Doosan Energy has decided to build a dedicated small modular reactor plant in Changwon, South Gyeongsang Province, officially launching a large-scale equipment investment of over 800 billion won. This is a proactive measure to address the growing demand for nuclear power technology driven by changing global energy demands and the proliferation of AI data centers.
On December 17, 2025, the company announced that its board of directors had approved a new investment plan totaling 806.8 billion Korean won. The investment period will run from March 2026 to June 2031, approximately 5 years and 3 months, and will primarily involve the construction of a dedicated SMR manufacturing plant, optimization of existing factory equipment, and the development of an innovative manufacturing system centered on automation and digitalization. Through this initiative, the company plans to achieve an annual production capacity of 20 SMR units.
This decision stems from the faster-than-expected growth of the SMR market due to the global proliferation of artificial intelligence technology. In particular, with the surge in power demand from large data centers, the United States and other countries are increasingly focusing on small reactors capable of providing stable and clean power.
In fact, Doosan Energy recently signed a preliminary contract with X-energy, a leading SMR developer in the United States, to supply 16 sets of forgings (components required for heavy equipment). This contract is also interpreted as a signal that the demand for SMRs in the United States is transforming from a potential market into actual demand. The company stated that it is currently expanding its cooperation with other major SMR companies in the United States, such as TerraPower and Newscare, to strengthen its foundation for entering the North American market.
These trends reflect the transformation of the nuclear power industry, which is centered on traditional large reactors, towards miniaturization and modularization. SMRs are emerging as an alternative to existing reactors in terms of safety and economics, and are also attracting attention in the energy strategies of major countries that are promoting carbon neutrality.
Such investments are likely to provide South Korean companies with a competitive edge to meet future global demand for SMRs. However, given that securing technological strength in the initial market and transitioning to the commercialization stage are crucial, it is expected that continued expansion of overseas partnerships and simultaneous advancement of institutional support from the public sector will be necessary.
