Singapore is positioning itself to capture commercial opportunities in the emerging global fusion energy industry by using its strengths in precision engineering, advanced manufacturing, and plasma diagnostics. Speaking on Oct. 1, 2026, at the FusionX:APAC event, Minister for Trade and Industry (Energy and Industry) Tan See Leng stated that the nation can support the wider fusion economy even without hosting its own reactor.
Global Fusion Progress and Technical Hurdles
Unlike nuclear fission, which splits atomic nuclei, fusion generates energy by combining them. While the underlying science has been understood since the 1960s, Dr. Tan noted that maintaining high energy, pressure, and stable conditions for extended periods to achieve a net-positive energy return remains a formidable challenge. Recent technological advancements in gyrotrons and superconducting magnets have helped researchers improve plasma confinement, and experimental reactors have already demonstrated net energy gain.
This technical progress has driven strong commercial interest, with industry forecasts valuing the fusion ecosystem at roughly US$420 billion by the end of the decade. Singapore views fusion as a potential long-term energy pathway because it produces lower levels of radioactive waste and carries a limited risk of runaway reactions compared to traditional nuclear options.
Did You Know? The FusionX:APAC event coincided with the first day of the newly renamed Ministry of Energy, Trade and Industry (METI), underscoring the government’s growing focus on energy security and resilience.
Industrial Partnerships and Local Ecosystem Growth
Singapore’s engagement in the fusion sector spans international alliances and local deep-tech initiatives. In 2023, the country established the Singapore Alliance with France for Fusion Energy, combining Nanyang Technological University’s artificial intelligence and computing capabilities with the French Alternative Energies and Atomic Energy Commission’s plasma physics expertise. This collaboration gives local researchers access to international facilities like France’s WEST tokamak.
Domestic engineering firms are also embedding themselves in the global supply chain. ST Engineering produces tokamak components for Commonwealth Fusion Systems’ SPARC demonstration reactor. Meanwhile, A*STAR has partnered with US-based Realta Fusion to develop plasma velocity diagnostic tools, and A*STAR has signed a memorandum of understanding with Commonwealth Fusion Systems to help develop commercial fusion power plants.
Cross-Sector Innovation and Future Outlook
Fusion capabilities are already spawning cross-sector innovations in other domains. Dr. Tan highlighted Aliena, a spacecraft propulsion firm led by CEO Dr. Mark Lim, who is a trained plasma scientist, which has tripled its operational footprint in Singapore while building full propulsion systems for global clients. To sustain this momentum, platforms like SGInnovate connect deep-tech startups with capital and talent, running initiatives like the “Fusion School” to introduce young professionals to the field.
Looking ahead, government agencies are building regulatory and technical expertise in reactor engineering and safety ahead of a planned 2027 review of national nuclear capabilities by the International Atomic Energy Agency, though officials have not committed to building a nuclear power plant.
Singapore plans to capture fusion industry value through supply chain capabilities
What role does Singapore plan to play in the fusion industry?
Singapore intends to capture economic value across the fusion supply chain by leveraging its talent pipeline and capabilities in precision engineering, advanced manufacturing, and plasma diagnostics, even if it does not host a commercial fusion reactor.
What are some existing partnerships between Singapore and international fusion entities?
Key partnerships include the Singapore Alliance with France for Fusion Energy, A*STAR’s diagnostic collaboration with Realta Fusion, and ST Engineering’s production of tokamak components for Commonwealth Fusion Systems.
Has Singapore decided to build a nuclear power plant?
No. While government agencies are preparing for an International Atomic Energy Agency review of nuclear capabilities in 2027 and building technical expertise, the country has not decided whether to build a nuclear power plant.
How might specialized manufacturing hubs like Singapore reshape the supply chains of emerging deep-tech industries over the next decade?
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