The uranium market is not short of positive price catalysts, and these are well known, but events over recent days have the potential to take things to a new level. The United States is far and away the world’s biggest market for nuclear energy, accounting for 30.3% of overall demand – almost twice that of second placed China at 15.6%, with France in third place at 11% (based on 2022 data).
The U.S. House this week passed a bill to ban Russian uranium imports, with a companion bill now required to be considered and passed by the U.S. Senate before being sent to the White House (although this might not happen this year). U.S. nuclear power plants imported about 12% of their uranium from Russia in 2022. The very real prospect of a U.S. ban on Russian uranium imports (although with temporary waivers until January 2028) is likely to ensure that uranium markets remain extremely tight, applying even more upward price pressure.