simultaneously meeting various energy demands of client countries. Doosan Enerbility is focusing on reducing construction time and costs through modular manufacturing technology, planning to increase the factory production ratio of SMR core components to over 80% by 2026.

The future outlook for the Korean nuclear industry is very bright. The International Energy Agency (IEA) analyzed that nuclear power capacity needs to double to 812GW by 2050 under the carbon neutrality scenario, representing a market opportunity worth about $5 trillion. If Korea secures a 15-20% market share globally based on its current technological superiority and project execution capabilities, it could expect contract effects of $40-50 billion annually over the next 25 years. This impact on the Korean economy is equivalent to 2-3% of annual GDP, with the potential to grow as a new export-leading industry following shipbuilding and semiconductors. Particularly in the fields of SMR and fourth-generation nuclear technology, Korea’s technological leadership is expected to provide sustained competitive advantages over the next decade, positioning Korea as a key nation leading the global clean energy transition.

*The information in this article is based on data as of November 25, 2025, and may change with market conditions and technological developments. It is recommended to conduct further research and consult experts when making investment decisions.*