The race for maritime small modular reactors (SMRs) is intensifying as Europe joins China in accelerating commercialization, sparking a fierce battle for dominance among global shipbuilding and nuclear power leaders. HD Hyundai, which has identified SMRs as a key future growth driver, is under scrutiny as it seeks to secure a technological edge in this high-stakes competition.
On the 14th, Italy-based Newcleo announced that it had displayed a full-scale model of its marine SMR, TL-40, at the 19th International Architecture Exhibition of the Venice Biennale, which opened on the 10th (local time). The TL-40 is a collaborative effort between Newcleo, Italian shipbuilder Fincantieri, and design firm Pininfarina, marking Newcleo’s first foray into maritime SMRs.
The TL-40 is a fourth-generation reactor based on lead-cooled fast reactor (LFR) technology. It is designed not only for large vessel propulsion but also as a standalone power generation system for off-grid energy supply. Newcleo emphasized its passive safety systems and multi-stage recycling technology, which enhance both safety and sustainability. The reactor can even repurpose spent nuclear fuel from conventional plants to generate energy.
Newcleo has been working with Fincantieri since 2023 to explore marine applications. The company plans to move forward with demonstration projects for floating nuclear reactors and establish a European nuclear fuel development center.
The global competition in ship-based SMRs is escalating rapidly. Countries and corporations are racing to secure technological leadership and accelerate commercialization, while international efforts to establish regulatory frameworks are gaining momentum. The International Maritime Organization (IMO) is expected to spearhead discussions on maritime SMR standards this year, making early technological leadership a decisive factor in shaping the market.
In South Korea, HD Hyundai has positioned marine SMRs as a next-generation strategic business, spearheading proactive investments. Chung Ki-sun, Vice Chairman of HD Hyundai Heavy Industries, is directly overseeing the initiative, aiming to synergize the group’s shipbuilding and nuclear power expertise.
HD Hyundai has set a 2030 target for developing marine SMRs and unveiled a design model for a 15,000 TEU SMR-powered container ship in February. Its shipbuilding affiliate, HD Korea Shipbuilding & Offshore Engineering (KSOE), plans to invest $214 million in next-generation propulsion technologies, including SMRs and hydrogen fuel cells.
The company is also strengthening global partnerships. In March, HD Hyundai Heavy Industries signed a strategic agreement with U.S.-based TerraPower to commercialize sodium-cooled fast reactors (SFRs), aiming to fast-track the development of SMR-powered vessels.
China, the earliest entrant in the marine SMR market, is advancing rapidly through state-led megaprojects. State-owned China State Shipbuilding Corporation (CSSC) began constructing a demonstration vessel last year, while the world’s first commercial SMR test operation was conducted in Hainan Province. In 2023, CSSC also revealed designs for a 24,000 TEU SMR-powered container ship, the largest of its kind.
