Small modular reactor market seen reaching $18.76 billion by 2035

Market Research Future projects the small modular reactor market will grow from $6.34 billion in 2026 to $18.76 billion by 2035, driven by demand for low-carbon baseload power, energy security and grid flexibility. Asia-Pacific is forecast to reach $5.28 billion by 2035 as China, South Korea, Japan and India advance deployment plans.

Why it matters: - Small modular reactors are moving from niche nuclear technology to a possible grid-scale tool for decarbonization, energy security and backup power. - The market is being shaped by rising electricity demand, the need for firm power to complement wind and solar, and interest in industrial uses such as hydrogen, desalination and process heat. - Market Research Future projects the market will expand from USD 6.34 billion in 2026 to USD 18.76 billion by 2035, a 12.8% compound annual growth rate.

What happened: - Market Research Future said the small modular reactor market reached an estimated USD 5.62 billion in 2025. - The report projects Asia-Pacific will reach USD 5.28 billion by 2035. - The report highlights China operating demonstration reactors and South Korea advancing export-oriented designs. - The report also points to active SMR development in North America, Europe, Latin America and the Middle East & Africa.

The details: - Small modular reactors are factory-fabricated and assembled on-site, which can shorten construction timelines and reduce project risk. - Their modular design allows utilities to add capacity incrementally instead of building one large plant at once. - The technology is being positioned for on-grid and off-grid power generation. - The report lists applications including electricity generation, industrial process heat, hydrogen production, desalination, district heating and remote power supply. - The reactor types covered include pressurized water reactors, heavy water reactors, high-temperature gas-cooled reactors, fast neutron reactors, molten salt reactors and other designs. - End users include utilities, government organizations, industrial facilities, mining operations, defense and military users, and research institutions. - The report says governments are backing the sector with research grants, demonstration projects, licensing reforms and public-private partnerships. - The report says several countries are evaluating or developing deployment strategies, including the United Kingdom, France, Poland, Romania and Estonia. - The report names NuScale Power, GE Hitachi Nuclear Energy, Rolls-Royce SMR, TerraPower, Westinghouse Electric, Holtec International, X-energy, EDF, Rosatom, CNNC, KHNP, Mitsubishi Heavy Industries, BWX Technologies, Moltex Energy and Ultra Safe Nuclear Corporation among major players. - The report includes a sample brochure and a paid research report at More information and the full report.

Between the lines: - The market case for SMRs rests on flexibility, not just carbon reduction. - Remote sites, mines and military installations can use SMRs without the transmission buildout needed for large plants. - The technology mix is widening as developers pursue Generation IV systems, advanced fuels such as HALEU, digital twins, AI-assisted operations and passive safety systems. - Nuclear-linked hydrogen could give SMRs a second revenue stream beyond power generation, which may help projects pencil out.

What's next: - More countries are expected to move from studies and demonstrations toward licensing and commercial deployment. - Utilities are likely to keep testing hybrid systems that pair SMRs with renewables for steadier output. - Construction economics, regulatory approvals and fuel supply will remain key factors in whether the market reaches the projected 2035 scale.

The bottom line: - SMRs are no longer just a concept category. The next decade will determine whether policy support and technical progress can turn them into a mainstream clean-power option.