TOKYO, March 4 - Japan and the United States are working to add a nuclear power project to the second round of initiatives tied to Tokyo's $550 billion investment pledge, two sources with knowledge of the discussions said. The project is reported to involve Westinghouse and is being positioned by officials as a means to reinforce bilateral energy supply chains as the war in the Middle East has heightened energy security concerns.
Those familiar with the talks said multiple deals remain under consideration and could be announced around the time Japanese Prime Minister Sanae Takaichi meets U.S. President Donald Trump in Washington on March 19. The sources requested anonymity because the negotiations are private.
Tokyo is under pressure to produce projects that fulfill the commitments made as part of the U.S. tariff agreement. To date, Japan has disclosed three initiatives worth $36 billion, including a natural gas-fired power plant in Ohio. In addition to the potential nuclear project, discussions have touched on a proposed copper smelting and refining facility, according to the sources.
In a move intended to advance the talks, Japan's Trade Minister Ryosei Akazawa is scheduled to travel to the United States from Thursday for meetings with U.S. Commerce Secretary Howard Lutnick, two separate sources close to the matter said. The visit is described as part of efforts to deepen bilateral negotiations on the investment package.
A joint fact sheet issued by the two governments in October listed roughly 20 companies that had shown interest in projects financed by Tokyo, and Westinghouse was among them. That document indicated the U.S. company - now owned by Cameco and Brookfield - is considering construction of pressurised water reactors and small modular reactors with potential activity totaling up to $100 billion. The fact sheet also mentioned Japanese industrial names such as Mitsubishi Heavy Industries, Toshiba and IHI as potential participants.
Separately, the fact sheet said the U.S. government last year entered into a partnership worth at least $80 billion with Westinghouse to build nuclear reactors. The partnership was cited in the context of U.S. efforts to expand domestic energy output as demand rises from growing infrastructure like artificial intelligence data centres.
The fact sheet further noted that Falcon Copper was weighing a $2 billion copper smelting and refining plant and was exploring the participation of Japanese suppliers and off-takers.
Officials and companies have been circumspect about the outcome of these discussions. An official at Japan's industry ministry said the government did not know how negotiations would conclude. Mitsubishi Heavy Industries said no decisions had been made and that it would evaluate any equipment supply proposals on a case-by-case basis. Toshiba declined to comment, while IHI said it would examine details should concrete talks materialise. Westinghouse and Falcon Copper were not reachable for comment outside their business hours.
Key points
- Japan and the U.S. are exploring inclusion of a Westinghouse-linked nuclear project in the second round of deals under Japan's $550 billion investment package; several deals could be announced during Prime Minister Takaichi's March 19 Washington visit.
- The package already includes three projects valued at $36 billion, including a natural gas power plant in Ohio; a $2 billion copper smelting and refining facility is also being considered.
- Industry participants potentially include Westinghouse - owned by Cameco and Brookfield - and Japanese firms such as Mitsubishi Heavy Industries, Toshiba and IHI; prior U.S. commitments with Westinghouse totalled at least $80 billion according to a government fact sheet.
Risks and uncertainties
- Negotiations remain unresolved - a Japan industry ministry official said the government did not know how talks would conclude, creating uncertainty for project timelines and market planning.
- Company commitments are not finalized - Mitsubishi Heavy said no decisions have been made, Toshiba declined comment and IHI said it would review details only if concrete talks emerge, leaving commercial involvement uncertain.
- Stakeholders were not universally reachable for comment - Westinghouse and Falcon Copper could not be contacted outside business hours, indicating limited public clarity on project specifics at present.