Rising demand for nuclear fuels: security, supply and the AI power boom

The nuclear industry is set for rapid expansion as the desire for firm 24/7 power grows as a result of the AI boom. The entire industry is gearing up to support this ramp-up but there are real concerns over whether fuel supply chains can keep up with demand. Not only will more fuel be needed than ever before but a far wider range of fuels is required at a time when energy security concerns are growing. What are the main supply considerations and how can they be overcome?  

Nuclear investment is beginning to take-off and the range of technologies on offer is widening, with the governments of more than 70 countries considering new commercial reactors. Under Wood Mackenzie’s base case scenario, global installed nuclear capacity will more than double by 2060 on the back of electrification, data centre demand and energy security concerns.  

Through 2035, reactor lifetime extensions and restarts will be used to meet short-term power demand from data centres. Thereafter, there will be growth in both conventional and next-generation nuclear, with standardisation, factory manufacturing and smoother licensing frameworks helping to drive fleet expansion.  

The big question is whether the supply chain will be ready. Private capital from AI hyperscalers is injecting innovation and scale into the market. New nuclear fuels are emerging, while geopolitical and energy security concerns are prompting governments to support increased nuclear fuel production and restrict exports.  

Wood Mackenzie’s ‘Global nuclear fuel strategic planning outlook 2026’ report examines these factors and the other trends transforming the supply chain, including mining, conversion, enrichment and fuel fabrication. You can fill in the form on this page to access an extract from it, containing detailed analysis from across the fuel supply chain, and read on for a short introduction.

How much investment will be needed? 

Wood Mackenzie's base case sees global nuclear capacity more than doubling by 2060, creating a US$3.1 trillion investment opportunity as existing fleets expand and dozens of additional countries pursue commercial nuclear power.

In the near term, reactor lifetime extensions and plant restarts will help meet growing electricity demand from data centres. Beyond 2035, conventional reactors and next-generation designs are expected to drive a new phase of growth, supported by advances in manufacturing, standardisation and licensing.

But how quickly can next-generation technologies move from demonstration projects to large-scale deployment, and which regions are best positioned to lead?

Fill in the form to access the full report extract, including our outlook for global nuclear investment and capacity growth through 2060.

Will fuel supply chains become the biggest constraint? 

While today's market appears relatively well supplied, that picture changes as nuclear deployment accelerates. Capacity exists across much of the fuel cycle, but geopolitical tensions, trade restrictions and regional concentration mean access is becoming just as important as availability.

Our latest report examines how constraints could emerge across uranium mining, conversion, enrichment and fuel fabrication as demand rises over the coming decades.

Which stages of the fuel cycle are most exposed, where are the greatest investment opportunities, and how could governments respond?

Download the report extract for our detailed assessment of future supply chain risks and opportunities across every stage of the nuclear fuel cycle.

Where are the biggest bottlenecks likely to emerge?

From uranium mining to enrichment, each stage of the fuel cycle faces different challenges. Production remains concentrated in a relatively small number of countries, while long development timelines make it difficult for new capacity to come online quickly.

Our analysis suggests that some parts of the supply chain could tighten significantly during the 2030s as demand accelerates, particularly if geopolitical tensions continue to reshape global trade flows.

Which part of the fuel cycle presents the greatest long-term risk to nuclear expansion, and what level of investment will be needed to avoid supply shortages?

Fill in the form to explore our forecasts for mining, conversion, enrichment and fabrication capacity through 2060.

Which nuclear fuels will shape the next generation of reactors?

Emerging fuels such as HALEU, TRISO, thorium-based fuels, molten salt fuels and accident-tolerant fuels are expanding the range of reactor technologies under development. As these technologies mature, they will require dedicated manufacturing capacity and entirely new supply chains.

At the same time, governments are increasingly treating advanced fuel production as a strategic priority to improve energy security and reduce reliance on existing suppliers.

Which fuel technologies are likely to see the strongest growth, and what will this mean for investors, developers and the wider nuclear industry?

Download your complimentary report extract for Wood Mackenzie's analysis of the future nuclear fuel mix and the evolving economics of advanced fuel supply chains.

Learn more about the future of nuclear

Wood Mackenzie's Global nuclear fuel strategic planning outlook 2026 provides detailed analysis of the trends reshaping the nuclear fuel industry, including long-term forecasts for demand, investment, supply chain capacity and emerging fuel technologies.

Fill in the form on this page to access your complimentary report extract and discover what lies ahead for the global nuclear fuel market.