In November 2025, a few days before I’m due to head to Stockholm to meet investors, my Swedish colleague reaches out with news that his country is lifting its ban on uranium mining, in place since 2018. He also mentions plans to build small modular reactors. Nuclear energy quickly becomes the central topic in our investor meetings. His enthusiasm was understandable, and I shared it.
By Mobeen Tahir, Director, Macroeconomics and Thematic Research, WisdomTree
Sweden may not be the first country that comes to mind when discussing nuclear energy, but this decision carries weight for two reasons. First, it reflects a broader shift. Countries that had stepped away from nuclear power are now returning to it. Sweden currently operates six reactors, generating around 30% of its electricity, but it has shut down seven and has none under construction. Its move in 2023 to replace a ‘100% renewable’ target with ‘100% fossil-free’ electricity by 2040 signals a clear change in direction, creating space for new nuclear capacity.
Second, Sweden holds 27% of Europe’s known uranium reserves. That makes the commercial implications significant, not just domestically but for the wider uranium market. With demand expected to outstrip supply, higher prices could incentivise further mining activity.
Uninterrupted, emissions-free power
Sweden is not alone. As energy demand rises, particularly from power-intensive industries like artificial intelligence, nuclear is increasingly seen as a reliable source of baseload energy that can deliver uninterrupted, emissions-free power at scale. At the same time, geopolitical tensions, including the war in Iran, have reinforced the need to reduce dependence on fossil fuels. Energy security is now as important as sustainability. Nuclear, while not without its own geopolitical considerations, offers an alternative that is gaining traction alongside renewables.
Markets have been paying closer attention to this theme since 2024, when hyperscalers began signing large nuclear deals to power data centres. But momentum accelerated in May 2025, when President Trump announced executive orders aimed at quadrupling US nuclear capacity by 2050. Expanding capacity at that scale within 25 years is not something markets could ignore. The plan includes building new reactors, extending the life of existing ones, improving regulation, and investing in technologies such as small modular reactors.
The US is already taking steps in that direction. New reactors have come online, and high-profile moves like Microsoft’s agreement to reopen Three Mile Island have become symbolic of nuclear’s revival. As investment in AI infrastructure grows, nuclear energy is increasingly tied to that broader theme.
Asia’s nuclear energy expansion
At the same time, China has been moving ahead at pace. Over the past 15 years, while others reduced capacity, China expanded aggressively. It now operates 61 reactors, has 38 under construction, and has not shut down any. Its approach has been industrial. Standardised designs, domestic supply chains, and scale have enabled faster and more cost-effective deployment. This has created a blueprint and, for others, a sense of urgency.
Beyond the US and China, other countries are also leaning in. Many Asian economies, heavily reliant on imported fossil fuels, see nuclear as a way to improve energy security. Japan’s return is particularly notable. After Fukushima, it stepped away from nuclear, but it is now restarting reactors and targeting at least 20% of electricity from nuclear by 2030. If Japan can shift back, it sends a powerful signal.
Growth creates opportunity
Investors often ask whether, after a strong 2025, the opportunity has already been priced in. We think not. The ambition to triple global capacity, or quadruple it in the US, is far from reflected in the current pipeline. That pipeline will need to expand significantly, and with it comes uncertainty around which companies will benefit.
What is clearer is that growth at this scale creates opportunities across the value chain, from uranium producers to service providers and technology developers. The case for nuclear continues to strengthen, supported by policy and rising demand. For investors, the question is less about whether the theme exists, and more about how and when to gain exposure.
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