South Korea is considering replacing Japan as supplier for its planned Ninh Thuận 2 after the Vietnamese government ended its 17-year nuclear power plant construction cooperation with Japan. According to Business Korea, this could accelerate Vietnam’s nuclear project orders for Team Korea, with analysts suggesting it could serve as a catalyst for the resurgence of Korean NPP export industry, “which had been hindered by unfair contracts with US nuclear company Westinghouse”. According to the intellectual property dispute settlement agreement with Westinghouse, Team Korea cannot participate in any projects in Europe except for the Czech Republic. However, projects in Vietnam and the Middle East are possible.
In December 2025, Japan announced that it would withdraw from the project in Vietnam citing an overly tight timeline. Japan’s Ambassador to Vietnam, Naoki Ito, said Japan was not in a position to implement the Ninh Thuận 2 project.”
Ninh Thuận 2 is scheduled to come online by 2035 alongside Ninh Thuan 1. In 2009, Vietnam’s National Assembly approved investment in the Ninh Thuận nuclear power project, planning two plants with a combined capacity exceeding 4,000 MWe. However, economic and financial difficulties led to a temporary suspension in 2016, although nuclear research continued, maintaining a skilled workforce and preserving decades of expertise. Russia had been awarded the Ninh Thuận 1 project, and Japan Ninh Thuận 2. At the end of 2024, the National Assembly officially restarted the nuclear programme.
The Vietnamese government recently convened the 4th Ninh Thuận Nuclear Power Plant Construction Promotion Committee under the chairmanship of Prime Minister Pham Minh Chinh. The Committee notified Japan that they would no longer cooperate on the Ninh Thuận 2 project and instructed the Ministry of Industry & Trade to submit a decision document to the government to terminate existing investment cooperation. Chinh then directed the Vietnam National Oil and Gas Group (Petrovietnam), the project owner of the Ninh Thuận 2 project, to report to authorities on selecting suitable business partners with advanced technology.
A Korean nuclear industry insider noted: “With Japan’s withdrawal, the competition for Vietnam’s nuclear plant orders is expected to gain momentum,” adding, “If Team Korea succeeds in winning the order, it would be the Lee Jae Myung administration’s first nuclear plant order achievement.” According to Business Korea, the Ninh Thuận 2 project is estimated at approximately KRW12,700bn ($8.7bn).
