US-Japan Seal $73 Billion Energy Investment Pact
In a significant expansion of bilateral ties, President Donald Trump and Japanese Prime Minister Sanae Takaichi announced Thursday a multibillion-dollar energy partnership during talks at the White House in Washington. The agreement includes up to $73 billion in Japanese investments for nuclear and natural gas projects across the United States, aimed at bolstering energy security and economic growth.
At the core of the deal is a $40 billion commitment to construct small modular reactors, or SMRs, in Tennessee and Alabama. These next-generation facilities, to be developed by GE Vernova and Hitachi, represent the first major commercial deployment of the technology in the United States. SMRs are designed to produce up to 300 megawatts of electricity per unit, offering a scalable, low-carbon alternative to traditional nuclear plants. Officials described the reactors as a stable power source capable of addressing rising electricity demands, including from data centers powering artificial intelligence development, while stabilizing prices and enhancing technological leadership for both nations.
Complementing the nuclear initiative, Japan pledged up to $33 billion for natural gas power...