Nuclear Power Plant Equipment Market Size was valued at USD 15.2 Billion in 2022. The Nuclear Power Plant Equipment Market industry is projected to grow from USD 15.80 Billion in 2023 to USD 21.63 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.00% during the forecast period (2023 - 2032). The global trend of rapid industrialization, which is accompanied by an escalating demand for energy worldwide, and the ability of nuclear power plants to generate large amounts of energy are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for the nuclear power plant equipment is being driven by the Increasing demand for project and task management solutions. The increasing global demand for energy and the increasing focus on clean electricity production is a driving forces behind the growth in market revenue. According to the International Energy Agency (IEA), Global electricity demand is undergoing some notable shifts in growth. In 2022, it's anticipated to rise by 2.4%, which is slightly below the earlier projected 3% forecast made in January. Furthermore, this trend is expected to continue into 2023, with demand maintaining a similar growth rate. It's worth noting that this is a departure from the 6% surge witnessed in 2021, aligning more closely with the five-year average that prevailed before the onset of the COVID-19 pandemic. Within the Asia-Pacific region, demand growth is anticipated to reach 3.4% in 2022, marking a decrease of one percentage point from previous expectations. However, in 2023, it is expected to rebound and increase by 4%.
In the Middle East, a steady rise of 2% in demand is foreseen for both 2022 and 2023. Meanwhile, in Africa, demand is projected to grow by 4% in 2022 and then moderate to 3% in 2023. These dynamics highlight the evolving landscape of global electricity demand. Countries worldwide are seeking efficient and environmentally friendly energy solutions, such as nuclear power plants, to address their growing energy needs. For example, Abu Dhabi National Oil Co. (ADNOC) recently signed a contract to power its operations with solar and nuclear energy, marking a significant step towards decarbonizing its power supply. ADNOC's initiative demonstrates the increasing adoption of clean energy sources within the oil and gas industry. Additionally, the World Nuclear Association (WNA) has set a target for nuclear energy to contribute 25% of the world's electricity by 2050, necessitating the establishment of around 1000 GW of new nuclear capacity. This presents substantial opportunities for key players in the market.
As a result, it is anticipated that throughout the projection period, demand for the Nuclear Power Plant Equipment Market will increase due to the increasing global demand for energy and the increasing focus on clean electricity production. Thus, driving the Nuclear Power Plant Equipment Market revenue.
The Nuclear Power Plant Equipment Market segmentation, based on Equipment Type includes Island Equipment and Auxiliary Equipment. The auxiliary equipment segment dominated the market, accounting for 58% of market revenue (8.82 Billion). The growth in this sector can be attributed to the reliability-enhancing features of auxiliary equipment, which are becoming increasingly important as the safety standards for nuclear power plants are on the rise. These equipment components play a critical role in ensuring radiation protection, safety systems, and specialized water purification processes within nuclear power plants, further bolstering their significance in the industry.
Figure 1: Nuclear Power Plant Equipment Market by Equipment Type, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
The Nuclear Power Plant Equipment Market segmentation, based on Reactor Type, includes Pressurized Water Reactors (PWR), Boiling Water Reactors (BWR), Pressurized Heavy Water Reactors (PHWR), and Others. The Pressurized Water Reactors (PWR) segment dominated the market, accounting for 55% of market revenue (8.36 Billion). The Pressurized Water Reactor (PWR) reactor type is anticipated to emerge as the most profitable segment in the market, primarily due to its durability and suitability for warm altitude environments. This reactor type offers a straightforward and robust safety profile, making it an attractive choice. Additionally, PWR reactors excel in preventing the contamination of water with radioactive materials, thereby minimizing environmental impact.
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The primary driver of economic growth in the North American region is the growing investment in nuclear power facilities. Furthermore, the increasing awareness of renewable energy sources and the surging demand for electricity are expected to drive market expansion in the foreseeable future. According to IEA, as of 2019, the United States had established an impressive installed renewable energy capacity exceeding 264,504 megawatts (MW). In 2018, renewables played a significant role in the country's electricity landscape, contributing 458.5 terawatt-hours (TWh) of net electricity generation. The renewables sector continued to gain momentum, constituting 18.3% of the total electricity generation in 2019. Among the key drivers of this growth were hydro, wind, and solar energy sources. Looking ahead, the renewable energy sector is anticipated to further strengthen its position, with a projected share of 24% in total electricity generation by the year 2030.
Further, the major countries studied in the market report are The US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Nuclear Power Plant Equipment Market Share By Region 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Nuclear Power Plant Equipment Market accounts for the second-largest market share, driven by numerous ongoing contracts initiated by the French Government. A notable example is the French President's announcement in October 2021, outlining a strategic plan worth EUR 30 billion (approximately USD 34.20 billion) aimed at bolstering high-tech sectors and advancing France's nuclear energy capabilities, including a shift towards small modular nuclear reactors. These initiatives are expected to have a positive impact on the market in the region. Further, the German Nuclear Power Plant Equipment Market held the largest market share, and the UK Nuclear Power Plant Equipment Market was the fastest-growing market in the European region
The Asia-Pacific Nuclear Power Plant Equipment Market is expected to grow at the fastest CAGR from 2023 to 2032. The significant growth in this region's market can be attributed to the surging demand for power. The Chinese government has ambitious plans to expand its nuclear capacity to 58 GW by 2020-21 and 150 GW by 2030, backed by a comprehensive drive-build program for nuclear power. This robust project pipeline augments the prospects of the nuclear power plant equipment market. Additionally, the Indian government has set an ambitious target of sourcing 25% of the country's electricity from nuclear energy by 2050, a substantial increase from the current 2.5%. Consequently, the market is poised for growth in line with these strategic objectives. Moreover, China’s Nuclear Power Plant Equipment Market held the largest market share, and the Indian Nuclear Power Plant Equipment Market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development to expand their product lines, which will help the Nuclear Power Plant Equipment Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Nuclear Power Plant Equipment industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Nuclear Power Plant Equipment industry to benefit clients and increase the market sector. In recent years, the Nuclear Power Plant Equipment industry has offered some of the most significant advantages to meeting the world's growing energy demands while reducing greenhouse gas emissions. Major players in the Nuclear Power Plant Equipment market, including General Electric (U.S.), Alstom (France), Shanghai Electric (China), Toshiba Corporation (Japan), Korea Electric Power Corporation (South Korea), Larsen & Toubro Limited (India), Mitsubishi Heavy Industries, LTD. (Japan), Doosan Corporation (South Korea), Dongfang Electric Corp., Ltd. (China), The State Atomic Energy Corporation (India), BWX Technologies, Inc. (U.S.), AREVA (France), are attempting to increase market demand by investing in research and technological development.
General Electric is a diversified industrial conglomerate known for its comprehensive portfolio of industrial, infrastructure, and financial products and services. The company's offerings span various sectors, including aircraft engines, healthcare systems, power generation, and oil and gas equipment, along with a presence in medical imaging, financing, and industrial products. GE serves a wide array of industries, including water, oil and gas, power, energy management, aviation, healthcare, digital technology, transportation, appliances, and lighting, among others. With a global footprint and manufacturing facilities worldwide, GE operates in North America, Europe, Asia, the Middle East, Africa, and other regions. The company's headquarters are located in Boston, Massachusetts, in the United States. In November 2022, GE announced an agreement to divest its nuclear activities within GE Steam Power to EDF. This transaction encompasses steam turbine technology, including the European pressurized reactors and compact modular reactors. GE Steam Power's activities involve the manufacturing of conventional island equipment for new nuclear power plants.
BWX Technologies Inc. is a specialized manufacturer focused on nuclear components, renowned for its expertise in designing, engineering, and manufacturing precision naval nuclear components, reactors, and nuclear fuel components primarily for the US government. Additionally, BWXT offers specialized nuclear material processing and environmental site restoration services. The company's diversified portfolio extends to the production of medical radioisotopes, radiopharmaceuticals, and other technical, management, and site services that facilitate the operation of complex facilities and environmental remediation efforts for various government entities. BWXT serves both the US Government and utilities, as well as other power producers in the United States, Canada, and beyond. With manufacturing facilities situated in the United States and Canada, BWXT is headquartered in Lynchburg, Virginia. In October 2021, BWXT Canada Ltd. (BWXT Canada) and GE Hitachi Nuclear Energy (GEH) entered into a collaborative agreement to jointly engage in engineering and procurement activities aimed at supporting the design, production, and commercialization of the BWRX-300 compact modular reactor.
February 2022: In February 2022, In February 2022, General Electric (GE) agreed to divest its nuclear power business segment to Electricite de France (EDF). Nuclear power entails the production of electricity through controlled nuclear reactions, including nuclear fission, nuclear decay, and nuclear fusion processes. Presently, the predominant method for generating nuclear power is through nuclear fission of materials like uranium and plutonium in specialized nuclear power plants. This strategic move by GE represents a significant development in the nuclear power industry.
June 2022 In June 2022, the U.S. Department of Defense (DoD) awarded BWX Technologies (BWX) a contract to develop and build the country's inaugural state-of-the-art nuclear microreactor. This contract signifies a noteworthy advancement in the field of nuclear technology and energy production.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 15.2 Billion |
| Market Size 2023 | USD 15.80 Billion |
| Market Size 2032 | USD 21.63 Billion |
| Compound Annual Growth Rate (CAGR) | 4.00% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Equipment Type, Reactor Type, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | General Electric (U.S.), Alstom (France), Shanghai Electric (China), Toshiba Corporation (Japan), Korea Electric Power Corporation (South Korea), Larsen & Toubro Limited (India), Mitsubishi Heavy Industries, LTD. (Japan), Doosan Corporation (South Korea), Dongfang Electric Corp., Ltd. (China), The State Atomic Energy Corporation (India), BWX Technologies, Inc. (U.S.), AREVA (France) |
| Key Market Opportunities | Rising need for sustainability and decarbonization globally |
| Key Market Dynamics | Significant use of large equipment to support industry growth |
Frequently Asked Questions (FAQ) :
The Nuclear Power Plant Equipment Market size was valued at USD 15.2 Billion in 2022.
The Nuclear Power Plant Equipment Market is projected to grow at a CAGR of 4.00% during the forecast period, 2023-2032.
North America had the largest share of the global market
The key players in the market are General Electric (U.S.), Alstom (France), Shanghai Electric (China), Toshiba Corporation (Japan), Korea Electric Power Corporation (South Korea), Larsen & Toubro Limited (India), Mitsubishi Heavy Industries, LTD. (Japan), Doosan Corporation (South Korea), Dongfang Electric Corp., Ltd. (China), The State Atomic Energy Corporation (India), BWX Technologies, Inc. (U.S.), AREVA (France)
The Auxiliary Equipment type dominated the market in 2022.
The Pressurized Water reactor (PWR) Reactor type had the largest share in the global market.
Team Lead - Research Anshula mandaokar holds an academic degree in chemical engineering and has been contributing to the field for more than 5 years. she has expertise in market research and business consulting and serves as a team lead for a reputed market research firm under the chemicals and materials domain spectrum. she has worked on multiple projects, generating explicit results in a quick turnaround time. her understanding of data interpretation justifies her role as a leader.
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