The nuclear supply chain: are there possibilities to re-shore?

• Author: Mason, Scott

Although new nuclear power generation facilities have not been built in the United States for more than 20 years, there still has been considerable construction associated with nuclear power. New nuclear facilities continue to be built in other parts of the world and operational activities and plant life extensions in the United States continue.

At one time, many of the qualified suppliers that supported the construction efforts for the nuclear sector were in the United States, but now they are located around the world. For certain components the only supplier is now outside the United States.

The efficiency and effectiveness of the global supply chain, and the supporting logistics operations today, easily move materials from and to anywhere they are needed.

Heavy industry has been moving around the world for decades - for example, from the United States to Japan to China and South Korea - to regions with fewer environmental restrictions and lower labor costs, yet with a sufficiently skilled labor force to perform the work. It is hard to imagine this situation abating in the near future.

There are a number of opportunities beyond heavy industry for firms based in the United States to supply the nuclear industry. For example, companies that supply components for fossil-powered electricity generating facilities, and even chemical plants, might be able to supply components to portions of nuclear power plants simply because the parts are not located in the key "safety-related" area of the plant.

There are also some basic components, such as pipe spools, that are typically produced close to construction sites. The difference between non-nuclear and nuclear components for this type of part is often the quality-related tracking and testing. So a company that supplies pipe spools and has multiple fabrication shops around the country to supply the petroleum industry or new fossil plants could obtain nuclear certification without tremendous hardship and expense and could quickly be positioned to supply the nuclear industry.

The Clemson research team also viewed this situation through the lens of a classic supply chain...