U.S. races against China to dominate AI power with new nuclear facility

In May 2024, the United States opened the first phase of a uranium enrichment facility at the historic Manhattan Project site in Oak Ridge, Tennessee. This initiative is a strategic response to China's rapid expansion of its nuclear capacity, as the country plans to construct ten new nuclear reactors annually for the next decade. Given the rising energy demands of artificial intelligence data centers, officials in the U.S. emphasize the need to enhance domestic nuclear energy production. President Trump signed four executive orders aiming to quadruple this production by 2050, amidst concerns over energy dependence and competition with other nations. The decision for the facility ties directly to the U.S. ban on uranium imports from Russia, which took effect in May 2024. Although companies can apply for waivers until 2028, the urgency for domestic production is paramount. Public officials, including Tennessee Governor Bill Lee, have articulated that the U.S. cannot afford to lag behind China in both the AI and energy arenas. The historical context of the Manhattan Project highlights the seriousness with which the U.S. treats the energy and technology dichotomy, as it once harnessed nuclear power to end World War II. The Department of Energy has projected that AI data centers will consume a substantial portion of the country's energy — about 12% annually by 2028. This is indicative of how technology's demands are reshaping energy policies. Data centers in 2023 accounted for an estimated 176 terawatt-hours (TWh) of energy. Addressing this, officials stress the need for immediate action on nuclear energy production to stay competitive. With only three new nuclear reactors constructed in the U.S. over the last thirty years, the challenge is clear: America must innovate and expedite its nuclear capacity to meet the rising tide of both energy needs and geopolitical competition. In conclusion, the opening of the uranium enrichment facility in Oak Ridge signals a shift in U.S. energy strategy, focused on not just meeting domestic needs but also on ensuring the country plays a decisive role in the future of AI technology. The strategic mobilization at this former Manhattan Project site suggests a deep-seated commitment to overcoming international energy challenges while enhancing the U.S. position in the global AI race.